The news about collection agencies just keeps getting uglier. Several agencies have been shuttered for allegedly having collectors impersonate police and threaten debtors with arrest, according to Dow Jones Newswires.
Remember, even if you're being called by a legitimate collector, you have the right to instruct them
not to contact you any further. Use our
"drop dead letter" to help. Of course, it doesn't mean they'll comply; some collectors care about the law and others don't. And they can still sue you or ruin your credit even if you've restricted contact.
Meanwhile,
The Wall Street Journal reports that some legitimate collectors are now checking the credit scores of debtors everyday to monitor any sudden rises. If there is a spike, you can be called up to 12 times a day. Call volume is up about 50% because of this new and totally legal tactic.
Of course, any discussion about owing money should mention the ethical issue. If you owe a debt and can afford to pay it, you should. The problem is that many people can't honor their debts at this time.
Finally, if you're contacted in writing about a debt, you have 30 days to respond. Even if the debt belongs to someone with a similar name, you still must contest it in writing (send your response certified mail return-receipt requested) to challenge the validity within 30 days.
