Debt collectors are goons hired by creditors to pull out money from you. Your aim should be to pay as low as possible and put an end to those threatening calls and the harassment. Negotiate with the collectors and make them agree to a lump sum amount. Usually there are several tips and tactics to pay off debt collection accounts, and you should know them minutely before you start making the payments.
- First, see whether or not the statute of limitations for the debt has passed. If it has passed, then you don’t have to pay your debts.
- Ask the collectors whether or not they are licensed to collect this debt from you. Send them a debt validation letter and wait for their reply.
- If the debt collection seems to be valid and legal, then approach the collectors calmly and negotiate the debt amount. Start negotiating from 30 percent or 40 percent of the total debt amount.
- If they want the full amount and you find the negotiation is getting difficult, then take help of law firms or attorneys.
On the last note, don’t agree to pay off the debt until and unless they agree to give you a favorable rating on your credit report for the debt amount.
“Debt is the slavery of the free.” – Publilius Syrus