If you run into difficulty paying your bills, unpaid balances may be turned over to debt collectors. Once your bill has gone to a debt collector, you won’t hear from the original creditor anymore.
What can you expect from debt collectors? Here are the top 10 things debt collectors do:
You might want to ignore debt collectors and hope they’ll go away, but you can count on them to be very persistent about trying to collect.
Debt collectors need to successfully collect from debtors in order to make money. While they can’t threaten you, you can expect them to apply a lot of pressure, which may include frequent phone calls and plenty of letters.
It’s true that debt collectors can’t contact people in the middle of the night, but you may get calls from debt collectors as early as 8 a.m. and as late as 9 p.m.
While debt collectors aren’t able to physically show up where you work, they can call you there. You have the right to tell them you can’t talk to them at work, and once you do that, they shouldn’t be calling there anymore.
Debt collectors can reach out to people who know you to try to find out your whereabouts. They can’t discuss your debt with others, but they can ask for your address, phone number, and where you work. They should only contact other people once.
Ignoring debt collectors can lead to worsening problems. Debt collectors can seek a court order to take money out of your paycheck and possibly out of your bank account. It’s important for you to show up in court if this happens, or the court will rule in their favor.
Debt collectors are trying to collect a portion of what you owe rather than the full debt. This means they may be willing to negotiate with you to settle your account for less than you owe.
If you’re being represented by an attorney, let debt collectors know. Once they’ve been informed, they should only communicate through the attorney rather than calling you directly.
When collectors aren’t successful in collecting what you owe, they can sell your debt to a different company. This means you may hear from different collection agencies.
Since records of accounts in collections can seriously harm your credit, collectors may try to get you to pay by telling you they’ll report the delinquent debt to the credit bureau.
Make sure what’s on your credit report is accurate. Errors on credit reports are surprisingly common, and if you don’t keep an eye on your credit reports, you can end up dealing with debt collectors for accounts that aren’t even yours. Contact Dovly to find out more about our automated credit repair engine and how it can track and manage your credit.