What should I do if a debt collector contacted me?

A debt collector contacted me about a debt I already paid. What should I do? If a debt collector contacts you about a debt you have already paid, you should let them know that you paid the debt. If you choose to, you may provide the debt collector with confirmation of your payments.

Can a credit card company collect on an old debt?

Old debt never dies, except in two states. An original creditor, the original lender such as a credit card issuer, or a collection agent have the legal right to pester you about an old, unpaid debt forever. The exceptions are in Wisconsin and Mississippi.

What happens when your credit card is sent to collections?

Having an account sent to collections can be stressful. But consumers have options — and rights — when going through the process. Loans for paying off credit cards, debt consolidation, home improvement and more. What is Debt Collection?

What happens when you pay a debt to a collection agency?

If you pay, the collector will earn a profit on its debt purchase. If a collection agency calls you rather than sending you a letter, simply tell the agent to send you everything in writing and then hang up the phone.

What to do if you are contacted by a debt collector?

If you are contacted by a debt collector, the Fair Debt Collection Practices Act (FDCPA), and many state debt collection statutes, provide you with an important tool: the verification letter.

Who is the original creditor of a debt collection agency?

Collection agencies are often more aggressive in their collection attempts and may take extreme measures. The “original creditor” is the first source of the money loaned. If they can’t get you, as the debtor, to pay your debt, they often turn the effort over to a debt collection agency.

Can a debt collector restart the clock on my old debt?

A collection account can remain on your credit report for 7 years plus 180 days from the date of your last payment on the original account. If playback doesn’t begin shortly, try restarting your device.

What happens if a debt collector violates the law?

You should know that even if a debt collector violates the law, the debt does not go away. You do have the right to sue, and if you win, the judge can require the debt collector to pay you damages. The court can also order the debt collector to pay your attorney fees if it is determined that they did violate the law.

How to report a debt collector to the CFPB?

Also, if you pay for a “return receipt,” you’ll have proof the debt collector received your letter. You can also fax the verification request to the debt collector and save the fax receipt as proof. If you’re having trouble with debt collection, you can submit a complaint with the CFPB online or by calling (855) 411-CFPB (2372).

What should I not share with a debt collector?

Please do not share any personally identifiable information (PII), including, but not limited to: your name, address, phone number, email address, Social Security number, account information, or any other information of a sensitive nature.

What to do if you get a collection call about a debt?

Find out who’s calling. Get the name of the collector, the collection company, its address, and phone number. 2. Get “validation” information about the debt. Within 5 days of first contacting you, debt collectors must “validate” or tell you the amount of the debt, the name of the current creditor, and how to get the name of the original creditor.

Can You fax a letter to a debt collector?

Can a debt collector call a family member?

The law: Collectors can call third parties such as family members, neighbors, friends, or co-workers only once to locate the debtor. When they do, they are not allowed to reveal the debt.. They can only make contact again under specific circumstances.