Everything You Need to Know About Collections
If you've ever gotten a collections notice, you have an idea of the unease that accompanies such a situation. This can be incredibly uncomfortable when you know you have a pending payment but didn’t handle it on time. Understanding how collections work is crucial, as well as how to prevent them or deal with them.
Why did I receive this collection notice?
You receive a debt collection notice when you’ve not paid your accounts for an extended period. However, before notifying you, creditors will try to retrieve the debt in the space of 90 to 120 days and employ a debt collector's services when they’re unsuccessful.
What if I thought I already paid for it?
In this case, you need to let the debt collectors know that you’ve settled your debts and provide ample proof to back your claims. Evidence can come in the form of canceled checks, credit card statements, and copies of correspondence. If you can’t provide this, you can contact your creditor to obtain the necessary information.
Who sent me the letter?
A debt collection letter is issued by either the creditor or a debt collector agency and can be given to either consumer or commercial debtors. The letter aims to remind you of your overdue payment, initiate payment negotiations, and the legal processes involved.
How to avoid this in the future?
Staying out of debt is a sure way of avoiding debt collection. However, if it’s challenging to do so, ensure you make your payments in due time. If you can’t meet the required timelines, you can consult with your creditors to discuss other payment options. Try not to avoid the debt payment, as it could have dire consequences.
When does an attorney get involved?
You can employ the services of an attorney when debt collectors harass them. The Fair Debt Collection Practices Act (FDCPA) has rules governing debt collection, and violation of these rules can get them in trouble. For example, the use of abusive, deceptive, or unfair practices by debt collectors is forbidden.
If you need expert advice on Collections, Mattoon IL, the Law Offices of Winter-Blake & Baker are on hand to assist you. These trusted attorneys help you understand their rights and advise them on what to do in these situations.