How to Send Money to a Debt Collector

Always use caution when sending money to a debt collector. Though most are legitimate, with no bad intentions, the debt collection and litigation process is complex, requiring considerable paperwork. To protect yourself and your credit history, be sure to request the correct paperwork and send money in a way that leaves a paper trail in case you ever have to prove you indeed made a payment. It's also important to get the terms of your repayment in writing before you ever send money at all.

Instructions

1

Find your debt collector on-line and do some research to verify the collector and company are legitimate. If the collector initiated the call, you want to verify the phone number before releasing any personal information. Thus, call back at a number you found through your research.

2

Write down the collector's name, address, telephone number and company affiliation while still on the phone together.

3

Write down the amount of debt you are told you owe.

4

Discuss a repayment agreement that works for both of you. Do not agree to terms you cannot truly afford. Explain your circumstances and try to find a mutually acceptable solution.

5

Request a letter detailing your repayment agreement. Explain that until you have the letter, you cannot make a payment. You can also accept this letter via email or fax, if the collector needs to finalize the arrangements more quickly.

6

Read the letter and ensure it properly states the terms of your agreement.

7

Pay the debt collector as agreed. Only use check, debit card or credit card. Money orders are not easy to track, so if you have to later verify a payment, it will be easier if you use one of the foregoing methods.