There are many factors beyond your control that contribute to you taking on debt. In fact, most people are unable to pay their bills due to the loss of their job, an illness, a divorce or other unexpected life event. These events can be trying, but it will not stop debt collectors from going after the money you owe them. They will be doing everything in their power to get you to pay their debt first, and that pressure can be overwhelming. At the end of the day, you need to know how to make the right decision for yourself and your family. The following tips will provide you with the knowledge to handle debt collection harassment and help you make the right decision.
Steps Worth Taking
Debt collectors have a handful of legal avenues with which to take if you do not pay their debt. They can stop doing business with you, report your delinquent debt to a credit bureau, contact you (by phone, writing, text, email) to ask you to pay or file a lawsuit to collect.
You also have a handful of actions you can take to combat the debt collection harassment you might be dealing with:
- Verify the collector – often times, people will receive scam phone calls from those pretending to be debt collectors. You should do your best to verify that the collector contacting you is legitimate before making any payments. Get their name, company, phone number and business address. More often than not, fake debt collectors will stop contacting you once you begin looking into them.
- Write a letter – there are many different types of letters you can write in regard to your debt collector(s). The easiest one to write is a “cease” letter, which basically requests the collector cease all contact with you about the alleged debt. If they continue to contact you, they are in violation of federal law. It is important to make and keep copies of any letters you write and any communications you receive.
- File for bankruptcy – this option should be reserved for when you have serious financial problems. If you are only facing debt harassment, writing a letter is your best option. Just know that filing for bankruptcy puts in place an automatic stay, which immediately prevents debt collectors from taking any collection action against you.
- Negotiate a settlement – sometimes the easiest route is to try and settle with your creditor directly. Avoid trying to settle with your debt collector — just reach out to the creditor instead. You might be able to negotiate a lower, affordable payment plan or a lump sum type of settlement, where you pay a majority of your debt and the creditor waives the rest.
Experienced Cherry Hill NJ Bankruptcy Attorney Can Help
It is always in your best interest to consult an experienced attorney when it comes to dealing with debt. An experienced bankruptcy attorney can make all the difference in your situation. In Cherry Hill, New Jersey, the place you should turn to is the Law Office of Joel R. Spivack. For more than 25 years Mr. Spivack has helped clients get the debt relief they needed. Whether through filing for bankruptcy or through alternatives to bankruptcy, the debt relief you seek is within reach. Just fill out the online contact form today and take your first step toward a fresh financial start.
The articles on this blog are for informative purposes only and are no substitute for legal advice or an attorney-client relationship. If you are seeking legal advice, please contact our law firm directly.