This Article is About
debt claims
debt collection practices
fair debt collection practices
debt collection agency
certified mail
fair debt collection
credit card debt
wrong address
appropriate response
hard earned money
debtors
How To Fight Back Against Debt Claims
Join 1000's of Authors at StreetArticles Today!

How To Fight Back Against Debt Claims

It’s a scary thought to receive a collection letter for unpaid credit card debt. However, for many debtors who does not know how to properly handle a debt claim, we laid out a simple step by step instructions on how you can fight back against debt claims and avoid harassment.

Step 1: Read and Understand the Notice

The Fair Debt Collection Practices Act give debtors the upper hand in any consumer debt claims so don’t be too quick to hand over your hard earned money once you see a collection letter in your mail. First, read and understand the notice and then check if they got the right person. Some collection agencies are known for sending collection letters to the wrong address. Note if the debt amount is clearly defined and their contact details, so you can respond accordingly.

Step 2: Respond to the Notice

Once you read and understood the notice, it’s time to respond to it. The worst thing you can do at this point is to ignore the notice as this could result in a credit card lawsuit. Your silence over the issue could be translated as consent on the debt’s ownership! You will be given 30 days to dispute the debt so make sure you send an appropriate response within the given time frame.

Step 3: Check the Rules

If the debt is sent to you by mistake, it’s important to let the debt collection agency know in writing. Send the letter via certified mail with return receipt requested. On the other hand, if you own the debt, it’s best to check if the debt is within statutes. If the debt is out of statutes, the creditor can no longer file a credit card lawsuit nor threaten you with filing a credit card lawsuit to get you to pay.

Step 4: Take Action

Accepting or rejecting the debt claim is entirely up to you. If the debt is indeed yours, you can either offer a lump sum to repay the debt or propose a payment plan. If the debt is valid and legal, it is best to do the right thing and repay the debt to avoid a credit card lawsuit. However, do not respond to threats, abusive behavior or bullying. If such things occur during the course of the debt validation, you can sue the debt collection companies for violating consumer rights under the FDCPA.

Don’t be afraid to speak up if the debt collection company has crossed the line, threatening you with credit card lawsuits with no follow through and even jail time.


Street Talk

No comments present
You May Also Like
Practical Ways to Deal With Unexpected Debt Claims
The slightest misstep in a debt claim could result in costly consequences, which is why it is important to determine how to deal with a debt collector the right way. Under the Fair Debt Collection Practices Act, debtors have a fighting chance against abusive collection agents who are willing to…
By:  in  Finance  >  Credit   Jul 25, 2012  
0
  Likes: 0

Robo - signing: Inaccuracies In Credit Card Lawsuits
Over the last couple of years, an issue with mortgage industry’s robo-signing has been a subject of controversy. Robo-signing refers to documents against homeowners whose homes are about to be foreclosed, which were allegedly reviewed by are in fact, inaccurate. Instead of presenting the right information or correcting errors, someone…
By:  in  Legal  >  National State Local   May 29, 2012  
0
  Likes: 0

Handling Your Debt Collector Like A Pro
No one likes dealing with persistent calls debt collectors, particularly when you and your creditor cannot reach a settlement. However, if you are being harassed by creditors and are hounded with threatening phone calls, a line has been crossed and you need to take action. Debt collectors are known for…
By:  in  Legal  >  National State Local   Mar 16, 2012  
0
  Likes: 1

Things You Need To Know About The Fair Debt Collection Practices Act
Although many people are familiar with consumer rights law, not a lot of people understand how the law under the Fair Debt Collection Practices Act should be implanted. As such, many debtors are continuously being victimized by abusive creditors and debt collectors, living in fear of being sent to jail…
By:  in  Finance  >  Credit   Jun 28, 2012  
0
  Likes: 0

