Wednesday, February 10, 2010

Protection from Debt Collectors

Debt Collectors can Stress you out

Anyone who is in debt knows that a debt collector is capable of bringing more stress than the debt itself brings. These are not people who are habitually used to such practices. They are people who have possibly purchased your debt from the original lender at a lower price and are now trying to recover the money for a profit. However, they may not be getting paid a good salary for doing so. Debt collectors are most likely to be working on commissions on the recoveries that they make. They will make every attempt to recover the money from you, in such conditions. In the process, they will either make mistakes or go against the law. You should have a good understanding about your rights when dealing with a debt collector. There are instances of people being harassed for debts they did not owe. As they were aware about their rights, they have gone against! these debt collectors and won judgments against them. These are the things you should be aware off.

Understand Your Basic Rights

First of all, you must understand that a debt collector may only contact you between the hours of 8 AM and 9 PM; not before or after. They do have a right to get your residential address verified by your employer once. You are free to act against them if they insist on doing so consistently. They may not contact your neighbors in relation to your debt. Maintain a log of all contacts made, along with the time, for your records. Debt collectors can be requested by you to stop sending written correspondence. However, you will need to do this by sending a letter yourself. Retain a copy of the letter for your records. They may contact you in writing if they want to pursue further action in the form of a lawsuit.

Make Sure the Debt is Yours

If you ever feel that you have been wrongly targeted for your debt, you have the right to ask for proof that the debt exists from the collectors. You have until 30 days to make this request from the time you receive the first notice. The debt collector is obliged to provide you the name of the original lender, the amount owed and your name on the lender's documents. However, no time limits are set for replies to be sent. Debt collectors must provide all information about their companies. They must give you the information about who they are collecting the money for and the outstanding amount they are trying to collect. Debt collectors cannot represent themselves in a misleading manner or resort to threats under any circumstances. They do not have the right to take the law into their own hands. If there is a lawyer representing you in the case you may inform them to stop all contact. Information about themselves that is not true cannot be passed and your case cannot be d! iscussed with people not associated with the debt by them. If you feel that you have been unfairly treated, you have a right to make a complaint with the attorney general of your state and take legal action against the debt collector for harassment.

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