If you owe money to a Collection Agency, you have to make sure that you give them the information they need. While you are giving them permission to contact you, be aware that you’re providing them with information that may be used for collecting debt. Only give them information that directly relates to your debt. The statute of limitations allows them to contact you multiple times in a day. However, you should only give them the basic details, like your name and address.
The notification letter from a collection agency must include your name, mailing address, and phone number, the exact amount you owe, and the name and contact information of your creditor. The letter should also state that you have the right to contest the debt within 30 days. The collection agency should also let you know that it will verify that the debt is indeed yours. The Federal Trade Commission and Washington State Attorney General both accept complaints. If you think the Collection Agency is not following the law, you can still try to file a complaint.
As with all other debts, a Collection Agency can only take over an existing debt if the original creditor does not take action to collect it. If you are able to pay, the agency will continue trying to collect the debt. If they are unable to recover the full amount, they can then sell the debt to another collection agency, leaving you with a pile of debt. This constant re-sale of the same debt has led to a lack of trust in the original creditor, and has led to doubt about the accuracy of the debt information provided.
To protect consumers, many U.S. collection agencies are members of the ACA International trade association. Members of ACA International agree to follow a code of ethics and conduct. Among other things, they must treat consumers with dignity and appoint a dispute-resolution officer. Regardless of whether you choose a collection agency with a member from the ACA International, the National Association of the Collection Agents, the Federal Trade Commission, and the Bureau of Labor Statistics provide the latest statistics about debt collectors. Click here for more information about collection agency information.
When it comes to debt collection, you need to know the facts. A collection agency can purchase a debt from the original creditor and try to collect the full amount of the debt or a portion of it. According to a Federal Trade Commission study, one-third of collection agencies paid $4 per dollar to the original creditor for a debt. Moreover, a collection agency can re-sell a debt to another collection agency, making it more difficult for you to determine who owns the debt.
In the UK, a collection agency can be licensed by the Financial Conduct Authority. This regulatory body has set guidelines for collection agencies, including a list of unfair practices. These guidelines are not law, but they represent a list of legal areas that a collection agency must follow. The ACA International is the most popular trade association for debt collectors in the U.S. and collects data on the industry. If you’re not sure whether to use a collection agency, be sure to check the accreditation of the company.