When you receive two phone calls within a short period of time about the same debt, it can be a very confusing experience. Debt collection agencies are often tasked with getting in touch with those with outstanding payments, which once in a while can result in the realisation that 2 debt collectors are calling about the same debt. Today we’re going to discover why this happens and how you should react if you do find yourself in this situation. Our team at directroute.co.uk is here to support you with debt collection and work with you to overcome any difficult situations you find yourself in.
Why Do You Have Different Debt Collections In The Same Debt?
This unusual situation isn’t completely unheard of, but it can be quite disconcerting to realise two people have your details and are after your debt. The first thing you should do when you receive these phone calls is ask for a written notification of the debt collection. This will provide you with proof of who the company is and that they have your full details. Don’t give out personal information unless you trust the company, as this could land you in a difficult situation later on if it turns out to be a scam. Once you have the written notification, you can then ask for verification of the debt, so that they show you the proof that you still owe this debt.
Keep in mind that debt will often change hands between different companies. Creditors might place debt with a debt collector, and then it can be passed between agencies over the next few months if they weren’t successful with collecting it. However, you need to be very careful to ensure you are paying the correct company in the end, or you could end up paying it twice. It’s not uncommon for two companies to be trying to collect it at one time, but you need to be very careful to only pay the company who are currently tasked with collecting the debt.
Ask for Validation of the Debt
When you have different debt collectors in the same debt, make sure you always ask for written validation of this debt. You could write to the agency to ask for validation, but also make sure you keep track of all correspondence you receive from the other party. Always keep your documentation and written communication safe when dealing with this situation. You don’t want to end up paying twice for the same debt, especially if you can’t afford it in the first place. The more back-up you have for yourself, the less likely you will be to end up in a legal battle later on. Even just a set of handwritten notes can offer the protection you might need.
Sometimes the situation isn’t so easy to fix, and you may find that your credit report and credit score are impacted by this. You need to try and seek professional help in this situation, especially if you can’t find out who owns the debt. Make sure you get advice about this type of issue as soon as you can, so that you receive the support you need to avoid further issues with your financial situation.
Stay Calm and Act Slowly
Our number one piece of advice when it comes to working with a debt recovery agency is to stay calm and act slowly. If you are panicking on the phone, you are more likely to make a mistake and pay debt collection services who might be trying to trick you into a payment. While there are often scams associated with debt collection, remember that it might just be a case of two people trying to collect the same date due to poor communication. Just take your time to research who you should really be paying and ensure there are no marks on your credit report as a result of this. Our team will be here to support you at any time should you have any questions about this topic or need further investigation into who you should be paying your debt to.
Debt collection is a topic that often causes a lot of stress in people’s lives, but it shouldn’t always have to be that way. Whether someone is trying to get you to pay an outstanding invoice or you are a business owner struggling to collect payments, a debt recovery agency can support you. Our team will be here to discuss your current situation and provide you with the necessary support no matter what struggles you are going through. Get in touch with us today to learn more about our services or to share any concerns you have about receiving phone calls from two debt collectors for the same debt.
Since debt collectors also report accounts to the credit bureaus, their competing reports can make it look like you have multiple outstanding debts, even though they all relate to the same credit. And it's always possible there was some error, either in the submission or processing of the data.
It's not uncommon for two companies to be trying to collect it at one time, but you need to be very careful to only pay the company who are currently tasked with collecting the debt.
Debt collectors cannot harass or abuse you. They cannot swear, threaten to illegally harm you or your property, threaten you with illegal actions, or falsely threaten you with actions they do not intend to take. They also cannot make repeated calls over a short period to annoy or harass you.
However, if the debt collector has made several attempts and can't get anything from you, he will probably sell the debt on to another agency, maybe for 25 cents on the dollar. He has made a bit of a profit, and now a third agency has your information and will start calling you.
If you have delinquent debt that's been sent to collections, there might be options. In some cases, you may still be able to negotiate repayment directly with your lender. Working with your original creditor instead of a debt collector can be beneficial.However, this approach won't work for everyone.
The court could issue two default judgments for the same debt if left unaddressed. The legal defense "Res Judicata," meaning "the issue has been decided," prevents a new case from being brought up for the same cause of action.
12 CFR § 1006.14(a). In addition to this general prohibition, the Debt Collection Rule specifically prohibits a debt collector from placing telephone calls or engaging any person in telephone conversations repeatedly or continuously with the intent to annoy, abuse, or harass any person at the called number.
If a debt collector contacts you about a debt you've already paid, let them know that you paid the debt by providing confirmation of your payments – but make sure first that you're confident it's not a scam.
If you are struggling with debt and debt collectors, Farmer & Morris Law, PLLC can help. As soon as you use the 11-word phrase “please cease and desist all calls and contact with me immediately” to stop the harassment, call us for a free consultation about what you can do to resolve your debt problems for good.
Don't provide personal or sensitive financial information
Never give out or confirm personal or sensitive financial information – such as your bank account, credit card, or full Social Security number – unless you know the company or person you are talking with is a real debt collector.
Collectors are permitted to place a call to the consumer about a particular debt seven (7) times within a period of seven (7) consecutive days, so long as no contact is made with the consumer in any of the attempts.
You can sue the debt collector for violating the FDCPA. If you sue under the FDCPA and win, the debt collector must generally pay your attorney's fees and might also have to pay you damages. If you're having trouble with debt collection, you can submit a complaint with the CFPB.
Under this rule, a debt collector is presumed to violate federal law if it places telephone calls to a particular person in connection with the collection of a particular debt in either of the following circ*mstances. The collector calls more than seven times within seven consecutive days.
Collection agencies cannot report old debt as new. If a debt is sold or put into collections, that is legally considered a continuation of the original date. It may show up multiple times on your credit report with different open dates, but they must all retain the same delinquency date.
With most credit scoring models, no, paying off collection accounts will not increase your credit score and the items will not drop off your credit reports. However, certain credit scoring models, like FICO Score 9 and VantageScore 3.0, ignore collection accounts with a balance of zero.
While there's no limit on disputes, if you send a dozen in the same week or month, you run the risk that credit reporting agencies might see you as someone who's frivolous with disputes. Make sure all your disputes are grounded in facts and that you provide documentation to back them up.
Introduction: My name is Margart Wisoky, I am a gorgeous, shiny, successful, beautiful, adventurous, excited, pleasant person who loves writing and wants to share my knowledge and understanding with you.
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