Work With Debt Collectors

All that having been said, collection agencies want to know that you intend to pay your debt, and will make every effort to do so. Of course, it’s always best to pay your debt if you can. Then you won’t have to deal with the collection agency at all.

Be up front. If you can’t pay the amount you owe, explain why. Try to offer an alternative, either a lump sum or a series of payments over time. When you do make payments, keep a legal record. Cancelled checks and receipts are good. Don’t send cash.

Once a creditor hands your account off to a collection agency, deal only with the agency unless you feel there is an error in your account. That way, you can avoid confusion over payments.

If you cannot meet your commitments to an agency, explain why and follow up in writing. Collection agencies can ultimately take legal action that could result in money being taken from your pay check or your assets being seized.

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