There are times when it becomes hard to pay off debt. During this time, a creditor can run out of patience and decide to sell your debt to a debt collector. Creditors take this decision to get back some of the money. Whenever this happens, it means that your original creditor cannot collect the debt from you any longer. Therefore, the debt collector will be the one collecting the debt until you pay it in full. After your debt changes hands from the original creditor to a debt collector, you will get contacted by the debt collector regarding the same. Once this happens, these are the steps you should take:
Inquire More about the Debt from the Debt Collector
Once you learn about your debt being sold to a debt collector, the first step you should take is to ask for more information regarding the debt from the debt collection agency. For example, inquire about the original creditor whom you were dealing with, and the total amount of money you were expected to pay. Additionally, you should ask whether there are fees that accumulated as a result of you not paying off the debt in time. The reason why you need to inquire more about the debt is so that you can be sure that it’s yours and that the amount you should pay is right.
Confirm From the Original Creditor
It’s also prudent to contact your original creditor to ascertain whether your debt was sold to the debt collector who has been contacting you. With cases of identity theft becoming rampant, you can’t assume that the information you are getting from a debt collection agency is true. Thus, get to know, from your original lender, about the name, address, and telephone number of the debt collector. After getting the contact information, compare it with the calls you have been receiving from the debt collector to establish whether it’s a match. If it is, you will know that it’s legitimate.
Negotiate On a Payment Plan
Now that you are certain that the debt is yours, you can go ahead and negotiate with the debt collector on how you will make payments. Depending on the amount of money you have and your income, you should agree on a favorable payment plan for both of you. One of the plans you can agree on is paying some amount every month until the debt is fully paid. This, in turn, will have a positive impact on your credit score.
Opt for NowLoan
NowLoan is a financial partner you can always consider whenever you want quick, safe, and secure financial assistance. Through its online application process, you will be connected to lenders who will be in a position to give you a doorstep loan with no guarantor. As you well know, a no guarantor loan is not easy to get especially if you have a bad credit record. If you opt for NowLoan, you are sure to get a loan to help you settle your debt that has been sold to a debt collector. Financial challenges can have a huge toll on you. However, you can make things easier if you consider getting a doorstep loan through NowLoan.