Posted on
September 23, 2009
at
11:23 pm
I received a collection demand letter not too long ago, and I don't know how to respond to my creditor--I have been bedridden the last few weeks due to an accident--and I was wondering what could be the more fitting response to this? Should I write them back explaining my situation or would a simple phone call suffice? How should one respond in the event that they receive this correspondence anyway? Thank you for your time
Posted on
September 24, 2009
at
1:03 am
Hi Christian B, welcome to the forum. I hope you have recovered well. The best initial response on a collection demand letter that any consumer would receive would be
not ignoring it. Unfortunately some consumers do this, thinking that they would get away from their debt scot-free, not knowing that not paying for the debt would render serious consequences to their credit.
Posted on
September 24, 2009
at
2:06 am
Right, but I think the more fitting response for a collection demand letter is to write back to the creditor, explaining your current situation. You may also ask if they can negotiate or set up a payment plan that is applicable for you.
Posted on
September 24, 2009
at
2:41 am
At times a collection demand letter also serves to inform the debtors that the account has been transferred to a collections agency, and that collection calls will come next if they are not able to settle their dues to the creditor.
Posted on
September 29, 2009
at
4:16 am
Is making a payment to the collection agency a fitting response to a collection demand letter? Or should I pay the creditor myself?
Posted on
September 29, 2009
at
4:43 am
That's precisely the reason why you were sent a collection demand letter--because they are asking for payment.Debt collectors may ask, or demand you to pay the full balance, but for the most part, some collection agencies offer payment plans that would enable you to pay for less than what is immediately due. some have hardship programs and would rather have you set up the arrangement thru check-by-phone.
Posted on
September 30, 2009
at
5:52 am
Should I arrange a payment then with the collector myself in response to the collection demand letter, or should I get the services of someone who can help me pay my bills i.e. debt consolidation??
Posted on
September 30, 2009
at
6:17 am
That depends on what action you would want to take on responding to the collection demand letter. More often than not they would want you to pay it off in full, as mentioned by Lurker earlier. Debt collection companies do have payment plans but you need to be careful about those because these arrangements only run for a short period of time and the most help that they can do is keep your account out of collections but NOT make it current.
Posted on
October 7, 2009
at
12:15 am
What should be specifically mentioned in the collection demand letter, anyway? I mean I just received one in the mail, I don't see a lot of things written on it, I have been making payments on time and I think this is a fraud of some sort. Can you help me figure out what this is?
Posted on
October 7, 2009
at
2:21 am
A collection demand letter normally should contain the following information:1. The amount of your debt2. The name of the original creditor3. That the company or creditor is giving you 30 days to dispute the debt's validity.4. That inability to respond accordingly to the abovementioned would ensure that the debt is indeed valid5. That if you do dispute the debt within the 30-day period, the collection agency would send you verification.Take note that this should be included in the first collection demand letter that is sent to you. If it doesn't, the company has five days to inform you of these things, as per federal law
