Dealing with debt collectors

If you take money from creditors and can not reimburse in time, then the creditors would convey your repayment case file to the debt collection agency or debt collectors. In exchange they would be rewarded with a good percentage of commission from your total debts by pushing you to repay. More often they would not comply with the law and cause the debtors a lot of hassles. Thus, it is important that the debt-victims should note the following points-

Debt collectors are not supposed to do the following:
- Contact you between 8am & 8pm
- Imply filing a lawsuit against you (excepting your creditors)
- Threaten to communicate with your boss
- Try contacting you while you are at work
- Try to impose a penalty on your wages
- Attempt any corrupt or unjust techniques

If they are not in compliance with the above points, then what should be your next course of action?

1) Respond to their calls, make them aware that they are disturbing the personal lives and ask them to quit calling. Also let them know that you are capable of setting it out with your creditors alone. Most probably they would stop calling after this.

2) You may offer a detailed account of everything and let them know about your hassles and also request them to cancel all your contacts. Don't forget to furnish your account number for which they would try to collect the debt. Explain how you would settle the matter directly with the creditors, and warn them of the dire consequences once you report the matter with the Federal Trade Commission following their failure to comply. The moment your letter reaches to debt collectors, they would be forced to stop harassing you.

3) While you are in deep trouble you can hire a lawyer, since it would ensure your peace of mind. Settlements are generally worth a thousand dollars (excluding the expenses), except when you can show that you are jobless or had gone through a severe mental trauma due to the debt collector's practices then you may gain more.