11 Important Tips for Dealing with Debt Collection Companies

by Steven on February 25, 2012

Problems with paying your bills? Afraid of the phone ringing because you know its a debt collection company?

Well here are somethings you should do to deal with debt collection companies and keep them off of your back.

1. If you’re having problems with your debt try to avoid letting it go to a debt collection company be talking to your original creditor and working something out.

2. Educate yourself on what the debt collection companies can and cannot do to you when it comes to collecting a debt. A great resource is to read the laws according to the FTC (Federal Trade Commission)

3. Stop running from debt collection companies. When you get the letters requesting that you answer to a debt within 30 days you need to respond to the asking them for “Verification” of the debt.

4. Document everything including phone calls, letters that you send them and letters that they send you. This will help you if you end up going to court.

5. Always check to see if the debt collection company isn’t trying to collect a debt that’s past your states statute of limitations.

6. Keep all your bank account information and job status to yourself regardless of how many times they ask. Just continue to request they communicate with you in writing.

7. Keep communication open with them but don’t make it easy for them. If they request documents, make them request it in writing. If they threaten you to garnish your wages make them state it in writing. Debt collection companies hate to do more work than they have to to collect a debt.

8. Record your conversations if they refuse to send you documentation in writing. Check you state to make sure you don’t have to have permission before you record someone over the phone. From my experience the debt collection company won’t believe you if you tell them that you are recording them.

9. When ever you communicate with them debt collection company make sure you send it “Certified Mail” so you’ll always have proof that you sent something and that it was received at the debt collection companies office.

10. Don’t allow the debt collection companies to get you stressed out and emotional.

11. Set down and put together a plan of action to get yourself out of debt. Figure out exactly what you owe and how much net income you have coming in and see if you can make it work if you budget and stick to a plan.

Here’s an excellent software program you can use to put together a debt elimination plan and deal with debt collection companies.

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