Debt Dispute: A Top Secret to Topple Your Creditors?
It is common for my clients or readers to wonder how to dispute a debt. The first thing I like to explain is what dispute actually means. Once you understand the definition of dispute, you will begin to see how most people in debt needs to dispute their debts first. In a nutshell, dispute means to debate, disagree with, or argue something.
It is important to realize that disputing a debt requires more effort than calling up your creditor and telling them that you disagree that you owe them money. Effective disputes require certain steps and accurate timing. I know these steps so well that significant portions of my clients end up free from debt, or they take advantage of opportunities to settle with creditors or debt collectors for a fraction of their original debt. I recommend to continue learning if you would like these outcomes for your specific debt situation.
Like I mentioned in the previous paragraph, some consumers choose to dispute their debt by a phone call to their credit or debt collector. These phone calls do nothing to protect you and do nothing to strengthen your argument in case the debt collector or creditor decides to sue you. You give the creditor or debt collector an easy way out because they can deny that you disputed the debt due to the fact that there is no written record of the dispute. Most importantly, the creditor or debt collector will treat you the exact same way they did before, poorly.
Many credit and debt counseling services will promote the use of debt verification letters. The purpose of a debt verification letter is to demand that the creditor or debt collector verifies that they have your correct name and address. There really is no point to sending these letters. Anyone can go on the Internet and find your name and address. A name and address proves in no way that you owe someone money.
Debt verification letters also have a few other flaws. A verification letter does not require a creditor or debt collector to provide any evidence of your account with them. These letters also do not provide any legal protection. Finally, debt verification letters do nothing to stop the harassment that comes from creditors or debt collectors. Debt verification letters are usually not the right tools to use when deciding how to dispute a debt.
After telling you some ineffective ways to dispute debt, I now am going to share with you the best way to effectively dispute a debt. The most proven way to see results when disputing a debt is by using debt validation letters. These letters are much different than debt verification letters. Debt validation letters are backed by the Fair Debt Collection Practices Act or FDCPA. The laws set forth in this Act require creditors and debt collectors to validate any collection claim with reputable evidence once a request for validation is made.
The purpose of debt validation letters is to eliminate wrongful collection from debt collectors. By sending a well-written debt validation letter, you force your debt collector to provide complete and validating information on your account. The fact of the matter is that most debt collectors do not have the proper information to completely validate their collection attempts on your account. Until this validation is made, the debt collector cannot continue to attempt collection on your account.
Now that you understand more about how to dispute a debt, I would suggest taking a mini course online to learn more about debt validation letters. The knowledge you can gain by doing this will be extremely valuable to help you get through your debt dispute and validation process.
Want to find out more about how to dispute debt? Then visit Kente Wallman’s site on how to choose the best debt dispute letter for you.
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