Confessions of a Bill Collector

Everyone has someone to answer to. We all have bills to pay, some of us have more bills than others and some of us REALLY have more bills than others and, in fact, probably think we have more bills than anyone! It's not easy to stay up to date on your bills when something unexpected happens; like gas prices climbing to almost $4.00 a drop, or job being eliminated, or your partner dying, or you car breaking down. When you fall behind it doesn't take long for the hungry bill collectors to start calling and demanding payment.

That's right - hungry bill collectors - and I really mean that, because they have people to answer to as well.

Some will call you every day, from 8:00am to 9:00pm. Some will call at work. Some will call your neighbors. Some will talk to the HR department at your job, or one of your coworkers. Others will talk to your kids, your parents, your babysitter. And the worst part of it is: all of this is legal!!!

Depending on how they do it. The best ones will stay within the law, the worst ones will break every rule in the book but all bill collectors have one thing in common: they are working for incentives, commissions and bonuses. The more they collect, they more they eat. So it's no wonder that they will bug you constantly until you either pay up, file for bankruptcy or leave the country. And even if you do all three, there is no guarantee that they will completely go away.

So here are 5 tips on how to get them to go away forever...

1. Disconnect your phone - easiest answer in the book. If your phone doesn't work, they can't call. Of course, this will likely cause a whole host of other problems. This is only a temporary fix and is recommended only in the short term.

2. Write a cease & desist letter and send it certified mail - If you request them to cease all contact in writing, and can prove that you did with a certified signature - then they are not allowed to call. Make sure you have caller ID, and don't delete any voice mail messages. You'll need these for proof.

3. Hang up the instant you have identified yourself. They are only allowed to talk to you once a day. If you hang up without saying who you are, then they can call back later on but if you say, "Yes, this is John Q. Delinquent" and hang up, they are not allowed to call you again that day (of course, they will likely call you at 8:00am the following morning - trust me, if you piss them off they will take it personally and make you a priority).

4. Read the FDCPA otherwise known as the Fair Debt Collection Practices Act. This is the law that regulates the third-party collections industry. Learn the law. Educate yourself so you can spot violations (believe me, bill collectors log dozens of them every day). If you can prove a bill collector violated the FDCPA, they are liable for $1,000 in damages and will pay your bill for you! You can find the full act here http://www.ftc.gov/os/statutes/fdcpa/fdcpact.htm

5. Pay your bill. Yeah, I know. Easy, right? But it's the truth. The only way to get them to go away for good is to pay your bill but make sure they send you a zero-balance letter when you're paid in full. There is nothing worse than paying $2,000 and three months later, a completely new voice calls and asks you for that same $2,000! It happens, so make sure you get a receipt. Remember, you don't have to pay the full balance. EVERY collections agency offers settlements, some times as low as 30% of the balance. Ask for a settlement, negotiate with them, be firm and fight back!! Settlements are a great way to save money and get your bills paid faster, but I'll talk more about this in the next article...