When you receive a collection letter, first know the following:
- You do not have a contract with them and therefore you’re not obligated to do anything with or for them.
- In fact, by law, collection letters (or any other form of contact) by 3rd parties to extract monies from you are illegal. You can safely think of them as a “financial hit-man” “hired” by the ones you actually, or not, owe monies to.
Do not simply ignore the letter because that can be misconstrued as your acceptance of the letter. As soon as you receive a collection letter on behalf of a credit/bill you dispute, respond promptly and effectively using the below example and watch them disappear. If they insist, send a 2nd notice, and if they insist yet again, report them to the U.S. Postal Service Inspector General for mail fraud, because that’s precisely what it is.
If the original creditor takes the case to court, which 99% of the time they will not, respond to the action with a Motion to Dismiss hammering them with all their financial violations, such as abusive and predatory lending, abusive interest, deceitful false promises, questionable billing practices, etc. (dig in the laws and find every single violation they commit and cite them in your legal motions). I very much doubt the creditor will be willing to face and defend themselves of your counter-accusations even because, in many cases, it will cost them more money than what’s owed. But if they do, respond with a counter-suit and demand financial compensation.
The above information is assumed in cases of abusive credit/billing practices. If you have an honest creditor, pay him/her back as agreed.
DISCLAIMER: This is not legal advise and is intended solely for information purposes. Consult an attorney or, better yet, learn the laws for yourself.