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Debt Relief: Research Reports: Difference between revisions
→Collection Agencies
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A collection agency is a company that is contacted by the original lender to collect past due and defaulted accounts. (www.spu.edu) | A collection agency is a company that is contacted by the original lender to collect past due and defaulted accounts. (www.spu.edu) | ||
The Federal Trade Commission states that if you use credit cards, owe money on a personal loan, or are paying on a home mortgage, you are a debtor. If you fall behind in repaying your creditors, you will probably be contacted by a collection | The Federal Trade Commission states that if you use credit cards, owe money on a personal loan, or are paying on a home mortgage, you are a debtor. If you fall behind in repaying your creditors, you will probably be contacted by a collection agency or a "delinquent debt collector". | ||
The FTC also gives a few tips on a fair debt collection. There is an act that requires that debt collectors treat you fairly and prohibits certain methods of debt collection. This is known as the Fair Debt Collection Practices Act. This does not mean that your debt will just go away. You still have to face this debt head on. This just protects your rights. | The FTC also gives a few tips on a fair debt collection. There is an act that requires that debt collectors treat you fairly and prohibits certain methods of debt collection. This is known as the Fair Debt Collection Practices Act. This does not mean that your debt will just go away. You still have to face this debt head on. This just protects your rights. | ||
You can avoid these agencies all together by simply managing your money right. Self-Help may be the Best Help. | |||