Debt Collection is a difficult job. More often than not, debtors are unwilling to pay the debt back. Inevitably, debtor collection agencies are hired to collect debt legally. The agency is bound by rules and regulations which are stringent, at best. They need to be very careful about the way they operate so as to not get their licence cancelled. What can they do to collect the debt without crossing the limits?
Financially Fit and Fab brings you some of the strategies that can be employed to collect debt legally. A debt collector can ask for payment from the debtor. They can contact them via email or via phone calls. Collectors can call them after 8 AM but before 9 PM. Debtor can ask them to not call if he feels that he is being harassed.
A collector can take back the asset on which the loan was approved. They have the right to sell off the asset and in case of a shortfall, they can sue the debtor for balance payment. He cannot take any other asset which has not been mortgaged to settle his claim.
A collector cannot threat the debtor for payment. He can ask him for it. A collector can sue you, as the last resort. He can collect debt legally by suing you. He can negotiate with you regarding the dues and can settle at a lower amount as a full settlement. The creditor before making payment, must have that written on a legal document.
A debt collector can sell the debt to another collector. That he has stopped contacting you and someone else is calling you for the same payment should not come as a surprise. A debt collector can also call you for an expired debt for which he cannot sue you legally.