Asking For Debt Validation Is A Powerful Weapon Against Debt Collectors

By Author: victorcs
Total Articles: 7
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Debt Validation is one of the best ways to ascertain if you really are liable to repay a particular debt. The first point you must consider if a debt collector calls you is whether this collector can legally collect any money from you. Even if you recollect owing an amount to a creditor and this collector may be collecting for the same debt, unless you get a proof of your debt you should not commit to any payment.

Consider the following questions before even believing the debt as yours:
How do you know that this debt collector is actually collecting for your original creditor
What legal documents does he have to prove that he is legally authorized to collect
How much is the actual debt
What payments have already been made on the account
Where is the accounting of the debt, including all interest and fees
Are these fees and interest amounts legitimate
Do you really owe this debt collector the money or was it actually a third party
Where is the contract showing that you made a deal with him

The Fair Debt Collection Practices Act (FDCPA) is a federal statute enforced ...
... by the Federal Trade Commission (FTC) to regulate and monitor debt collection practices. This Act does not cover collection practices by original creditors. The FDCPA is concerned about debt collectors who have bought a debt from original creditors, who regularly collect or attempt to collect, directly or indirectly, debts owed or due or asserted to be owed. If an original creditor engages a collector who happens to be a lawyer, he would still be considered a debt collector.

A debt collector has to provide you the details as to how he can attempt to collect this debt from you. He must provide you the proof of owning the debt in the form of a contract. The contract should have details of the sale of debt by the creditor to the debt collector. You have a right under the FDCPA to demand a complete history of the debt in question. He should provide you account statements from the original creditor. At the least, he should provide you a copy of the original loan agreement or credit card application that was processed for your card.

The FDCPA is a stringent federal statute that enforces such policies to ensure fair collection. Third party collectors often buy these debts from original creditors for a small payment and use all types of methods to realize money from you. Seeking validation of the debt you are being harassed for is the best method to keep unfair debt collectors at bay.