How To Deal With A Third Party In A Credit Transaction

Credit transactions are indeed one of the most commonly used type of transactions that has been passed on for years. It is always a matter that takes place between the creditor and debtor. However, in the recent past, such transactions were received much attention by debt collectors. The primary objective is of debt collectors is to work as an intermediary or third party between the creditor and debtor, ensuring that the debtor pays his/her dues on time without any time delay, making it another friendly transaction.

Written documents are important

In such situations, receiving paper work in writing is highly important. You must ensure that the debt collector sends you a document in writing in the course of five days of contacting you with all the details including the amount you owe, creditor’s name as well as details on what should be done if you claim that you owe no such money to the creditor. All such criteria should take place according to the debt collection act, just like any other business transaction or matter that works under different acts.

Dispute the debt

If you are to convince a debt collections agency that you owe no such money to the creditor, such should be done by sending a letter to them within the course of 30 days of receiving the written document by them with regards to the debt transaction. However, sending just a letter will do no good. Whichever letter that you send them must be certified in order for them to accept it; if not, the agency has the power to deny the letter. In addition to that, it is always much safer to keep a copy of such a letter which you send in order to use in case of an emergency and also as a document of proof. 

Keep records

Just as much as the creditor maintains good credit management strategies to track their debtors down, you should too maintain such strategies in order ensure that all your debts are paid on time. As a part of this, you can keep records of all information exchanges that you’ve had with the collector via calls, letters, emails etc. which will provide a clear vision on how things are taking place with regards to the debt. These records should also include all details of the collection agency including the date and time that communication began between the two of you.

Know the restrictions

Even in such cases, there are certain restrictions that you should be aware of. There are certain factors like restriction of using abusive language and calling only between 8 am and 9 pm to be allowed are some of the many. 

Therefore, if your creditor decides to involve a debt collector in a credit transaction, make sure that you’re aware of these factors which may come in handy for you.