Debt Validation: The ultimate weapon against the collection agencies
You could try to use debt settlement methods with a collection agency, but you might want to try debt validation first. Why? Because they may not even be legally entitled to collect the debt from you.
Think of it in these terms: Even if you suspected you might owe Joe (original creditor) some money, and Bob (collection agency) came up to you and asked for Joe’s money – would you just hand over the cash? No. No one would. These might be some of the thoughts you would have:
1. How do you know that Bob is actually collecting for Joe? What legal documents does Bob have to prove that he is legally authorized to collect?
2. 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 legit?
3. Do you really owe Joe the money? Or was it actually a third party, Sam? Where is the contract showing that you made a deal with Joe and not Sam?
If you keep all the legalese out of it when thinking of legal proof, you’ll have an easier time figuring out what to ask a collection agency (Bob) for to validate a debt.
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