Other Illegal Debt Collection Practices To Watch Out For
Credit debt collectors are known for their abusive and in some cases, downright illegal collection practices. In this article, we will discuss some of the other illegal debt collection practices you should watch out for. Unpermitted Calls To Debtors’ Offices Sometimes, when creditors or debt collectors are running out of…
By:  in  Finance  >  Credit   Jul 03, 2012  
0
  Likes: 0

Protecting Consumer Rights Under The Fair Debt Collection Practices Act
Debtors are expected to repay the debt they incurred within the given terms of the contract. Unfortunately, a number of debtors got debts so high, they are unable of repay them at all. Creditors have the right to collect the debt, with a few limits, of course. The Fair Debt…
By:  in  Finance  >  Credit   Jul 09, 2012  
0
  Likes: 0

Credit Card Debt Basics: On Debt Responsibility
It’s not surprising that many debt collection companies will try to take advantage of grieving families to cash in on a deceased’s account. In fact, some do call up a grieving family member and would try to use the deceased’s name to make their kin pay for the outstanding balance.…
By:  in  Legal   Jul 31, 2012  
0
  Likes: 0

Credit Card Lawsuit: Collection Agencies Modus Operandi
The number of people who are faced with credit card lawsuit is in all time high simply because it’s big business as far as collection agencies and junk debt buyers are concerned. These days, buying and selling charged off account is a billion dollar industry where junk debt buyers and…
By:  in  Legal  >  National State Local   May 21, 2012  
0
  Likes: 0

How To Make Debt Collectors Play Nice
It used to be that debt collectors had the upper hand when it comes to dealing with debtors. These days, the table has turned, giving thousands of debtors a fighting chance against abusive debt collectors. If you are dealing with a debt collector and you have little clue on how…
By:  in  Finance  >  Credit   Jul 27, 2012  
0
  Likes: 0

Practical Ways to Deal With Unexpected Debt Claims
The slightest misstep in a debt claim could result in costly consequences, which is why it is important to determine how to deal with a debt collector the right way. Under the Fair Debt Collection Practices Act, debtors have a fighting chance against abusive collection agents who are willing to…
By:  in  Finance  >  Credit   Jul 25, 2012  
0
  Likes: 0

Credit Collection Laws And You
The Fair Debt Collection Practices Act and the Fair Credit Act has helped thousands of debtors free themselves from collection agents and junk debt buyers who act like complete Neanderthals when collecting debts. Junk debt buyers, collection agencies and sometimes, even original creditors are known mostly for their unforgiving, intimidating…
By:  in  Finance  >  Credit   Jul 17, 2012  
1
  Likes: 0

Illegal Collection Practices By Debt Collectors
Junk debt buyers and collection agencies are infamous for their collection strategies that range from threatening phone calls to actual credit card lawsuit. Threats of wage garnishment, property liens and fraud charges are also very common. Some collectors go as far as contact the people around the debtor, including employers,…
By:  in  Finance  >  Credit   Jun 26, 2012  
0
  Likes: 0

Credit Card Debt Basics - On Debt Responsibility II
Receiving a collection call for a deceased family member’s unpaid balance does throw someone off the loop. The first thing that comes to mind when receiving a debt claim after recently losing a family member is if you are really responsible for it or not. Unfortunately, some debt collectors are…
By:  in  Finance   Aug 05, 2012  
0
  Likes: 0

A Thing Of The Past: Unfair Debt Collection
Evidence of deceptive, abusive and gross misrepresentation by debt collectors companies have been found in abundance with years of unsavory behaviors on record. As such, Fair Debt Collection Practices Act or FDCPA was passed by the Congress in 1977 to minimize the escalating cases of abusive and unfair debt collection…
By:  in  Finance  >  Credit   Jul 29, 2012  
1
  Likes: 0

Making Debt Collectors Play Nice
It used to be that debt collectors had the upper hand when it comes to dealing with debtors. These days, the table has turned, giving thousands of debtors a fighting chance against abusive debt collectors. If you are dealing with a debt collector and you have little clue on how…
By:  in  Legal  >  National State Local   Jul 30, 2012  
0
  Likes: 0

Article Views: 1466    Report this Article