When You Should NEVER Pay Debt Collectors #shorts

Debt collectors must send you a debt validation letter that outlines the debt, the amount owed, and other details. If you're unsure about the debt collector's request, send a debt verification letter. If you plan to pay in collections, choose this option.

1️⃣ Review the debt validation letter. Fair Debt Collection Practices Act requires collectors to send you a written debt validation notice. Within five days of first contact. It includes:

* The amount owed.
* The name of the creditor seeking payment.
* A statement that the debt is assumed valid by the collector unless you dispute it within 30 days of the first contact.
* A statement that if you write to dispute the debt or request more information within 30 days, the debt collector will verify the debt by mail.
* A statement that if you request information about the original creditor within 30 days, the collector must provide it.

Obtain a validation notice from the debt collector within 10 days of the first contact. Ask for the debt collector's mailing address if you want a debt verification letter.

2️⃣ Write a debt verification letter. The validation letter may raise more questions. If you never received a validation notice, you can request a debt verification letter. Two situations call for verification letters:

* An aggressive debt collector: A debt verification letter can halt collection efforts and deter debt collectors without enough information.
* If you plan to pay, You may need more information to verify you're paying the right collector for the right debt.

Your letter should request:

* The collector's reasoning: Ask the original creditor who you owe and for proof, such as the original contract.

* Ask for a copy of the original creditor's last billing statement, the amount owed when the collector bought the debt, the last payment date, and whether the debt is past the statute of limitations.

* Ask if this debt collector has a state license.

3️⃣ Send this letter by certified mail and request a return receipt so you can document your correspondence. Debt collectors must provide the original creditor, the balance owed, and the debtor's name before resuming collection efforts. Even that much information can help you determine if you owe the debt, if it's past the statute of limitations, or if there's an error like an overstated amount owed.

If you send the letter within 30 days of first contact, the debt collector must stop collecting until it verifies your debt. After 30 days, you can still send a verification letter, but the collector can continue to seek payment while it responds. #debt #debtcollector #credit

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About Limitless Culture and Mike Meza:
Hi, I'm Mike. I established Limitless Culture with a singular objective, to improve creditworthiness and provide credit education for regular, everyday people with fun and engaging content, DIY products, and (for some because no everyone needs it) monthly credit repair services for people with specialty disputing needs. I want to empower working-class people and their families to be able to take control of their credit files the right way.

[NaynaNom]

Excellent advice. We got a letter from a collections department for rent from Illinois while we were living in a different state for the last 6 years. When we called, they said we had left without paying the last months rent. We asked for a copy of the lease so we can see the signature and agreement details, and found out that my husband’s parents rented their latest home under the pretense that the dad was him. They forged his signature, and made up an email account to use for him & didn’t list a phone number. Police report had to be filed & then sent to collections to prove fraud. Had we paid it thinking that it was a true debt, we wouldn’t have known what they did, and it would have shown up when we went to buy our own house a few months later, and messed us up.

[ccsmith]

Hey can you figure out how not to pay the IRS? 😂🤣🤣🤣

[Tessy]

Thank for a more simplified clarification,

[jamesbroderick]

Why can't you use that on medical

[JeffCD]

If you legitimately owe on a debt, you need to pay it. It won't go away on its own. I ignored a debt collector for years over a defaulted credit card account and they ended up filing a lawsuit against me. It was only for $500. I ended up paying them before it went to court and my credit score increased 120 points! Just make good on your debts. We all make mistakes but ignoring them will get you nowhere in most cases.

[deborahortwine]

I knew that long before you were born or probably even thought of. I’m glad you’re putting that out there for a lot of people because I think a lot of people nowadays have a lot of collections.

[honeybee]

Just had someone call about a twenty year old three hundred cc purchase, circuit city lol . They wanted a thousand dollars or they were taking me to court . I acted panicked and said sure here’s my financial advisors number they should have taken care of this . Gave them my moms number, she is a contract lawyer and they never called me or her back

[kellywelch]

Last part is the most important. So good. Makes me chuckle every single time.

[CandaceT]

I’m trying to fix my credit I’m following your tips I’ll let u know how it go

[heloc]

Dude U rock. This is a worthwhile channel.

[s.s.]

All I have is medical collections go figure my luck

[adhdmarie]

Why should you avoid this if it’s medical debt. ? I just want to understand.

[SledgeIncTeam]

Only issue is that most credible debt collectors buy the debt which is legal and they have the paperwork that you signed with the original creditor.

[fritztopher]

Cept they never pick up the phone or return calls so you can never dispute it

[videorocketzmillarmilla]

You right. I gave in to Capitol One and harassed me insane. Called me at the job 5x a day. Almost got fired. Had to bankruptcy in 2010. Then I'm stupid cause California statute of limitations passed and I didn't have to pay. Ugh. I pay off bills every month or pay 2x a month till.paid off. Got 2 bills left then I'm done..no.more debt.

[kelsycunningham]

Once it's gone to collections, your credit is screwed anyway.
Secondly, the debt collection service has PURCHASED your indebtedness for sometimes pennies on the dollar. You owe them the last amount, if they send you the purchase agreement.
Edit: at least where I live.

[khy]

I thought you said in another video debt validation letters are no good cuz you giving them permission to find the information they don’t have just asking for clarity

[drrd]

You borrowed from A. Why would you pay B?

[spanishrussian]

Am I able to do it even after I have been making payments on the debt?

[alicialanderos]

How do I get in touch with you, I need your help