Debt collectors are mediators whose job is to collect debts and enforce past financial obligations borrowers have had with creditors or lenders. While there are over 5000+ debt collection agencies across USA as per Consumer Financial Protection Bureau (CFPB), consumers have complained against many.

But is it good to ignore debt collectors, if they are trying to contact you?

Ignoring or avoiding a debt collector won’t solve any objective. It won’t make them go away or stop trying to contact you. Although, the person in debt has rights when negotiating with the debt collectors.

In fact, ignoring the debt collector can be detrimental, as the debt collector may use other methods to try to collect your debt.

In general, the CFPB recommends that if a debt collector contacts you, immediately find out the following facts:

1. Your identity, which includes: name, address and phone number.
2. The exact amount of the debt they are collecting. This includes any additional charges such as interest or collection costs.
3. What the debt was incurred for and the date the debt was issued.
4. Name of the original creditor or lender.
5. All related information about the debt.

What do then then?

If the debt collector contacts you by telephone, it is not advisable to ignore him, but to request the above information and ask that all communication be in writing.

If the debt is legitimate, it is best to reach an agreement with the debt collector, rather than ignoring it. To do this, you can explain your financial situation and propose a realistic payment plan that will allow you to settle the debt in the shortest possible time. These types of negotiations are usually more successful if you have the services of a credit counselor or even a lawyer.

If you do not reach an agreement, it is advisable that you immediately contact an attorney who can explain your situation and what path you should follow. This is particularly important, since it is possible that the debt collector, having not reached a favorable resolution for both parties, may decide to file a lawsuit against you to collect from you.

Hi, I am Nikesh Mehta, owner and writer of this site. I’m an analytics professional and also love writing on finance and related industry. I’ve done online course in Financial Markets and Investment Strategy from Indian School of Business. I can be reached at [email protected].