How to Handle Credit Card Collectors

Credit card companies use in-house collectors and outside agencies for debt recovery. Collectors must adhere to the Fair Debt Collection Practices Act (FDCPA). This law prohibits collectors from using false statements, harassment, threats and unfair practices. Credit card collectors must provide written notification of any debt owed. Consumers have the right to dispute the debt and stop collectors from contacting them. The FDCPA also prohibits collectors from contacting a consumer during certain hours and in instances involving an attorney.

Instructions

1

Speak with the credit card collector. Determine if his call is legitimate or if you wish to dispute the debt. If you owe the credit card company money, see if you can resolve the matter with an installment plan or some other payment option. For disputes, the collector is required to send you a written "validation notice." This notice must be sent within five days after the collector first contacts you. It must inform you how much money is owed, include the name of the creditor to whom you owe the money and state how to proceed if you dispute the debt.

2

Ask the credit card collector for debt verification. If you dispute the debt, write the collector or the company she represents a letter. State in your letter that you are disputing the debt and provide the reason. Send the letter certified, return receipt requested. This will provide proof the collector received the letter. If the collector cannot provide written verification of the debt, she must stop contacting you. If, however, written verification is provided, the collector may recontact you. You must mail your letter within 30 days after you receive the validation notice.

3

Write a letter stating you no longer wish to be contacted. Send a certified, return-receipt letter to the collector asking him to cease contact. The law says the collector can further contact you under only two circumstances. He may call to notify you that no further contact will be made, or he may call to let you know that further action will be taken by the creditor. This can include filing a lawsuit against you.

4

Consider when calls are received. By law, a debt collector may not contact a consumer at times when it is known to be inconvenient. This includes calling before 8 a.m. or after 9 p.m. unless you agree to it.

5

Notify the collector you have retained legal counsel. If you hired an attorney to represent you in a credit-card debt collection, the collector may not contact you after being notified of this.