Hornet Partners & Polk Partners Equal Debt Collection
Hornet Partners and Polk Partners have recently been flooding the market with debt consolidation and personal loan offers in the mail. The problem is that the terms and conditions are at the very least confusing, and possibly even suspect. The interest rates are so low that you would have to have near-perfect credit to be approved for one of their offers. Best 2020 Reviews, the personal finance review site, has been following Ladder Advisors (also known as Carina Advisors, Corey Advisors, Pennon Partners, Jayhawk Advisors, Clay Advisors, Colony Associates, and Pine Advisors, etc.).
If you are unable to keep up with your loan repayments, then you may eventually have to face a debt collection agency. However, you must stay calm and understand how you can approach the problem rather than acting on impulse, as it can lead to more problems instead of alleviating them.
Dealing with Debt Collection
Being constantly reminded that you owe loan payments and are lagging behind on your dues isn’t a great feeling. Calls from a debt collection agency may become a source of great disconcertment for you. Don’t make decisions on the basis of stress without thinking them through carefully. There are many folks who agree to make repayments that they cannot afford in the hope that they won’t get calls in the future from their debt collection agency.
Some debt collection agencies are very intimidating in their approach. They try to frighten you into making quick payments. The fact is that your debt collection agency can indeed take legal action against you if you fail to pay back the debt. If they file a case against you, they might win a ruling in their favor, allowing them to get a cut of your wages automatically or having your bank account frozen.
But you must act carefully to prevent this unpleasant possibility from transpiring. You must do your best to reach an agreement with the debt collection agency to pay amounts that won’t overburden you. Do not make the hasty decision of agreeing to their demands immediately without thinking. You must try to negotiate an amount that is easy for you to pay off and one that will not hurt your finances.
You will have to negotiate a deal quickly because although borrowers do have rights, these are for a limited time only. You cannot hope to keep postponing the repayments for too long since doing so will only hurt your situation.
Find Out About Your Rights against Debt Collection
You should be cognizant of all debt collection laws in favor of borrowers. These laws exist to protect borrowers against harassment and other actions on the part of creditors that may vex you or harm your finances. Creditors are not permitted to harass or threaten borrowers. There are limits as to how often creditors can approach you and at which places. It is important to become well-versed with the Fair Debt Protection Act since it gives you certain rights that you can use in your favor to ease the process of debt collection and reduce the stress involved. If you find that the debt collection agency is violating these regulations, then you can submit a report to the Consumer Financial Protection Bureau.
Collect Information About Debt
As strange as it may seem, sometimes, borrowers are not aware of the full extent of the loans that they owe. You should take stock of the situation and first ascertain how many kinds of loans you owe. Then, ask yourself if you have all the information that you need about your loans. In particular, you must know about the interest that you owe.
Sometimes, it so happens that borrowers may be coerced into paying a debt that they do not owe. So you must be fully certain about all of your debt and make repayments only for those liabilities that you truly owe. Take a look at your credit report and your credit score to understand the type of loans that you owe and their sizes.
No matter what your situation, you must request the debt collection agency to validate your debt. When you make this request, creditors have a legal obligation to issue a verification letter that contains the following details.
- Original creditor’s name
- Debt collection agency’s name
- Debt amounts that you owe
- Statements about debtor rights
Even after you receive this letter, you need to take another crucial step to put your mind at ease. You should submit a validation letter after you get your verification letter from the debt collection agency. Make sure to dispatch the validation letter within 30 days of receiving the first collection notice from the debt collection agency. Upon receiving a validation request, the debt collection agency will refrain from making collection requests until it responds to your letter.
Dispute Any Inaccuracy
Through the debt validation process, you can get some much needed time to think of a repayment plan. Another key advantage of this process is that it allows you to be certain that you do indeed owe the amounts that the debt collection agency is claiming.
You can dispute the debt if they are beyond the statute of limitations, already paid, incorrect or not yours. If you dispute the debts claimed, then credit bureaus won’t be notified about it. Credit bureaus will then conduct an investigation to get to the bottom of the issue. If the debt collection agency cannot prove a certain debt amount that you allegedly owe, then the credit bureau will strike off this amount from your credit report. Due to the legalities involved, debt collection processes can be intricate and prolonged affairs. Hence, it may be advisable to seek professional assistance from a credit repair firm.
Pay Valid Debt Amounts
For the loans that you owe, you must make a plan quickly to pay them off. The best possible way to get a debt collection agency off your back is to pay off the outstanding amounts as quickly as possible. You must negotiate with your creditors to accept a smaller amount than the amount that you actually owe.
If you negotiate well enough, then the credit collection agency may think about accepting a smaller amount if it feels that the interest accrued is so big that you will likely be unable to pay the full amount. A credit repair firm may be able to provide you invaluable assistance in bringing down your total debts.
Also, keep in mind that if you owe credit card debt, then it may be a good idea to use a balance transfer card to finish the debt collection as soon as possible.