By: Robert Katz
If you are in debt and get contacted by a debt collection agency, it is not a fun position to be in, but it isn't always in your best interests to just pay them off. When it comes to these agencies the majority of the time they are just trying to screw you in order to make themselves more money. Protect your rights under the Fair Debt Collection Practices Act (FDCPA) by making sure first that the agency and validate or prove that they have the right to collect this money on behave of who you owe and that they know the correct amount. Knowing your rights in these situations will help keep the collector from keep you on the defensive to take advantage of you.
The most important thing to know is that you are a person with rights. Collection agencies are required to follow specific guidelines under the FDCPA to collect on the debt you owe. While calling you they are not allowed to harass or threaten you in any way, shape or form, so keep record of this if it should happen to you. Question them again to stay on the offensive, and make sure they can prove that you should have to pay them. Another good tip is to never pay over the phone giving credit or debit card information. If you do pay use a money order or some kind of secure payment and make sure to get in writing to delete the trade line so they can't trade your leftover debt to another agency to collect from you. In most cases you shouldn't pay a collection agency and they best way to deal with them is to send them a letter to stop contacting you, make sure to keep a copy. Then they have the right to contact you one more time and after that you can sue them for up to $1,000 per violation. Contact the FDCPA for help or assistance on clearing your debt.
People are always afraid that a collection agency is going to seize their assets or contact their employer to take some of their paycheck each week. The only way either of these can happen is if they were to sue you, and have won the case. This is why knowing your rights is important because a collection agency is not allowed to threaten to sue you if they have no intention to, nor can they pretend to be anyone else, or call your work to ask anything besides where you live, they have no right to talk about the debt you owe. Writing the letter to the agency telling them to stop contacting you, and calling a credit counselor or the FDCPA will save you a lot of hassle.
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