How to Deal With a Collections Agency

Collection agencies are at the bottom of the barrel when it comes down to business. The only thing they care about is cold, hard cash. They don't care if you’ve just lost your job, your spouse, or your health. Their job is to bleed you of money, whichever way they can. However, you can stop them in their tracks by applying your newfound knowledge and the law. There are several tactics you can use in standing up to a collection agency, including saying the right words, sending a detail letter, or quoting the law. Listed below are some of strategies collection agencies will use against you.  I have also provided you with ways to counter their abusive tactics. 

What are some of the collection agency phone tactics?

• They will use various tactics to try to get you to pay your debt.
• Once they get a judgment against you, they will keep calling you to try to get personal information to assist with their enforcement.
• They will threaten to criminally prosecute you for writing bad checks. 
• A collector may threaten to take your home if the debt is not paid.  
• They will also assemble information on you looking for a weakness. 
• They will say that you have to deal with them and not the creditor. 

How to Deal With a Collections Agency - How can I respond to them?

• You can respond by sending them a cease and desist letter.
• Ask them whether you can tape the call, which will force them to be courteous.
• Let them know that you will be contacting the original creditor about their abusive tactics.
• Let them know that you will consider legal action if they keep violating the law.
• Let them know that you know your rights, and if they violate them you will sue.
• If they are trying to collect for a professional, like a doctor or a CPA, threaten to file a complaint against the professional.
• Let them know you will complain to the FTC, attorney general's office, state licensing boards, and their collection organizations.
• If the state statue of limitation has expired and the collector tries to collect, let them know that they are in violation of the FDCPA.

How to Deal With a Collections Agency - What if it’s a collection attorney?

The in-house collection agencies are not subject to the Fair Debt Credit Practicing Act, so if you send them a Cease and desist letter it has no weight. The Federal Trade Commission Act prohibits an unfair or deceptive trade practices. If you feel that the creditor's collection agency violated the FTC Act, you can seek sanctions.  Example of a violation, the collector calling your job when you can't have personal phone calls. You can also file a complaint with your local attorney general’s office and that should stop the in-house collectors. Now, some state subject the in-house collectors to the FDCPA so check with your state laws. 

As you can see there are many ways, you can deal with an abusive collection agency. Whenever a collector calls or writes you and tries to use the strategies listed below, counter them with your now-found knowledge. I guarantee that if you employ the techniques taught in this article. You will get the collectors to back down. Now that you are empowered with new information, go out there, and take action.