What to do if you receive a letter from a collection agency?
What to do if you receive a letter from a collection agency?
What to do once you are positive the debt is yours, is legitimate and is accurate:
- Immediately contact the original creditor directly to pay the debt in full.
- Immediately contact the original creditor to set up monthly payments.
- Immediately pay the debt to the collection agency.
How do I know if a debt collection letter is legit?
Track the source of the debt by reaching out to your creditor to see if it has any information about the debt in question. If the company that contacted you matches what your creditor has on file, then you’ll know it’s a legit debt collector. Always ask for a validation letter or confirmation about the debt.
Why did I get a letter from a debt collector?
Debt collectors are legally required to send you a debt validation letter, which outlines what the debt is, how much you owe and other information. If you’re still uncertain about the debt you’re being asked to pay, you can send the debt collector a debt verification letter requesting more information.
Are you obligated to pay collection agency?
You don’t have to pay any more than what you owe. Collectors aren’t allowed to charge any interest or fees to your account unless the original contract includes them or your state’s law allows it. You can dispute an amount that seems unreasonably high.
What happens when a debt collector sends you a letter?
By law, the collector then must stop contacting you – though the debt doesn’t go away. But, if the collector sends you written verification of the debt, they can start contacting you again. And, if there’s incorrect information on your credit report, dispute that, too.
How to write a debt verification letter for the collections agency?
How Do You Write a Debt Verification Letter for the Collections Agency? To request verification, you have to send a letter to the collector saying that you dispute the debt’s validity and you’d like to ask for legal documentation that verifies your debt. You should also request the details of the original creditor.
What happens if I send a collection letter?
For example: If your payment is not received by , your account will be sent to debt collection agency. You should not threaten to use a collection agency, report to the credit bureaus, or take legal action unless you prepared to follow through with them. You should never send any additional collection letters out after your final one.
How to send a free debt collection letter?
View our database of free collection letter samples (dunning notices) and sample debt collection letters that you can use; just cut, paste, and fill in your information and send. These collection letter samples can help collect your outstanding balances without having to use a collection agency.
What should I do if I receive a collection notice?
Even if you come to realization that the debt is valid and you owe the money, you should NEVER pay the debt collector on a first contact. Instead, immediately contact the billing department of the original creditor as identified by the collection agency.