Member-only story
My Highest-Earning NewsBreak Story in January was About Illegal Debt Collection
Yes, even if you owe the debt, you have rights
Debt collectors suck.
They tend to employ a range of tactics ranging from guilt to intimidation.
They are often attempting to squeeze blood from a turnip.
In many cases of financial delinquency, a debt is sold to a collector. That is, the original creditor may make some attempt to collect, but then they sell the debt at a reduced rate to a collector.
Debt collectors make money by buying debt on the cheap and then collecting as much as they can.
So, by the time a debt is in collections, the original creditor has already made whatever they are going to.
Yes, there are rules for legally collecting debt. Including rules against jeopardizing your employment — or threatening to call an employer.
You can dictate how (or if) a collector communicates with you. You can also explicitly tell them they can’t talk with your employer or anyone else but you.
Depending on the size of your debt, a collector may take you to court — to obtain a civil judgment. This would ultimately allow them to garnish any wages you may have.
