Dealing with Bill Collectors

In the current economy, it is inevitable that some people are going to fall behind on bills. For every delinquent account, there are going to be people calling to collect on it. No, it is not easy to deal with bill collectors. No, it is not particularly fun, but at the same time, it's necessary. Whether you want to protect your credit or the collateral (imagine having a car repossessed, which would not be a good thing). Here are some suggestions to possibly make the process a little easier.

Know the laws: Yes, one does have rights when dealing with collectors. The national set of laws is known as the FDCPA or Fair Debt Collections Practices Act. Violation of the FDCPA can be reported to the FTC or Federal Trade Commission.

Know when collectors can and cannot call: The FDCPA does set call times, between 8 am and 9 pm. It does not say anything along the lines of that collectors can't call on weekends and the only limits on the times of day are between 8 am and 9 pm.

Collectors cannot harass you: The FDCPA also states that cannot harass people, whether it be name calling or calling with intent to harass or annoy (if a collector calls 6 times in a row within 15 minutes or something ridiculous along those lines, that is harassment). No, the fact that they are calling and asking for money does not constitute harassment.

Yes, you can cease communication: It's the easiest to have collectors cease communication at your place of employment, all you have to do is say that you may lose your job as a result of the phone call. That's it; there should be no further questions. Conversation over. It is also possible to get collectors to stop calling you at home, all you need is to ask for an address to send a cease and desist letter. Yes, it works but then at the same time companies cannot work with people if they can't talk to them.

Paying nothing is not going to be well accepted: If you decide that it is the right time to talk to the collector saying that you are able to pay nothing may be the truth, but it is not going to be well accepted. Yes, a collector is paid to collect money. A better way to go about it is to know what you can pay and when. If its ¼ of a payment a year down the road, chances are that is not going to be an acceptable arrangement, but if it is reasonable and the company is willing to work with you, something can usually be worked out.

Be prepared to answer a lot of questions: Yes, collectors ask questions. These are not meant to embarrass. It's just fact. Sometimes based on these answers payment programs may be available. So answer the questions honestly. It makes things a lot easier.

Just because one company does something, doesn't mean another will: Lenders have their own guidelines for what they need to do. Just because one lender does things one way does not mean another will.

Be nice: Yeah, its one of those simple things, but a collector is more likely to go out of their way to help if you're nice to them. Plain and simple. Also, if a collector is not being nice ask to speak to someone else. Nobody has the right to be rude whether it be the collector or the debtor.

Even though it's hard, working with collectors is usually easier than working against them. Sometimes it can be helpful, and it would be nice to clear up the burden of having those debts over your head. Just know your rights and use some common sense, and that may make the experience a lot more pleasant.