Self-Help Debt Negotiation
If you're worried about your credit score, or your debt seems to be pilling up, it's time to do something about it before it's too late. If you plan on buying a house or making a large purchase in the future, you need to correct your credit score today. The following negotiation tips will help you keep your calm when dealing with a debt collector.
Just because a debt collector is breathing down your neck doesn't mean you're out of options. Debt collectors may seem ruthless, but they do have to play by the letter of the law. One way to get creditors off your back is to come up with a reasonable payment plan. Never offer more than you can pay, and try to avoid automatic electronic payments and post-dated checks.
When speaking with a collection agent, it's essential that you take notes. You need to make careful notice of the date and time of the call, as well as the name of the collection agent. If a collection agent tries to refute your payment arrangements at a later date, this information will come in handy. If you make a payment arrangement, you must get it in writing if you want to protect yourself.
Before you hang up the phone with a collection agent, it's important to ask to have negative information removed from your credit record. Collection agents are more willing to make deals at the end of the month to bring in larger commissions. If you have more questions about debt collection and repair, it's a good idea to contact a non-profit debt counseling agency in your area.