The Impact of Debt Validation and Debt Verification on Debt Collection. The key difference between validation and verification is who must provide proof of the debt. Validation involves seeking proof from a third-party debt collector, while verification involves seeking proof from the original creditor.
Typically, once you receive the validation letter you can ask for more information or work on a settlement if it's yours. If you are going to ask for more information ask for more details around specifically why they believe it is your debt, if they are licensed to collect debt and how old your debt is.
And sometimes someone is trying to scam you. That's why it's important to verify your debts with the proper documentation, such as a debt validation letter. Doing so can protect you from scammers, prevent debt collectors from pestering you and keep you from paying money you don't owe.
Within five days after a debt collector first contacts you, it must send you a written notice, called a "validation notice," that tells you (1) the amount it thinks you owe, (2) the name of the creditor, and (3) how to dispute the debt in writing.
Specifically, the rule states that a debt collector cannot: Make more than seven calls within a seven-day period to a consumer regarding a specific debt. Call a consumer within seven days after having a telephone conversation about that debt.
If a debt collector doesn't send you a debt validation letter, they are violating the Fair Debt Collection Practices Act (FDCPA). If you still believe the debt isn't yours to pay, you can send a debt verification letter to dispute it.
Can you dispute a debt if it was sold to a collection agency? Your rights are the same as if you were dealing with the original creditor. If you do not believe you should pay the debt, for example, if a debt is stature barred or prescribed, then you can dispute the debt.
Most states or jurisdictions have statutes of limitations between three and six years for debts, but some may be longer. This may also vary depending, for instance, on the: Type of debt. State where you live.
(5) Validation period means the period starting on the date that a debt collector provides the validation information required by paragraph (c) of this section and ending 30 days after the consumer receives or is assumed to receive the validation information.
Once you receive the debt validation information, you have 30 days to dispute the debt in writing. Failing to request verification in writing or within this time period can affect your ability to assert your rights under the debt collection rule.
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.
Validation is the process of checking whether the specification captures the customer's requirements, while verification is the process of checking that the software meets specifications. Verification includes all the activities associated with the producing high quality software.
Debt collectors are not permitted to try to publicly shame you into paying money that you may or may not owe. In fact, they're not even allowed to contact you by postcard. They cannot publish the names of people who owe money. They can't even discuss the matter with anyone other than you, your spouse, or your attorney.
Do Debt Validation Letters really work? Yes, they do. When a debt collector receives a Debt Validation Letter, they are legally required to provide validation of the debt. Debt Validation Letter's work best when they include a cease and desist clause that forces a lawsuit.
Some collectors want 75%–80% of what you owe. Others will take 50%, while others might settle for one-third or less. So, it makes sense to start low with your first offer and see what happens. And be aware that some collectors won't accept anything less than the total debt amount.
A. Yes, a debt collector may have the original creditor provide the required information. However, the debt collector, who received the request is still responsible for ensuring that the information is provided within the time frame required by the rule.
To further establish as evidence the date and fact that you sent the debt collector a DV letter, it's a good idea to have someone else mail your DV letter along with an "Affidavit of Mailing". This signed and notarized affidavit by a third party will firmly establish your evidence of mailing the DV letter.
Ignoring or avoiding the debt collector may cause the debt collector to use other methods to try to collect the debt, including a lawsuit against you. If you are unable to come to an agreement with a debt collector, you may want to contact an attorney who can provide you with legal advice about your situation.
Paying an old collection debt can actually lower your credit score temporarily. That's because it re-ages the account, making it more recent again. This can hurt more than help in the short term. Even after it's paid, the negative status of “paid collection” will continue damaging your score for years.