debt collectors calling about old? Learn to stop dead in their tracks

You get home from shopping and find a message on your phone bill by a collector. You know your credit. You know you always pay on time and not from behind on credit card bills or loans any. Why, then, there is a message from a debt collection agency on the phone?

It is a ploy by some collectors to squeeze money on debts that are years old. You may have had some difficulties at times in the past and collection agencies are now unearthing old debts that are five to 10 years.

Managing a collector trying to collect old debt can be difficult. If the debt is greater than the state statute of limitations, the debt collector has no legal right to collect. In other words, you can not sue or threaten to sue. If, however, handle the call wrong, that old debt can become a new debt.

collectors who threaten to sue or garnish your wages in a> Debt is not covered by prescription are in violation of the Fair Debt Collection Practices Act and could be fined $ 1000 for each threat. If they are smart and know that you play on your sense of moral duty to collect the bill.

So what's the problem? If the collection agency has no right to collect, then you seem to have the advantage. However, in some states, if the collector can come to recognizethe debt is yours or if you pay a monetary debt, the debt becomes new. Not only does the statute of limitations again, but the collection agency can report the debt to credit reporting agencies, and suddenly your FICO score takes a dive and you will start receiving letters from credit card interest rates advice high and low lines of credit.

The best way to handle a call from debt collection ageto say the least. No commitment to pay. Not acknowledge the debt. If not for the annoying phone calls will keep coming, it would be better not to talk to the collection agency at all.

The time to stop the phone calls before you begin. By law, a debt collector must send a notice advising that the debt is with and how. You have 30 days to respond. If this is really a debt that is overthe statute of limitations, send a letter disputing (not mine) of debt. The collection agency can not contact again until you can not verify the debt and information. If they can not, do not have to.

Another direct method is the use of their right to send a cease and desist letter. Be clear in your letter that you are aware of the fact that debt is "requirement" and can not be sued for the debt and do not want to hear from them again.Make sure the debt is actually beyond the law. The best way to check both your office with the Attorney General to consult with an attorney or consumer credit

More information about the fastest ways to deal with collection agency calls and obtain samples of unused credit cards in clearing debts.