lingyi:
If you haven’t already done so, pull your FICO credit report, you can get it free once a year. Check to see if your debt is there. As I recall, it only shows the amount owed 120 days, not how much is currently owed. If you just have one or two accounts over 120 days past due, they’ve already dinged your credit score as much as it ever well. Note that while most negative items on our report will fall off after seven years (including credit cards), the debts are still owed.
There are several free services out there. I use Credit Karma. I won’t link to it as I don’t want to be accused of shilling but I’ve used that site for a few years now and it gives you both your Equifax and Transunion scores, shows hard inquiries, late payment history and all that kind of good stuff.
Has a mobile app too.
I know this isn’t a GQ answer to the question, but this story about dealing the debt collectors is a classic:
DrDeth
July 26, 2019, 7:23pm
23
Yes, dont pay off this sort of debt older than the SOL or within a year of expiring. ianal, ymmv.
If it is fairly new, and they will accept half and agree it will come of your credit report- get that in writing- then maybe.
DrDeth
July 26, 2019, 7:24pm
24
The clock doesnt restart for that, but it can restart for your credit report.
DrDeth
July 26, 2019, 7:26pm
25
slash2k:
No, you’re not.
If the debt has been sold to Bottom-Feeder Collections, they step into your original creditor’s shoes and have the same rights and abilities to collect. Assuming it’s a valid debt and still within the statute of limitations, they can obtain a judgment against you and use your state’s collection methods (garnishing your wages, seizing your car, putting a lien on your property, raiding your bank account, or whatever else your state’s laws permit). Failing to deal with them will just increase the costs associated with the debt as they add on fees and/or interest.
However, just sending Bottom-Feeder Collections a letter saying you dispute the debt usually ends all that, since they rarely have any proof of debt. Since of course, may times there is no legit debt.
DrDeth:
However, just sending Bottom-Feeder Collections a letter saying you dispute the debt usually ends all that, since they rarely have any proof of debt. Since of course, may times there is no legit debt.
If they bought the debt off the original company, they will have plenty of proof.
Read my link. It sounds like the “proof” of a debt existing sometimes (often?) consists of a spreadsheet with a name, address, and dollar amount. No contracts, no itemized transactions, no other documents.
DrDeth
July 26, 2019, 7:43pm
28
Ravenman:
Read my link. It sounds like the “proof” of a debt existing sometimes (often?) consists of a spreadsheet with a name, address, and dollar amount. No contracts, no itemized transactions, no other documents.
Yep, that’s pretty common. Maybe a phone number etc, but no signed contracts, etc- that stuff is just too much trouble.
lingyi
July 26, 2019, 9:50pm
29
Below is a list of Debt Statute of Limitations for the 50 states (note that some are longer than 7 years):
https://www.thebalance.com/state-by-state-list-of-statute-of-limitations-on-debt-960881
and this link is about what debt collectors can and can’t do, and what to do to about it:
https://www.thebalance.com/what-you-should-know-about-time-barred-debts-960567
Actually the debt agencies can be very helpful. I used such services a couple of times. I own a small business and I work mostly on the B2B market. So, because of a lot of unpaid invoices, my business could have gone bankrupt. I didn’t find another solution than to hire an international debt collection agency in order to receive the money. Of course, the agency received a commission of 6% from the recovered funds but it was worthy, as my business had enough resources to continue the activity. So, I would say that the debt collection agencies can be very efficient, however, it’s important to choose a reliable agency.
Yes, but you are likely talking about debts that are both real and recent . And it’s B2B.
Most consumers get hit from dishonest debt collectors for debts that are not recent or not real or both. A common thing being a 6 year old debt that started as $15 but is now $1000 and is dubious.