How to Deal With Debt Collectors When You Can't Pay the Debt

Not being able to pay a debt collector can trigger non-stop phone calls, debt collection letters and threats of a lawsuit. Debt collectors can include creditors and collection agencies. Ignoring calls and letters doesn't stop collection attempts. Dealing with debt collectors and replying to correspondences is key to resolving the issue and stopping further credit damage.

Instructions

1

Inquire about hardship programs with the company. Convey the reasons behind delinquencies, such as loss of employment, sickness or other financial difficulties. Question whether the debt collector has provisions to assist debtors undergoing economic hardship, such as a skip payment option.

2

Send what you can afford to pay. Notify the debt collector of your situation and agree to send in smaller payments to maintain a good relationship with the company. Get permission before sending partial payments.

3

Discover if the collector can show evidence of the debt. A collection agency may buy an old debt from your original creditor and then seek repayment. Before worrying about how you're going to pay the new bill, write the debt collection agency and request proof of the debt. Some agencies cannot support their claim, and if the agency cannot provide proof, the company must cease communication with you.

4

Speak to an attorney about your bankruptcy options to help relieve debt. Debt collectors cannot telephone or communicate with you after you file bankruptcy papers. Defer filing bankruptcy until you've exhausted all other options. A bankruptcy ruins your credit and stays on your personal record for 10 years.