How to deal with a third party collection (DIY)

In the perfect world, collection agencies (the original creditor or third party) would have preferred to collect in full, not less. But in the real world, the debt settlement for much less than the total amount, it is possible and what consumers can afford, and must rely.

COPING WITH A COLLECTION AGENCY FOR THIRD PARTIES

After not paying your bill, you can start receiving calls from collection cycle, reminding you to pay. At first, would be good, but if you have not yet responded positively, expect to receive threats of legal action, but do not panic and are committed to nothing. Want to know what the worst is, if you can go to jail for not paying, and the answer is no. Jail and prison are criminal cases.

Five or six months after you stop paying your creditors the original, two things can happen. Both had you claim or third party to bill> Collection Agency. Write your own debt as a loss (bad debt) is mandated by the IRS. Net losses, but creditors get a tax cut. But banking is a business, and then get at least a portion of the debt in writing, to pass the account to third party collection agency in which the value of their debt, understandably, is diminishing, Therefore, it can be solved less than the full amount.

WHAT ARE THE BENEFITS OF THIRD collection agency?

Third-party collectors make their money by buying its debt at a fraction of what it's worth, but of course, you want to get more money, putting pressure on it is legally possible. Keep in mind that I would try something if you let them. They try to harass the phone, could grope their relatives and even your workplace. But these are forbidden to know their rights under the Federal Trade Commission -> Fair Practices in Debt Collection Act (FDCPA).

WHAT TO DO WHEN IN CONTACT WITH A COLLECTOR

"Do not avoid calling. Talk to the collector and find out if the debt is really yours, and how much to whom (name of creditor).
-Document all interactions we have with the agency.
-Get the name of the person who contacted you, what agency they work for, address and telephone number.
-Get a check for the collectorwritten to determine if the debt is really yours.
"If you want them to stop calling, the Agency sent a letter asking them to stop and contact you (first written warning).
"If the debt is actually yours (validated), try to negotiate the amount you actually can pay each month and pay on time.
-Make sure you have written and signed by authorized personnel, all things that were agreed. You're doing this fordocumentation, for when or if a complication due to litigation.

Do The collection agency

L 'collection agency must send a "validation letter" that explains what you need and where to contact you within five days.
"If you have hired an attorney, the collection agency should contact your attorney and not you.
"You can sue for the debt you have and then garnish your wages if you win the case against him.
L 'Collection Agency of n
Debt collectors are not required to contact you before 8 am or after 9 pm.
Debt collectors are not required to contact you at work, you can report orally or in writing that they are there to be contacted.
L 'collection agency, you can not argue with anyone but you, your spouse, your lawyer or any other information about the debt.
Collectors may not harass or threatenyou.
Debt collectors may not make false statements about you to anyone or debit card
Debt collectors may not make false statements about what they are.
-Collector may not engage in any unfair practices like trying to charge additional fees or withdraw money from your account without your permission.