Do Not Let The Debt Collectors Bluff You - Part 1

A Debt Collector attempts to convert your erstwhile debt that had long been dead, into the one that he is conceiving to give birth to. He is apparently counting on the fact that you are ignorant of your collection rights and he is zeroing in on you to take you to a very long ride.

When Creditors/lending institution decide to write-off an account, they take a tax credit, based not only on the alleged transfers for the goods/services, but also on the interest and fees accrued. They, then sell the Rights of Collection to a third-party debt collector for a fraction of the actual value of the debt. The real price be would be around 10-20 cents per dollar. The third party debt collector now employs many strategies that have been perfected to an art form to extract money from the alleged debtor. Their initial contact is by telephone. When a telephone is answered it is deemed an invitation for the other party to speak. If it is a debt collector calling, speaking to him would deem it consent to getting into business with him. In fact there is no law, code, or statute that can make you enter into any conversation/agreement that you do not consent to.

JUST HANG-UP, if you decide against getting into a conversation with the caller.

Now that the debt caller had failed to make contact with you at home he will try to call you at your place of work.

This way he intends to condition you to enter this supposedly new scheme by embarrassing and intimidating you at which point most people break and contact the Debt collector.

Once this contact is made or an offer is accepted for a so called reduced balance or rate of interest, the birth of a new debt is complete.

This is all because you were not aware of your collection rights.

Should the debt collector fail to make contact by telephone within a week or two he would send The Letter.
This is an attempt to show that the law/system is on his side so that he can convert a debt that no longer does exist, into a fresh one.

In his letter he would say that:

This is an attempt to collect a debt, and any information will be used for that purpose.
The letter is from a debt collector.
You have 30 days to dispute the validity of the debt, or any part of it.
If such dispute, demand for validation, or request for information on the original creditor is not made the debt will be considered valid.
When a demand/request in writing is made within 30 days, for verification, or a copy of a judgment it will be provided.
The next/sixth warning is usually found at the bottom or on the back of the letter.
It is sometimes in microscopic print or in a light unreadable shade of gray that discourages you from reading it.
The name and address of the original creditor will be given, if the name is different from the current creditor.

The debt collector is silently praying that you would never get to know the relevance or the true meaning of what he wrote.

"That this is an attempt to collect a debt, in fact means despite the fact that you and he are total strangers and you owe him nothing, he intends to extract money from you. He also means that you should take it as an advance warning and he would leave nothing to chance in squeezing money out of you and make your life miserable.

Actually you must be able to recognize that:

The sender of the letter does not have a valid claim.
It is an indirect admission that there is no bona fide evidence .
The original debt was written off/charged-off.
These collectors want to bring this non existent debt back to life so they can make an exaggerated return on their money.
If they have the right to try you too you have the right to say no By "Any information will be used for that purpose", he means that.
Any communication will be recorded or transcribed to be used against you.
This is the only way the debt collector could build a case against you should you contest his claims.
You can never say no to him.
Without your compliance/consent he could do nothing against you.