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When Debt Collecting Strikes You: How to handle them from Day 1

It can happen to the best of us but first take a deep breath and don't panic. Debt collecting is a common practice but you should never feel like it's out of your control or hopeless. There's several things you can do to get ahead if you find yourself landed in debt.

Gather all the information possible on the debt collecting

If you have a debt to pay you want to make sure you've got all the relevant details. Debt collectors tend to be aggressive as it's their job to get the amount due paid off. However, you have plenty of consumer rights to protect you. You have the right to know their name, company, and relevant contact information. Every communication with them should always be documented and summarized for future use.

You also should have the means to validate the debt. Debt collectors are meant to forward specific details about the debt to you, so this is possible. That means you need to receive a written notice from them that will also specify the original creditor as well as the possibility for you to dispute that debt.

Debt collectors are also built to collect as much of your debt as possible. There are times when everything is negotiable. So it's important to be upfront and have open communications with debt collectors to see the best approach to repaying those debts.

You shouldn't sit on it and do nothing, though. There are fees and interest that debt collectors can charge and add to your overall debt through the law's limit, but it will also add to the amount you owe.

Know your rights with the debt collecting!

The law that protects you concerning debt collection is actually federal. So you should never be threatened or harassed, or even misrepresented when it comes to debt collection. Always make sure to only communicate in writing so everything is traceable and easy to reference later on if need be.

There's also a statute of limitations to consider that once a specific period of time has gone by, debt collectors can no longer go after you for any collection if that time period has passed. Make sure to do proper research into this, and specifically which state the debt is coming from.

Last but not least – consider a lawyer

If there's been a breach or you feel there have been unlawful practices against you then there's always the option of going down the legal route. Paying your debts with a collector should be a simple and stress free process. So by consulting with a lawyer you'll get the right guidance on how to ensure you're being treated fairly.

In the end

Remember to take control from the beginning and work to get into a comfortable position of repayment after you've confirmed everything is valid in writing. There are a load of resources out there to help you. So you should never be harassed at any time during this process.