| Falling into financial difficulties often means that | | | | have the right to collect the debt. And if they can't, |
| delinquent debt is turned over to an in-house collector | | | | they can't collect, they can't contact you, and they |
| or an outside agency. If you find yourself facing calls | | | | can't report the collection to the credit agencies. |
| from debt collectors, there are three weapons in your | | | | Believe it or not, this technique is highly effective and |
| arsenal right now that you can use. | | | | achieves remarkable results. |
| 1. You can simply ignore the calls. Get yourself a phone | | | | 3. The debt validation letter's little brother is the cease |
| that will display caller id (you may have to contact your | | | | and desist letter. A cease and desist demand is also a |
| telephone service provider and sign up for the service) | | | | right provided to you under The Fair Debt Collection |
| and ignore numbers you don't recognize. Some | | | | Practices Act. It basically forces a third party debt |
| collector calls will also come through as "private caller", | | | | collector to stop contacted you, period. The downside |
| and "out of area". This is probably not a long term | | | | is that the debt can be passed on to another debt |
| strategy, but it buys you time until you are ready to | | | | collector and you will have to go through the process |
| start negotiating. And believe it or not, often collectors | | | | again. In reality, a cease and desist letter should |
| will stop trying. They understand the odds of collecting | | | | probably only be used once a debt has been validated. |
| money and will often move on to people they can | | | | I have good news and bad news. Often, third party |
| communicate with. This also created leverage for you | | | | collectors will ignore the law and continue to contact |
| when the time is right to work out the best deal | | | | you and/or report a debt even after they fail to |
| possible. | | | | validate it or receive a cease and desist letter. Here is |
| 2. If you are being called by a third party debt collector | | | | the good news. According to the law, each violation is |
| (not the original creditor), you can send a debt | | | | punishable by a $1,000 fine. That means they can be |
| validation letter. Debt validation is a legal right provided | | | | vulnerable for thousands of dollars and there are a |
| to you under The Fair Debt Collection Practices Act. It | | | | number of lawyers willing to take them on. |
| essentially forces the collector to provide | | | | So know your rights and fight back. Believe it or not, |
| documentation that you rightfully owe the money they | | | | the law is on your side once you understand how to |
| say you owe and it forced them to prove that they | | | | utilize it to your benefit. |