Here are the 4 Steps to Take When Dealing with Debt Collection Agencies


Intro-Debt Collection at the Roots

Getting constant calls from debt collectors, who are threatening you about your overdue debt? You need to know how to deal with these calls and how to stop them for good. There are always ways to work with your debt and negotiate the amount to pay less. Don’t be afraid to reach out for help when it comes to negotiating debt. You do not have to pay it all! Negotiation is the key to solving all you’re your debt worries.

1. Don’t give in the first time they call

You may think that giving in and paying the debt collection agencies is the best thing to do when it comes to collection calls, but paying is not always the answer. First, make sure the debt is actually yours, and that the amount is correct. When is comes to debt, collections agencies buy it from the banks for a reduced amount, once the bill is more than 180 days over due in most cases. This window opens up the opportunity for negotiation. When this debt is sold, the information can sometimes be transferred incorrectly. This is why it is so important to check first and make sure that it is not only your debt, but that the amount is correct.

 2. Keep Records of everything/ get everything in writing

Always write down your interactions with the debt collection agencies and get the name of the person you are speaking with. This way if they decide to try to go back on the negotiations you have it in writing that they said otherwise. Also, make sure to always request a written invoice from the debt collector as proof of the conversation.

3. Know your rights and don’t be afraid to negotiate

If you don’t feel comfortable negotiating your own debt amounts, call a professional. debt settlement companies are here to help do that for you! Make sure you do your research on the company. Never work with a settlement company who tells you to stop paying your debt so it can be settled!

4. Managing Debt

Once you have a settled amount, you can either decide to pay off the amount in one payment or set up a payment plan. It is important to follow through on this step in the process to complete your settlement journey! From here you can move on without worrying or being harassed by collection agencies! Your credit will show that the debt was settled and your score will go up once the payments are made! Financial freedom is just a phone call away!