Collection Agencies Going After Debt That Is Not Yours

You and your family are going about your regular daily business when the phone rings and it’s a debt collection agency. They are trying to collect on a debt they think you are responsible for; however, you know that the debt isn’t yours. The collection agency can be quite ruthless and they may totally ignore your pleas. If you are experiencing such actions contact a financial lawyer to help you stop the collection agencies.

MSN Money states, “It may not be your debt, but it could be your problem. Collection agencies are bullying blameless consumers into paying debts they never owed.” They highlight the case of a Minnesota couple who was harassed by a collection agency looking to collect on a debt owed.

The article further spotlights the problems Paul Alappat experienced with Capital Management Services about a Chase account that he never possessed. Since the debt appeared as collection on his credit report when he went to buy a home, in order to get his home loan, he paid off the collection that was never his to pay. That was an extra $400 he shouldn’t have had to pay just to get the mark off his credit report.

The MSN Money article shares some steps to take if you are contacted by a debt collectors wanting money from you that you do not owe.

Steps to Take

• Know your rights
• Get the name, address, phone number of the debt collector
• Send a letter, certified with return receipt requested
• Contact regulators
• Monitor your credit reports
• Consider legal action

Whocanisue.com can help you find an experienced bankruptcy or debt collection lawyer to assist you with the complicated nuances of financial law and debt collectors.  

Know Your Debt Collection Rights
Take the time to know your rights when it comes to debt collection. You can visit the Federal Trade Commission’s article on the Fair Debt Collections Act to become well informed.

Get the Debt Collection Agency’s Information
When the debt collector is calling you, be sure to get their name, address, phone number, and any other information you can. This would include information about the debt they say is yours.

Send a Letter to the Debt Collection Agency
Send a formal letter to the debt collection agency informing them the debt is not yours and for them to cease and desist collection actions against you.

Contact Credit Regulators
If the credit collection agency continues to call, contact the credit regulators in your state; this is usually the Attorney General’s Office. Provide them with copies of everything you’ve done so far to resolve the misunderstanding.

Monitor Your Credit Reports
Monitoring your credit reports is very important and should be done by everyone yearly. However, if a collection agency is calling you about debt that isn’t yours, you should be monitoring the reports more closely. If the collection agency puts a bogus debt on your report, dispute it immediately. You don’t want to wait until you are actively seeking credit for a car or home to find out that the false debt has been placed on your report.

Consider Legal Action
Consider hiring an experienced credit repair or debt collection lawyer. Financial lawyers are experienced with the Fair Debt Collection Practices Act and they may be able to resolve the misunderstanding for you with the debt collection agency or bring a lawsuit, if necessary. A lawsuit may be necessary if the debt collectors are using illegal collection practices.

Wink News states on their website, “Collection agencies are in the business of collecting debt and they will go to extremes to find the debtor. In that process you might be targeted.”

It really isn’t fun to be contacted by collection agencies; however, that multiplies when the debt isn’t even yours.

Please be aware that, laws regarding debt collectors are complicated so it is important to speak with an attorney who specializes in finance. whocanisue.com can help you find an experienced debt collection lawyer in your area to assist you.