How to Secure Proof of Debt Ownership and Stop Collector Harassment

It’s really stressful to have to deal with constant harassment from debt collectors. And if you are a homeowner, borrower, or real estate investor, you need to protect yourself from aggressive collection practices, especially if you think that debt they are persecuting you for is not even a valid one. One of the most powerful tools you can use to defend yourself is acquiring proof that they own the debt, which is called debt validation.

In this blog, we will explain how a person can secure proof of ownership of debt, how debt validation services keep you safe from unlawful collections, and will walk you through the process toward reclaiming control over your financial peace.

What Is Debt Validation?

Debt validation is basically the process through which a debtor may request a debt collector to prove whether they own or have legal right to collect on a particular debt. In proof, the borrower should state who owns the original debt and how the collector involved in collecting the debt is related to it. The FDCPA claims that you are allowed to do this, and collectors have to respond according to your request.

Debt validation services assist in this regard, forcing collectors to play by the book and provide necessary documents before proceeding with debt collection activity.

Why Debt Validation Is Important

Evidence of debt ownership is not only for clarity but also for protection. FDCPA gives you the right to request validation, which will confirm whether the debt is genuine and if the collector is legally entitled to collect it. Many debts are sold multiple times with errors, duplicate claims, or wrongful collections. According to the Consumer Financial Protection Bureau in 2020, nearly one-third of those consumers carrying debt in collections said they had received collection calls about debts they did not owe.

Unless you acquire proof of ownership of your debts, there is some risk that you might be assessed for debts to which you are not actually liable, pay off debts you paid long ago, or pay off debts that belong to someone else.

Steps to Secure Proof of Debt Ownership

Here’s a step-by-step guide to securing proof of debt ownership and stopping harassment by debt collectors:

1. Know Your Rights Under the FDCPA

The FDCPA is a very powerful statute that regulates how debt collectors can communicate with consumers. Key rights under the FDCPA are:

• The right to demand validation of the debt.
• Period of 30 days after a collector first contacts a consumer, during which time a consumer can dispute the debt or request validation.
• Protection from harassment, which includes dunning calls, threats or abusive language.
• Familiarize yourself with the FDCPA before facing a debt collector. It forms the basis of your defense against unlawful collection practices.

2. Send a Debt Validation Letter

First thing’s first, send a Debt Validation Letter. At the onset, the letter should simply state that you are requesting validation of the debt in question and expect the collector to provide documentation that confirms:

• The total of the original debt.
• Documentation that the collector owns the debt or that he or she has the power to collect on the debt.
• Documentation of the creditor whose account this debt is derived from.

Make sure you mail the letter within 30 days from the date that the debt collector first contacted you. For more on what to include in a debt validation letter, check out our blog post.

3. Wait for the Collector’s Response

When the validation letter is sent, the collector must stop all collection activities until they can validate it. When the collector cannot validate, he or she is legally obligated to stop efforts to collect the debt. You have the right to file a complaint with the FTC and your state’s Attorney General if the collector continues to harass you without validation.

4. Review the Documentation Provided By the Collector

If you receive validation from the collector, verify documents thoroughly. You must notice:

• Amount: Does it represent what you thought you owed?
• Creditor: Is that the actual creditor you know?
• Ownership: Has the debt been sold and resold? Ensure the collection agency is authorized to collect it.

Valuation of debt can also show hidden, handed-from-hand-to-hand unsecured debt, therefore full of mistakes. For more about the risks of unsecured debt, see our blog on “Understanding Unsecured Debt: Risks and Implications.”

5. Seek Help from Debt Validation Services

If the process seems overwhelming or if you are receiving vague or incomplete validation, it may be time to seek professional help. Debt validation services handle this entire process on your behalf, using their expertise to ensure collectors comply with federal laws. They handle the communications with collectors and scrutinize the documentation to protect your rights.

Companies like US Debt Validation can assist you in stopping harassment by collectors and provide guidance on your next steps.

What If the Debt Is Valid?

In cases where the collector provides proof and the debt is valid, you still have options:

• Negotiate a Settlement: Many collectors are willing to negotiate a lump sum payment for a reduced amount or arrange a manageable payment plan.
• Check for Statute of Limitations: Debts are subject to a statute of limitations, meaning after a certain period (usually between 3-6 years depending on the state), collectors can no longer sue you to collect.
• Dispute Incorrect Information: If there are discrepancies or errors in the documentation, you can still dispute the debt and request corrections. For example, if the balance or interest rates appear inflated, you have the right to ask for clarification.

