Defaulting on a standard loan comes with its own fair share of problems. But defaulting on a payday loan usually has a person dealing with constant calls from debt collectors. Let’s face it, no one likes dealing with debt collectors, and when it comes to contacting people, payday collectors can be quite persistent.
So, what can be done to stop the constant harassment? Paying back a loan is already stressful, it doesn’t have to be made worse by constant calling. Luckily, there are some steps you can take to stop debt collectors that may be hounding you day and night.
Test if the Debt Collector is Legit
It may be hard to believe, but not all debt collectors are who they say they are. There are scam artists who call people posing as debt collectors. Like actual debt collectors, they may call you day and night until you pay what they say you owe.
But there is a solution to find out if the company that is calling you is actually legit. By simply asking the person who calls you for a physical street address, like where to send a check, you can find out if you are dealing with a legit collector or not.
If the collector is unwilling to give you their address or gives you an address that is not listed on the company’s website, then the caller is likely a scam artist.
Report your Debt Collector to the FTC
Debt collectors can be very aggressive when it comes to contacting people. So, don’t think you are the only one this is happening to. Because debt collectors can be aggressive with everyone, you are within your rights to call the FTC (Federal Trade Commission) and report their tactics to stop the harassment.
And if reporting them doesn’t work, simply mentioning to the collectors that you reported their actions to the FTC should get them off your back.
Hire an Attorney to Stop the Debt Collector Calls
If neither you nor the FTCs efforts stop the constant calls from debt collectors, then perhaps an attorney may be able to fix the problem. Thanks to the FDCPA (Fair Debt Collection Practices Act), there is legal action that may be taken against debt collectors who constantly harass people about paying their debts.
By contacting a debt lawyer, they may be able to find the debt collector who is hounding you and prosecute them for harassment.
Writing a Letter to Stop Debt Collectors Calls
If the company you are dealing with is legit, then by law they are required to stop calling you if you write them a letter.
As long as you do the following, you should stop receiving debt collector calls:
- The letter informs the collector that you don’t have the means to pay your debt
- The letter is sent by certified mail
- You keep a copy of the letter
- Have proof you mailed the letter
While you may have a hard time dealing with payday lenders and debt collectors, you shouldn’t have such a hard time when you deal with LoanMart. LoanMart wants to help its customers, that’s why we build a relationship with everyone we work with. We personalize every loan to fit our customers financial situation so that they are not burdened by seeking financial support.
But it’s not just our relationships that make us stand out from our competition. LoanMart also boasts an exemplary customer service record, having served over 250,000 customers2. We also provide useful financial information on our website to help inform people about various financial topics.
Try Negotiating with Your Debt Collector
One option you could try if all else fails, is simply have you or your attorney negotiate a deal. To put a deal in place, you will first need to figure out how much you are able to pay the collection agency and see if they will accept the amount you offer.
If the collection agency agrees to the terms, you should get everything in writing before you make a payment. This written proof with guarantee the terms you and the agency have set in place, as well as guarantee that no more calls will occur in regards to your debt.
Consider Consolidating Your Debt
Debt collectors are a hassle that nobody wants to deal with. So, to avoid them all together, why not consolidate your debt before you default. Consolidating has you taking out another debt to pay for the one you’re having trouble with.
While it may seem odd to take out another loan to pay for an existing one, it may actually be quite a reasonable plan. That’s because the new loan should typically have better rates and terms, thus making the new loan easier to pay off than the old one.
However, in order to consolidate your debt, you may need to have a good credit score first. To get a new loan, you will have to go through a credit check and if your score is too low, you may not qualify for better rates. So, it’s best to know where your credit score is before considering consolidation.
Credit Rating Credit Score
Excellent 720– 850
Good 690 – 719
Average 630– 689
Bad 300 – 629
Here at LoanMart, we believe in transparency for our customers, that way they are never blindsided by anything we do. Because of our transparency, any loan amount we offer will be different for each applicant because each person’s financial situation is unique1.
If you wish to become a customer of LoanMart’s, give us a call at 1-855-277-4847 or send an email to email@example.com to inquire about the services we may be able to provide you1.