What's Your New Years Resolution?

Is your New Years Resolution to get out of debt? If so, just start with the steps listed in the previous posts until you can learn how to really manage your money. You want to get a head start on paying off your debt and making sure to keep all receipts and documentation. It may be difficult at first but once you get into a daily routine of saving little by little you will be able to save not only for your bills but for emergencies and extra stuff that is important.

How to handle debt collectors-

Debt collectors can sometimes be mean and cross over the line. Know what your rights (Fair Debt Collection Practices Act) are so that you don't fall victim to them.

-You have 30 days to validate your debt by sending a debt validation letter, remember to get a mail receipt so that you know they have received it.
-They must respond to your debt validation letter, request everything in writing.
-Debt collectors cannot call and threaten family, friends or neighbors
-They cannot garnish your wages unless they get a judgment against you in court
-They cannot call your place of employment if you have requested it in writing and said that your boss does not allow collection calls.
-They can only call between 8:00AM-9:00PM
-If you request in writing for them to not contact you and you get a mail receipt they cannot contact you.
-They must be confidential about their reason for contacting you
-They cannot threaten to harm, threaten or harass you (record all calls)


Sample of debt validation letter:Created by Laura
Your Name
Your Address

Name of CA
Address of CA
Date:

Re: Your Account No:

Dear Sir/Madam,
I checked a copy of my credit report and realized that there was a collection reported from your agency on my credit report, which I was not notified about. I do not reject to provide with the debt amount. However this a notice sent pursuant to the Fair Debt Collection Practices Act, 15 USC 1692g Sec. 809 (b) that your claim is disputed and a validation is demanded. This is asking for proof regarding the debt that I owe and verifying it.
I am requesting you to stop all collection activities including reporting this information on my credit report. I am sure that you are aware of the fact that non-compliance with this request will end up in legal obligations.
Please dispatch copies of the following with your reply:

1. The agreement which authorizes you to collect debt on the assumed debt.
2. The signed agreement from the debtor confirming to pay the debt
3. The documents regarding the payments made on this account and validation of the amount.
With regards,

Your Signature
Your Name


To read more
http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre18.shtm

Debt collectors are doing this because they know that people do not know their rights. If a debt collector breaks these rules and you have proof you can probably take legal action.

Is your New Years Resolution to get out of debt? If so, just start with the steps listed in the previous posts until you can learn how to really manage your money. You want to get a head start on paying off your debt and making sure to keep all receipts and documentation. It may be difficult at first but once you get into a daily routine of saving little by little you will be able to save not only for your bills but for emergencies and extra stuff that is important.

How to handle debt collectors-

Debt collectors can sometimes be mean and cross over the line. Know what your rights (Fair Debt Collection Practices Act) are so that you don't fall victim to them.

-You have 30 days to validate your debt by sending a debt validation letter, remember to get a mail receipt so that you know they have received it.
-They must respond to your debt validation letter, request everything in writing.
-Debt collectors cannot call and threaten family, friends or neighbors
-They cannot garnish your wages unless they get a judgment against you in court
-They cannot call your place of employment if you have requested it in writing and said that your boss does not allow collection calls.
-They can only call between 8:00AM-9:00PM
-If you request in writing for them to not contact you and you get a mail receipt they cannot contact you.
-They must be confidential about their reason for contacting you
-They cannot threaten to harm, threaten or harass you (record all calls)


Sample of debt validation letter:Created by Laura
Your Name
Your Address

Name of CA
Address of CA
Date:

Re: Your Account No:

Dear Sir/Madam,
I checked a copy of my credit report and realized that there was a collection reported from your agency on my credit report, which I was not notified about. I do not reject to provide with the debt amount. However this a notice sent pursuant to the Fair Debt Collection Practices Act, 15 USC 1692g Sec. 809 (b) that your claim is disputed and a validation is demanded. This is asking for proof regarding the debt that I owe and verifying it.
I am requesting you to stop all collection activities including reporting this information on my credit report. I am sure that you are aware of the fact that non-compliance with this request will end up in legal obligations.
Please dispatch copies of the following with your reply:

1. The agreement which authorizes you to collect debt on the assumed debt.
2. The signed agreement from the debtor confirming to pay the debt
3. The documents regarding the payments made on this account and validation of the amount.
With regards,

Your Signature
Your Name


To read more
http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre18.shtm

Debt collectors are doing this because they know that people do not know their rights. If a debt collector breaks these rules and you have proof you can probably take legal action.