Debt Collection–some Tips For Dealing With Old Debt

The business of debt collection has become very lucrative and
the collection of “old” is on the rise It would be wise to know
your rights when it comes to getting collection calls for old
debt especially debt that is excess of seven years and no longer
appears on your credit record
1 Be aware of the statute of limitations in the state you live
and in the state the debt was incurred if they are different If
it has expired, the collection agency will have limited legal
options
2 You may want to ignore the call If the statute of
limitations has expired they have very little recourse and you
have a lot to lose by negotiating repayment Repayment could
cause it to be relisted on your credit report again
3 Write them a letter and send it certified mail Do not admit
to the debt Once they have received the letter the law
prohibits them from contacting you again
4 Know what your rights are A copy of the Fair debt Collection
Practices Act or a copy of “Money Troubles” by Leonard will
familiarize you with what your legal right are
5 Watch your credit report If you see something on your credit
report that is incorrect, you can dispute it with the credit
bureau If the reporting agency or creditor can not prove that
the information is correct, it will be removed
6 If the statute of limitations is still current, you may want
to try to work out a settlement with the agency Negotiate with
them and see what you can get worked out
Collections has become a very lucrative business Knowledge is
power You will best be able to handle your debts if you know
what your rights are and where you stand

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