Saturday, March 30, 2013

How Should You Deal With Debt Collectors?

Judgments can be much more powerful than a debt. A judgment may be utilized to grab (garnish) part
of your wages or your bank account, and occasionally auction off your assets at a Sheriff's sale,
to satisfy their judgment. Judgments can get recovered without a phone call or letter to you.
Debts can't be used to levy your property, unless and until you are sued, to transform your debt
into a judgment. 

Debts (not a judgment) are usually recovered by mailing you and telephoning you; and occasionally
suing you. My articles are my opinions and are not, legal advice. I'm a judgment referral expert,
and not a lawyer. If you ever want a strategy to use or legal advice, please retain an attorney.

Debts and judgments both do expire, although their expiration times are usually different, and
judgments can most often be renewed. If your creditor sues you to win their new judgment, that
judgment timeline starts fresh.

When your SOL (debt collection Statute Of Limitations) is expired, tell the debt collector that;
and that should wake them up. What is the Statute Of Limitations in your state? A web search will
quickly provide this answer. The state average nationwide is close to five years. When the Statute
Of Limitations has not run out, and you cannot repay your debt in full, then you can attempt to
negotiate and attempt to settle the debt.

There are laws that limit what collectors may do, however if you owe money; you have to expect
the creditors to try to collect. most debt collectors follow every law. However, some do not, and
it is best to learn the federal and state debt collection laws. A search on the web will list the
laws, however some basics on how to deal with debt collectors are:

1) Remember your own financial situation, and don't offer a settlement for more than you could
handle. With some folks, it is a matter of which debt collector to try to pay back first. The
creditors that are consistently nice, or have leverage (as an example those planning to sue you
to win a judgment) are more likely to get some payment, than rude debt collectors with no actual
leverage.

2) Explain your financial situation. When you cannot repay them in full, tell them the reason.
Share with the creditor some evidence that you have experienced a financial hardship, and don't
have the money required to repay the total amount. Do not waste your time on trivia, your life's
story; or how wrong the debt was, unless there was really some mistake made which you can
document. 

3) Remember your rights. These kind of rights include that debt collectors can't contact you
prior to 9 AM and later than 9 PM, or threaten you with jail time, or threaten to sue you unless
they actually are prepared to sue you. When your rights gets violated, inform that debt collector
that you are aware of your rights, and that you can take the required legal actions if they are
needed.

4) As much as possible, try to keep communications in writing. Consider sending any letters with
certified mail using return receipt request. When you need to use a telephone, write down the
name of any individual you have talked with, and the time of each call. This may later come in
handy.

5) Do not pay anything without having a written agreement in place. Whatever is not in writing
can turn into some kind of miscommunication.

6) Until there's an actual judgment lodged against you, you don't need to give the debt collector
any personal info; for example the place that you work. (If somebody gets a judgment, they may
schedule a judgment debtor examination and document subpoenas to learn your income and finances.)

7) Stay patient, the majority of collectors will begin by turning down any beginning settlement
offer. Over time, your first offer may become much more attractive to your creditor. Reaching the
best compromise usually requires patience.
----------------------------------------------------
Mark Shapiro of http://www.JudgmentBuy.com - The easiest and fastest free way to find the right
expert to buy or recover your judgment.

Posted by 
J.Randall Frier

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