Dealing with creditors is hard IF YOU DON’T KNOW WHAT TO DO. However, there are a lot of things you can do. Remember one thing; if you get a creditor calling you its most likely because you have not made payments on your account. If this is the case, don’t be scared to answer the phone like I was. I didn’t answer the phone because I didn’t know what to say and if I told them the truth, they wouldn’t care. Well, I was wrong. If you ignore the phone calls, it only gets worse. So, instead of avoiding the issues — face it.  It could be because of a major medical illness, job lost, lost of additional income or many other honest, legitimate reasons, most of the time, the creditor(s) will work with you. If they don’t there are things you can do. However, from here on out you must be organized because good or bad results will come out of how you handle the issues. You can work things out with creditors and if needed you can take them to court, just as they can you. So, the more organized you are, the better it is for you, especially if you go to court against the creditor.

 There are many things you can do and the original creditors can too, if you are honest with them. When talking to any original creditor OR credit collector, do the following:

1. Use a tape recorder & tape the conversation — don’t let the creditor know you are taping it because if they find out, they will hang up.   However NO MATTER how bad they talk to you; you have to keep calm and be polite.  The main purpose of recording the conversation is for three (3) reasons:  
   1. There is no question on what was said by whom.  
   2. If you have an agreement between you and the creditor, the recording verifies it.  
   3. If the creditor goes back on their word or if the creditor threatens you the recording can be used for legal issues against the creditor, depending on what state you live in. Plus, if you hire an attorney he/she can hear the conversation and possibly use it for lawsuit against the creditor/3^rd party collector.
2. Once the conversation is completed and an agreement has been made, send a letter along with the payment.
3. With each payment made of the agreement, send a letter of thanks along with the check. This letter will show date payment was sent, check #, amount paid, & remaining amount.
4. If the creditors DO NOT make an agreement with you, there is “Letter of Disagreement” you need to send to the creditor.
5. If the creditor threatens you verbally and you have recorded the conversation—you have a lot on your side, in fact, more than they want you to have.

Along with all items listed above, you must keep a file of all letters you send to the creditor. Each account is kept in a separate folder along with statements, letters you receive from them and letters you sent to them. WHY? Because this is proof you have tried or are trying to resolve an issue. If the creditor or collector is in violation of any federal laws, you have have proof, along with any tape recorded conversations you & the creditor may have had.

To assist you with your issue when dealing with creditors, we at USLegal Debt Relief can provide you with letter templates  that are available to assist you in your contact with your creditor(s).

Return to DebtRelief Home