It is common for individuals facing piling debt to have their phone ring off the hook, their mailbox get full, and their emails to be piling with requests to make contact, make payment or make payment arrangements. This can no doubt be stressful and discouraging. People don’t intentionally fall behind and miss payments. And no one likes to field calls that follow with falling behind on payments. Most debt collectors believe that if they make enough calls, money will magically appear in your bank account and you will pay off the debt owed.
With everything going on, it is natural to want to hang up on the calls, throw away the mailed notices, and delete the emails. However, this may not be the best approach. Below are some reasons why.
- Payment Arrangements. In most cases, the creditor may be able to make an arrangement with you to help you catch up. They may allow you to skip some payment, waive the late charges, or make other short term arrangements to help you get back on track.
- Your Rights Under the FDCPA. You have certain rights under the Fair Debt Collection Practices Act (FDCPA) that you should assert. This law, which governs the actions of third-party debt collectors, mandates that collectors must validate a debt before continuing collection activities or report to credit bureaus.
- Debt Collectors Can Employ Dishonest and Abuse Practices. You are also protected under the FDCPA from certain dishonest and abusive practices by debt collectors. You can use such FDCPA violations as leverage when negotiating with a debt collector. Serious violations may entitle you to money damages. In order to identify these violations, you should first read the notices and answer calls of the debt collectors.
- Notices May Be Warning of Upcoming Actions. In some cases, the calls and notices from debt collectors can indicate upcoming actions you should avoid. These actions may include repossession, foreclosure, wage garnishment and other serious disruptions.
The only way to avoid further issues and get a hold on your debt is to reclaim control. In order to do so, you need information and should educate yourself about your rights and options. The best way to reclaim control is to answer these calls and read the notices and communicate it with an experienced Central Valley debt collection attorney. In some cases, the best option may be to even file bankruptcy. However, you should not make this decision without first consulting with an attorney.
Call an Experienced Central Valley Bankruptcy Attorney
If you are considering Chapter 7 bankruptcy, it is in your best interest to consult with an experienced bankruptcy attorney to help you learn your legal rights and options, especially with respect to Chapter 7 bankruptcy.