What You Need to Understand About Validation of Debt Letter

By Kente Wallman

When you try to beat the collections process, your knowledge on validation of debt letter has the largest role to play. You need to properly use an effective demand letter because it is very significant when you deal with your original creditors or any type of third party junk debt collectors.

It is very important that you completely understand your course of action so that you won’t fall prey on the constant malicious attempt of your creditor or collections agency amass collections even on old debts without giving valid authentication or validation. Unfortunately, it is you who needs to initiate the validation because your creditor and collections agency will not properly validate the account they are collecting on unless you compel them to.

If you decide to do the validation and authenticate your debt over the telephone, you should not expect to receive the results that you want because it is very unlikely that your creditor or collections agency would pay attention to your request. On the contrary your creditor will rebut your contention and will keep coming after you confronting you with one lame excuse after another as to why they do not need to validate the debt and acknowledge your requests. That is why it is very important that you make a well written debt validation letter.

From my wide-ranging hands on practice in the credit and debt world, I fast came to the realization that most consumers who amass any amount of debt discern little or know nothing about the powerful use that a validation of debt letter has on a collector. Because of this fact I was determined to educate people on how to write an all inclusive demand letter so that the average consumer that is being collected on could invoke the power of Federal law under the Fair Debt Collection Practices Act (FDCPA).

Something extremely important to realize that the FDCPA allows is a consumers right to send out a demand for validation. Through debt validation letters you can determine whether or not you are corresponding with your original creditor or to a third party junk debt collection company that has no rights to collect on the debt. This is helpful because the way that you will dispute the debt when drafting the letters can be rather different depending on whom you’re sending the letters to.

Another very important element to be concerned about is what gives the collector the right to collect and what information is required by law. It is very necessary for you to request more information than is required by Federal law under the FDCPA because at the end of the day the worst answer you would get to such a request is a no.

A validation of debt letter can be fairly difficult to sketch on your own if you’re not acquainted with what you’re doing. Since sending a properly presented validation letter can be the determining factor between thousands of dollars of debt that you may have to pay in the future, whether you settle or not, I would personally advise receiving some help while scripting these letters. There are courses available that provided such a service that are worth the cost. When sending debt validation letters you need to send them at the right time during the collection process. When sent too late, debt validation letters can offer almost no protection. There are actually numerous types of validation letters that can be sent at varying times all through the collection process.

Validation of debt letter are given power by the FDCPA or the Fair Debt Collection Practices Act. This Act, or law, will require all debt collectors to supply validation on every account that they are attempting collection on but only if the consumer asks for it. This Act also prohibits debt collectors from ongoing harassment following a request for validation of debt letter, unless the collector can present lawfully demonstrable validation that prove you in fact owe them money or something of value.

There is a big difference between a debt validation and a debt verification. Some credit collection agencies and debt loan consolidation companies use these two terms interchangeably. This is incorrect and will lead you off track from the defense that a well put together debt validation letter can offer.

Contrary to a validation letter, a request for verification of debt is simply requiring a debt collector to confirm your name and mailing address. This type of request does not establish in any way whatsoever that you are obligated to pay the debt collector a sum of money. As you can see this is why it is so important to send a properly written validation of debt letter requesting the precise information needed.

Learn more about validation of debt letter. Stop by Kente Wallman’s site where you can find out all about debt validation letter.

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Topics: Debt Mngmt | Comments Off

Tags: business and finance, consultancy, Credit, credit and collection, credit tips, debt advice, Debt Mngmt, Finance, Financial Consultants, financial services

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