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rapidrecov
What Can A Debt Collector Do And Why Do Debtors Pay? - Subscribe
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When speaking with a debtor, many collectors (especially those without much experience) will use a script, which contains a pre-written introduction, request for payment, and has various branches to follow, depending on how the debtor responds. If one debtor in particular is taking up too much time without making arrangements to repay the debt, the collections agent may be inclined to move on to other accounts. Any information that the debtor gives about his/her financial situation (e.g. income or current employment, etc.) will be recorded on the file's record and used to estimate the probability of a recovery, the advantage of legal action, and so forth. So what can a collection company do? If they are working the debt 100% commission, they can send some more demand letters and make some more scripted phone calls. They can also mark the item as negative with the credit bureaus. In the case that they are working on contingency, they have the authority to recommend filing suit, or if they own the account, they can file suit themselves. However, the actual chances or intentions of this are often quite less than they try to suggest to the debtor. Collection companies can not legally seize a debtor's assets, bank accounts, or garnish wages unless there has been a successful lawsuit already that comes with a judgment awarded in their favor. Collection agencies can't legally make any kind of public announcements or disclosures concerning the debt, except to the credit bureaus. Collection companies can not legally get a debtor fired from his/her job. Collection companies can not legally engage in any type of physical violence or threats thereof. Why does a person in debt pay? A number of times the reasons include guilt, intimidation, fear and a lack of knowledge of the legal remedies available. Plus it is the right thing to do. The debtor may feel guilty and ashamed of being a "deadbeat," and may perceive a judgment of his/her value as a person. The debtor may have greatly exaggerated ideas about what collectors are (legally) capable of doing, and may have outdated stereotypes in mind. The debtor may be overwhelmed by the aggressive and relentless demands, from companies that may seem so powerful. She or he may take it personally, and come to the conclusion that great individual attention is being given to this particular collection file. Customers being contacted by collection agencies are typically in serious financial distress, and under emotional pressure about the general situation, so they might be confused and defenseless. |
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rapidrecov
Debt Collector Scam- An Oldie But A Goodie! May 28th, 2010 11:13:07 am - Subscribe
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Even though it's an oldie, apparently it's still a goodie. Enjoying a recent boost in popularity, the fake debt collector scam still fools unknowing victims. First, you will get a phone call from a number that will not be recognizable. Sometimes, it will seem legitimate, but ultimately, not familiar. When you get the call, the person calling will let you know that they are a debt collector with so and so debt collection agency, and that this is an attempt to collect debt. At times, the phonies have been known to claim that they are working in addition to a local lawyer to get your delinquent account settled. The conman will tell you that you have accumulated a large amount of debt from a previous account. Typically, the crooks will tell you that you potentially owe them thousands, but if you are willing to settle, they will "settle: for, oh say, five hundred dollars. And could you wire the money via Western Union? An interesting hint of ingenuity on the part of the scam artists is that many times these calls will arrive on a late Friday evening, or afternoon. When they call at these times, any government offices that you might report this to will be closed. On numerous occasions the phony debt collectors will be calling from outside of the United States. An example of this was a recent scam involving a call center in India. Using services in order to mask their number, call centers located outside of the country may even choose a number from an area code nearby to where you live. If you have gotten a call from a bill collector that you feel might be a scheme, it is important to be vigilant. Ask your debt collector for a written statement of your debt. If they won't provide you with written proof, don't fork out any money to this suspicious agency. If you feel as though you may have been victimized by a phony bill collector scam, it is necessary to file a report with the Attorney General's office in your state. It is important to collect as much information as you can to provide more details in your complaint. |