Letters to Stop Creditors From Calling
Creditors often hire debt collecting firms, or sell unpaid bills to collection agencies that hound you for payment through the mail and over the phone. The Fair Debt Collection Reporting Act (FDCRA) gives you a way to stop harassing calls by sending a letter, as long as you're not being contacted by in-house employees of the original account holder. Collectors are required to give you their mailing address on request.
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Contents
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Your letter must state that you want the creditor to stop calling you, per the the FDCRA, 15 USC 1692c(c), according to Attorney Aaron Larson, on the ExpertLaw website. You can also send a letter demanding that the creditor contact your attorney instead of you, Larson explains. The correspondence must provide the attorney's name and contact information.
Mailing
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The Federal Trade Commission (FTC) website advises making a copy of your letter for your own records before mailing the original to the creditor through certified mail. Ask the post office to provide a receipt once the certified letter is delivered, so you have proof that you ordered the creditor to stop calling. You can use this as proof if your demand is ignored, and you have to take legal action.
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Results
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Your letter should stop the creditor's telephone calls, with only two exceptions, according to the FTC. You can get a call stating that your letter was received, and that no more calls are forthcoming. The creditor can also phone you to let you know it's taking action against you to collect the bill -- like filing a lawsuit.
Considerations
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Some creditors won't honor your letters calling for a stop to telephone contact. The FTC advises that if the creditor ignores your letters, you can sue them within one year of the violation. The law entitles you to lost wages, medical bills or other damages, as well as up to $1,000, even if you didn't suffer losses because of the continued contact. The creditor is often ordered to cover your court costs and attorney fees if you win the case, according to the FTC. You can also report violations to the FTC and the attorney general in your state.
Alternative
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You may be able to settle your debt with the creditor and get it removed from your credit reports, instead of stopping contact and possibly facing legal action. Negotiate the initial settlement over the telephone. Offer a reduced lump sum payment in return for getting the account deleted from your credit reports, which eliminates any damage to your rating. MSN Money writer Liz Pulliam Weston recommends also getting a commitment that the debt will not be resold. Write a follow-up letter spelling out the settlement details before you send any money, and send the letter through certified mail, with delivery proof request.
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