How to Prove Debt

Someone asked to prove a debt is usually a debt collector. The Fair Credit Reporting Act gives you the right to demand that debt collectors prove they have the right to collect from you. Although it may not happen often, it is possible that an unethical debt collector could attempt to collect from you although it is not legally authorized to do so. The debt collector may have at one time been assigned to collect a debt that is yours but actually traded or sold the debt to another collection agency.

Instructions

1

Communicate in writing with the debt collector after the company initially makes contact with you about a debt. Simply write a letter stating that you are demanding that the debt collector provide verification of the debt under the terms of the Fair Credit Reporting Act. The Federal Trade Commission reports that the verification could be a copy of your last billing statement or something similar, such as a copy of a promissory note you signed. Demand that all collection efforts by the collection agency cease until you are provided with the proof or verification of the debt.

2

Mail the letter to the debt collector via certified mail with a return receipt requested. Keep a copy of the letter and the return receipt for your files. There isn't a time limit for the debt collector to respond to your letter. Some debt collectors that are unable to provide proof that you owe the debt may simply not contact you again and allow the debt to be sold or traded to another agency. Or the debt collector may need weeks or months to acquire proof of the debt from the original creditor.

3

Check your credit report for other debt collection entries that may have been posted without your knowledge. Write letters to these companies indicating that you noticed a collections entry on your report from the company. Further state that your are demanding verification of the debt. Ask that the company prove the debt or remove the entry from your credit report. Review your credit report several times a year by viewing and printing the report from AnnualCreditReport.com. It's the only site authorized by Fair Credit Reporting Act to offer free reports as required by the Fair Credit Reporting Act. You are entitled to three free reports each year -- one from each of the major credit reporting bureaus.