Debt collection is a money making business in the United States.  Debt collectors purchase your debt pennies on the dollar in hopes of collecting from you in the future even if they have to harass you to do it.  If you find yourself with a debt collection, make sure you know the Fair Debt Collections Practices Act (FDCPA) established in your state. Especially if you are not able to repay your debt in a timely manner.  Based on the  FDCPA there are a several ways you can keep pesky collection agencies from harassing you day and night.  Let’s discuss the key factors that you need to know when dealing with the Pesky Debt Collector.

7 Things to Know Before Talking to a Debt Collector

  1. You must have a strong understanding of the laws that govern your debt (also known as time barred debt). Time barred debt is money that a consumer borrowed and did not repay, this debt is also no longer legally collectible because it is past its statute of limitations.

2. When a debt collector calls they must disclose that they are indeed a debt collector and what debt they are calling about. They should state “this phone conversation is being recorded or monitored”.  It is against the law for them to act like they are someone else just to get you to talk to them.

3. Like many others you may not want to be contacted by these pesky debt collectors at all so you can write letter telling them that you don’t wish for them to contact you.  This is called a “cease letter” and it must be obeyed.  However, they can still send you statements in the mail.

4. The statute of limitations on debt varies from state to state.  It also varies based on the type of date.  Be sure you know what the statute of limitations is in your state.  If you decide to move to a different state, your statute of limitations law changes to the state that you move to.

5. Always, always respond to a lawsuit notice.  Find a lawyer and fight a time barred debt.

6. Remember that the time limit on debt can restart if you pay any portion of it, so if you know that you can’t pay on it then don’t.  You don’t want your time to be reset.

7. The time frame used to report negative debt on your credit report is different from the statute of limitations.  Your credit report will list bad debt for seven years, if the company you owe does not remove it.

It is very important that you pay your debts, never ignore them.   However, there are special situations that may require leniency.  You may have fallen on hard times and may not be able to pay as expected.  As a consumer, you have rights even if you are delinquent.  Take a moment and read the Fair Debt Collections Practices Act on FTC.Gov. and use your new found knowledge as a benefit.



©2018 by Felicia V. Petit-Frere.  All Rights Reserved. Felicia V Petit-Frere, MBA is a financial coach, founder and CEO of Windsong Financial coaching LLC (  where we help you become financially fit one step at a time.  Join me in a facebook group set up just for you, The Smart Money Maker, we offer free challenges, webinars and do it yourself or group programs.

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