Do you feel like you are being harassed by a debt collector? It never feels good to be behind on your bills, and it can be difficult and even overwhelming to deal with phone calls and letters from seemingly uncaring debt collectors. However, there are several steps that you can take to ease the situation so that both you and your creditor will be satisfied.
First, do not dodge all of the debt collector’s phone calls. Most debt collection agencies now use automatic dialers. That means that one debt collector is not targeting you. Your number is in the system, and your number will be called for weeks or months until someone picks up the phone. However, you should know that debt collectors cannot let the phone ring endlessly. Most debt collection agencies have a policy of not letting the phone ring more than five times. You may have a case for harassment if the debt collector calls and lets the phone ring more than that on a regular basis. In addition, a debt collector can only contact you between the hours of 8:00 am and 9:00 pm in your time zone. If a collector calls you at an inconvenient time, the collector must stop calling you at that time. You can even ask for the collector’s phone number and call him or her back so that you can discuss the matter whatever time you wish.
Once you decide to talk with a debt collector, you should pay attention to what the collector says and how they say it. Collectors must identify who they are and the company they work for, but they are not supposed to identify their company until they have verified that they are speaking with the debtor, or the person who owes the debt. Disclosing the company’s name and information about the company may count as third-party disclosure, which is illegal. Debt collectors are not allowed to disclose the fact that you are in debt to anyone but you. You may wish to provide a collector with a direct number to you, such as your cell phone, so that your family and coworkers do not pick up the phone and figure out that the person calling is a debt collector. A collector must remove a number from the system if you tell him or her that it is an inconvenient number if you provide a better number for you. However, the collector may call back the original number if you give an erroneous number.
Just because you are in debt does not mean that you do not deserve to be talked to respectfully. Debt collectors are not allowed to raise their voices or talk to you in a demeaning or threatening way. They cannot use foul language, and they must remain professional. If a debt collector takes on an unprofessional tone with you, your best bet may be to ask to speak to a manager. A manager will most likely take the complaint seriously because the federal government is cracking down on debt collection agencies to reduce debtor harassment. However, it is important to keep your cool and refrain from yelling and using profanity because a manager will be less apt to take your complaint seriously.
It is important to remember that debt collectors are people too, and they are just trying to do their jobs. Most collectors make commission on the debts that they successfully collect, but collecting one debt alone is not going to make it or break it for them that month. You will have the most success if you are honest with a collector about your situation. Answer their questions, and do not rush off the phone just because you find it embarrassing, annoying or stressful. The collector will probably first ask you to make a payment in full right there on the phone. This will happen whether your debt is $30 or $30,000. That is what debt collectors are trained to do on their calls. This is your opportunity to negotiate.
There may not be a lot of negotiation when it comes to small balances aside from the date that you pay. Your collector may not offer you a payment plan for a small balance debt, but you can opt to set up a post dated payment for later in the week or month. A debt collector will count that as a win. However, debt collectors do not like to hear that you will call back or send in a check or a money order later in the month. Simply saying that you will send in the money when you have the funds will not hold off the calls, either. Collectors want to know exactly when they will get the money.
If you have a larger balance debt, you should ask about payment plans. A collector may even work out a deal with you so that you can pay off the balance over several months. However, make sure that you try to pay all that you can toward the debt each month so that the original creditor recognizes that you have intent to pay off the debt in a timely manner. Once the collector enters a payment plan with post dated payments into the computer system, your number will most likely be removed from the automatic dialer system unless you default on your payments.
If you simply cannot pay anything right now toward your debt, be honest about your situation and give details about where your money is going. If a collector truly believes that you cannot pay right now, he or she may put your account on the back burner. You may also ask that the collector call you back on a certain date in a few weeks so that you can have some time to figure out your finances. You can even tell a collector to contact your attorney or a debt consolidation group if you are filing for bankruptcy or if you are using debt consolidation to mediate your financial situation.
The most important thing to keep in mind is that communication is key when it comes to dealing with your debt. Avoiding collection calls and throwing out letters will not make your debt go away. In fact, your balance may continue to grow due to late fees and interest costs, and the original creditor may decide to sue you for the debt. Keep an open line of communication, and you will be well on your way to taking care of your debt.
