Are you one of the many in today’s economy who are falling behind in debt and bill payments? Have the calls from creditors become relentless? Do you wish those would just stop?
Making creditor calls stop is something that you can do on your own. All it takes is awareness, persistence and time. The following is a brief summary of the process. For individual assistance, contact us here.
AWARENESS about Creditors
First, you need to be aware of the Fair Debt Collection Practices Act. Be knowledgeable about what a creditor can do or say and what is considered creditor abuse. For example, a creditor can only make one contact per day. A contact includes leaving a voice message or talking to you in person.
Second, you need to be aware of the debts you do owe. Get your free credit report here. Align your credit report with your known debts. If there is anything that does not line up with your records, be sure to check and see if it’s legit.
PERSISTENCE & TIME with Creditors
List all your past-due debts from least to greatest. Then begin to call each creditor and let them know that you will be sending them something ($5 or $10 — Whatever you can actually afford). You will call them each week on the same day and at the same time. Perhaps that means you’ll call them every Tuesday during your lunch break or every Wednesday at 2:00 PM. Keep an organized written log of each call you make, along with the person’s name with whom you converse. Be kind and pleasant to the creditors you call. Then on the day that you told them you’d send them some amount of money, be sure to send that amount of money – a money order is preferable. Be sure that your four walls are taken care of before determining how much you’ll send to creditors each month.
WORDS OF CAUTION about Creditors
NEVER give any creditor access to your accounts through auto debits, even if they tell you that your FICO score will be lowered. In fact, don’t focus on your FICO score right now.
NEVER forget to follow through with what you’ve told the creditors you will do.
NEVER tell a creditor “do not call me” as this is the fast track to a lawsuit.
ALWAYS know a financial coach can help you if you get overwhelmed.