How to Respond to a Creditor

Appropriate response to a creditor inquiry or notice can vary, depending on the situation and status of the debt. For debts in good standing, communicating with a creditor is typically an easy task. For past due, overdrawn or other unpaid debt, responding to a creditor can be a stressful and complicated situation. The method of response may be dictated by the actions of the creditor, such as in the case of a court filing, lawsuit, repossession or judgment.

Instructions

1

Review the creditor correspondence carefully for instructions or directions on how to respond. In the case of a letter or call directly from the creditor, responding to the appropriate creditor representative is typically sufficient. If the debt is now a legal matter, you need to respond to the court, collection agency or obtain legal representation for assistance.

2

Respond to the creditor in writing, if possible. This will provide concrete documentation of correspondence and reduce errors or misunderstandings. Written responses also allow the debtor to provide a well thought out response, as opposed to an impromptu verbal response.

3

Include details such as your name as it appears on the debt, current mailing address, contact telephone numbers, account numbers and any other reference information to the debt. Address the correspondence directly to the person requesting it, to expedite delivery and response.

4

Keep copies of all correspondence, both to and from the creditor. Retain envelopes and postage markings to determine mailing dates, if the issue arises in the future.

5

Begin any correspondence with a collections agency by asking for a clarification of their relationship with the original creditor and copies of debt paperwork they currently hold.

6

Responses to the court or other legal entity requires a lawyer for assistance. In many cases, specific protocol, forms or timelines are part of all creditor responses.