Even if you are buried under a mountain of debt, you still have rights. Thanks to the FDCPA, one right you are granted is debt validation.
What is Debt Validation?
Essentially, you have the right to ask your creditor for reporting information that really proves that the debt is yours and the amount is accurate.
Not only do debt collection agencies have to prove the debt is yours, but they also are required to show proof that they own the debt and have the legal ability to collect it.
To request that your debt be validated, send your creditor a letter asking them to do so.
If a debt collector has been harassing you on the phone or in person, you are also allowed to send the collector a cease and desist letter.
Once this letter has been sent, the collection agency must stop all forms of contact with you until they can validate the debt.
Sadly, there is no necessary timeline a creditor must follow in order to validate the debt, so it can be a waiting game.
More often than not, a debt collection agency will not have the proper records to show that you are the true owner of the debts.
The collection agency can also have a hard time trying to find the exact balance that you owe.
This is due to the fact that oftentimes debt is sold off cheap by the original creditors and can be resold an infinite amount of times.
Debt collection is a tricky business. With debt being bought off so cheaply and so often, it can be hard for many debt collection agencies to trace back exactly who owes the debt and for what amount.
However, as a consumer, you will not be informed if your debt has been bought and sold.
When you request a debt validation, the collection agency is forced to prove the debt is yours and that the amount of debt is accurate.
You should never pay a debt to a debt collector unless they validate the debt first.
If a collection agency is unable to validate the debt, the 3 large credit bureaus cannot list the debt as a negative dent on your credit score or credit report.
If a debt is validated and you are proven to be the owner, you are then required to pay the debt off.
Being in debt is hard. With constant phone calls, letters, and in-person confrontations, it can feel like you will never escape your debt. Thankfully, CrediReady can help.
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