If you are unable to pay a bill and cannot work out the situation with your creditor, your account may be sent to a collection agency. If you are turned into a collection agency, you can expect frequent communications from them as they try to collect your debt.
Collection Tactics
Many collection agencies will try and contact you both by phone and by mail. The collection agency will likely call whatever telephone numbers it has for you, which may include your work and cell phone. If you speak to the bill collector on the phone, she will probably try to get you to pay your bill right then and there, either by using a credit card or an electronic bank draft.
Credit Report
Bill collectors can also put information about your debt on your credit report. Collection accounts can have a very detrimental affect on your credit score, and can affect your chances of getting credit, being approved for rental housing or even being hired for a job.
Your Rights
The Fair Debt Collection Practices Act (FDCPA) is a federal law that protects debtors against abusive collection tactics, such as calling you in the middle of the night or threatening you with jail time. The FDCPA also gives you the right to dispute the validity of your debt with a collection agency and requires the agency to stop calling you at work if you tell them that your employer does not permit such calls.
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