How Debt Validation Services Protect You

Navigating the debt collection landscape can be confusing, especially when dealing with multiple collectors. A debt validation service not only helps ensure that collectors provide legitimate proof but also saves you from common pitfalls, such as paying for debts that don’t belong to you.

Professional debt validation services:

• Handle communications with debt collectors.
• Review and scrutinize debt validation documentation.
• Ensure collectors follow legal protocols.
• Provide expert advice on how to respond, settle, or dispute the debt.

Partnering with a company like US Debt Validation can give you peace of mind and relieve the pressure of navigating collections alone.

Debt Collectors and Illegal Harassment

Debt collectors often cross legal lines, using threats, intimidation, and excessive communication to pressure individuals into paying. This illegal behavior violates FDCPA regulations. Statistics from the Federal Trade Commission show that one in four people feel threatened by debt collectors , and thousands of complaints are filed annually for harassment.

Signs of harassment include:

• Excessive phone calls (sometimes multiple times a day).
• Threats of arrest or legal action without cause.
• Contacting you at work or outside of permissible hours (before 8 AM or after 9 PM).

If you experience harassment, secure legal help or file a complaint with the Consumer Financial Protection Bureau (CFPB).

How to Stop Harassment

To stop harassment, take the following steps:

• Request Debt Validation: As discussed, this is your first line of defense.
• Keep Records: Document all interactions with debt collectors, including calls, letters, and emails. This can be used as evidence if harassment continues.
• Know Your Rights: Collectors cannot harass, threaten, or mislead you, and they cannot continue collection efforts if they cannot validate the debt.

Conclusion

Securing proof of debt ownership is a critical step in protecting yourself from the harassment of debt collectors. By sending a debt validation letter, reviewing the documentation, and seeking help from professional debt validation services like US Debt Validation, you can take control of your financial situation and stop unlawful collection practices.

If you’re currently facing collection issues or want to ensure your rights are protected, contact US Debt Validation today. Their experienced team can help you secure proof of debt ownership and stop harassment by collectors for good.

Frequently Asked Questions

1. What happens if a debt collector doesn’t respond to my debt validation request?

If a debt collector fails to respond to your debt validation request within a reasonable time, or if they do not provide sufficient proof of debt ownership, they must cease all collection activities. You can also report them to the Consumer Financial Protection Bureau (CFPB) or your state’s Attorney General for violating the FDCPA.

2. Can a debt collector sue me without providing proof of debt ownership?

No, debt collectors cannot legally sue you without first validating the debt if you’ve requested validation within the 30-day window. If they attempt to take legal action without proof, you can use their failure to validate the debt as part of your defense in court.

3. What types of debts can be validated?

Virtually all types of consumer debts can be validated, including:

• Credit card debt
• Medical bills
• Personal loans
• Student loans However, some types of debts, such as tax debts or certain government debts, may have different rules and processes regarding validation.

4. What if I mistakenly make a payment to a debt that wasn’t properly validated?

Making a payment, even a small one, can sometimes reset the statute of limitations on a debt and signal that you’re accepting responsibility for it. If you’ve made a payment on a debt that was not properly validated, consult a legal or financial advisor to understand your options and rights moving forward.

5. Does debt validation affect my credit score?

Requesting debt validation doesn’t directly affect your credit score. However, if the collector validates the debt and reports it to credit bureaus, your credit score may be impacted if the debt is overdue. On the other hand, if the debt is invalid and the collector removes it, this could help improve your credit score.

6. Can I request debt validation if the debt is several years old?

Yes, you can request debt validation even if the debt is old. However, older debts may fall outside the statute of limitations, meaning the collector cannot sue you to collect it. Still, requesting validation helps confirm whether the debt is legitimate and whether the collector has the legal right to pursue it.

7. How long does a debt collector have to validate a debt?

The law doesn’t specify a strict deadline by which debt collectors must provide validation, but they are required to stop collection efforts until they respond. If they take too long or continue pursuing the debt without validation, you may have grounds to file a complaint against them.

8. Can debt validation services help if my debt has been sold to multiple collectors?

Yes, debt validation services are particularly helpful in cases where a debt has been sold to multiple collectors. These services can ensure that the collector currently pursuing you has the legal right to do so and that the debt amount hasn’t been inflated or duplicated in the process of being sold and resold.

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