6 Tips For Dealing With Debt Collectors

6 Tips For Dealing With Debt Collectors

Dealing with debt collectors can be a nightmare for you and your family. Some of the tactics they use are questionable and very annoying.

Even though you may be having financial difficulties, just know you do have rights. When you approach your debt problems the right way, you can make a bad situation better.

This means stopping phone calls from creditors at all hours, receiving certified mail that requires your signature, and putting an end to dealing with the shady tactics involved in this industry.

According to Bankrate.com… when facing debt collectors, keep calm and follow these 6 smart tips:

Collections Tip #1: Get the information in writing.

Within 5 days of contacting you, a debt collector must send you a written notice with details of the collection. Ask for this letter before engaging with them.

Collections Tip #2: Dispute the debt in writing if you don’t believe you owe it.

Send the collection agency a letter within 30 days of receiving their notice. Either tell them why you do not owe this debt, or offer to enter into a payment arrangement.

Collections Tip #3: Keep a record of everything.

Make a log of your calls, your emails and letters with the collection agency. Proving that you have made an attempt to deal with them can help.

Collections Tip #4: Watch what you say.

Remember, they are trying to probe to see if you have the capacity to pay. Say little as you can and always stand firm when talking to a collection agency.

Collections Tip #5: Offer to negotiate your debt down.

Times are tight and debt collectors are looking to get whatever they can. Start out by offering 10 to 15% of what they say you owe. If you can work it out that you’ll pay 20% of what you owe, consider this a win.

Collections Tip #6: Get any deals in writing.

Think before you pay. Before you part with one dollar, make sure you get the pay off deal in writing. This way when a collector tries to pressure you for more, you have proof of the terms agreed upon.

The fact is, if you’re having trouble with debt, there may be other options that work more in your favor. 101 Financial helps families with personal finances out of control every day.

Getting the help you need is as easy as booking your free phone consultation with one of our 101 Financial Instructors.

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