You have the right to ask questions about a debt or request for more information regarding the amount due when a debt collector contacts you; this is called debt verification. You want to do this to verify the debt. Debt verification was imposed by the FDCPA (Fair Debt Collection Practices Act). This law is put into place to enable consumer requests for any critical information. There are many situations where you have to request information regarding a debt; some of these instances include the following;
- When you don’t remember or recognize the debt in question.
- When you’re in doubt about the amount that’s to be collected or believe, there is some error in that debt collection amount.
- Applies when you know that you have partially settled some of the debt, and there are incorrect charges that need to be corrected.
- When you believe you’re not the only person entitled to pay that debt, this might happen when someone takes a load on your to behave, such as your spouse or children.
- You should verify that the collector owns the debt or has the right to come and collect the debt from you.
It’s the responsibility of any debt collector to provide all the necessary information for the debt they wish to collect. If they don’t provide such information, you must ask for it. There are only specific questions that you can request a debt collector, and that is only the necessary details that pertain to the loan. Whether you own that debt or not, you still have the right to verify such credit, as regulated by the FDCPA; the debt collector doesn’t have the right to know why you want to check the debt.
When To Verify A Debt
There is a time called the verification period; during this time, you’re allowed to request all the information you want regarding any debt. The collector also should tell you your rights regarding any obligation with notice during the verification period. The verification period starts when a debt collector calls you regarding debt, and this shouldn’t exceed more than 30 days or within the first 30 days of the date that you received the letter from a debt collector.
How To Conduct Debt Verification
Your debt verification request should be in writing. You don’t need to go through a lengthy written request; a single sentence will be enough. When you write the debt verification notice, you can then mail it to the debt collector using the address in the debt collection letter. You should also keep a copy of the letter for future reference.
You should understand there is no need to explain why you want to verify the loan.
Can They Begin With Collection Action Within The Verification Period?
It’s still permissible for the debt collector to continue with any legal action concerning your debt during the verification period. They can’t take any adverse action or make immediate threats to you, can’t report your liability to any authority, and the debt collector shouldn’t do anything that will negatively affect your credit score. The only right they have within this period is to make general attempts to collect the debt; they might send as many notices as they want without making any threats or ask you to contact them.
When the verification period is over, and you’re provided with the information that you requested, the debt is verified. It’s now mandatory on your part to comply with the terms and pay the loans within the specified time. If not, then they have the right to take legal action against you.
Debt collection dispute is widespread these days, and it can be somewhat challenging. If you need assistance regarding debt collection, contact us at Massey & Duffy for an appointment so that we can answer all your questions.