The last thing you want to be caught in are bad debt deals if you’re trying to make a freedom debt management plan. You need to be on your guard against a few things. If some company is trying to force you into a fast decision without giving you time to think it over, then you probably want to move on and choose someone else. Debt relief is going to take time to accomplish and there’s no point in rushing a decision at the very beginning. Companies know this and so they should be willing to give you time to think. If they aren’t willing to do this for you then you just simply don’t want to deal with them.
When sending letters to a credit bureau or Debt Collection Agency Scotland, send everything by certified mail. Also check the box that states return receipt requested. This will act as your insurance form, proving the letter was sent and giving you documentation of when it was received. Failing to do this could cost you.
There are some debts that you may turn your back on and not see any consequence such as a small subscription to a magazine that you got locked into when you signed up for some service. On the other hand there are debts that if you turn your back on can lead you into a difficult financial situation. You may hear stories of people who have gotten away with debt for a couple of years but make no mistake, it will catch up to you.
So, what do you do if you are a victim of abusive and illegal collection tactics? First, arm yourself with knowledge. Make sure you know your rights by visiting the Federal Trade Commission website.
Change your phone line (through your service provider) so that it doesn’t accept callers which withhold their number. Most debt collection calls will originate from large call centers that have the “number withhold” set. Using this tactic will cut out a surprising number of calls.
During your credit restoration journey, you may feel pressured into committing to payment plans or sending in lump sum payments that are simply not affordable. Know your budget going in and do not over-extend yourself. While you credit score may suffer, it is best for your financial situation to make only payments that you can afford.
If a debt collector has been violating your rights, you need to fight back. The FDCPA allows consumers to sue debt collection agencies, and the Federal Trade Commission frequently brings lawsuits against rogue agencies. It’s important that you understand your rights and stand up for yourself.