Ways to Protect Yourself from Debt Collectors
Whether you owe money to a company or you do not owe money to a company, you can come under the harassment of debt collectors at all hours of the day. The Fair Debt Collection Practices Act has the information you need to know to protect your self from agencies that buy debt at a discount and use illegal means to collect the debt from you. State laws protect you from the credits themselves, and now this federal law protects you from unnecessary harassment from third-party companies.
The first thing to do is obtain all the information about the debt including the name of the creditor, the amount of the debt, the penalties and interest, and what you can do to pay off the debt. Ask for this information in the mail within the week, collection agencies are required to provide it. Get the name of the company and their address. Start of record of all contact you have about the outstanding debt.
If you do not owe the debt then send the supporting documents to both the collection company and the creditor. Make sure you get proof from the post office that the information was sent and received. If the company is not able to show you a judgment by the credit than they have no case.
Collection agencies are not allow to call during restricted hours and they must correspond in writing if you make the request. Have a lawyer send a notice to the company and they will be required to work with your lawyer from that point forward. This could stop the agency from pursuing the case, but it might resell the claim to another agency which will start the process over again.
If you find the debt to be correct but am unable to pay it back immediately, work with the collection agency to establish a repayment plan. Are debt collector enemies? Sometimes they come across with a certain tone as if they are, but if they can collect the full or a large portion of the debt, they make a good profit. Understand their position and know the law, and you can walk away with clean slate.