Do you feel harassed by credit agencies, stop ignoring them. Deal with them and get them out of your life.
Being in debt is stressful, but what’s even worse is being nagged by the creditors and collecting agencies. Though you can’t get rid of them without paying off your debts, you can stop the nagging by dealing with them in the right way.
Here are the tips on how you should deal with the debt collectors:
- Enquire
The first thing you should do when a debt collector calls you is to ask questions. Enquire about the person you are speaking with, is it the original creditor or the debt collection agency. Note down the name and company of the person who is calling you. Do not forget to ask their contact number. Enquire about the amount you owe them and from when the payable amount is outstanding. If the details are not familiar to you, verify the information with your statements whether the debt is truly yours or whether the amount is correct. Tell the caller that you will contact them as soon as you confirm the details.
- Payment
If the debt is truly yours and the payable amount is correct, the best option is to pay it right away. Do not pay in cash and make sure you get a receipt whenever you make the payment. While making the payment, deal with the person who had contacted you. If you were contacted by a collection agency, do not contact the original creditor, it might create confusion. Paying off your debts can resolve the issue at the first instance. One should always look at the brighter side: balance paid off = no nagging calls from the collection agency.
- Negotiate
If you are not able to pay off your debts at once, negotiate with the collection agency for an alternative proposition. Offer to pay back in instalments. The better option to deal with the situation would be to consult debt professionals.The 4 Pillars’ debt specialists will analyze your situation and provide you with possible solutions to get out of debt.
When dealing with collection agencies, follow up in writing and, if possible, enclose a first payment to show your commitment to paying back the debt.
- Debt, but not yours
If you discover that the debt is not yours, inform the collection agency and the creditor of the error. Order a copy of your credit report from the credit reporting agencies and check if the debt appears on the report. If it does, contact the credit reporting agency and the creditor to get the error rectified, as error in the report can prevent you from getting credit in the future.
- Assert your Right
You have rights that you need to assert. In Alberta, a debt collection agency can only contact three times a week, and they can’t contact you on public holidays. If they so, inform them of their rights. You can even go as far to threaten to file a consumer complaint.
Dealing with collection agencies are a pain, but you have option so you don’t have to bear their harassment.
