Handling debt collectors
Debt collectors are painted in a bad light no matter where you look. From violent recovery tactics and aggressive approaches, they are known to harass and threaten debtors with a variety of consequences if payment is not made. To help you get through the intimidation you could face, here are some helpful insights to take note of.
How they operate:
If a consumer has failed to pay monthly installments, they are likely to receive multiple notices demanding payment immediately. If the consumer still does not pay, the creditor will often pass their information on to a debt collection agency to take the matter further. They are, in a sense, the last step a creditor can take before moving on to legal action.
Debt collectors tend to take two types of approaches to when confronting consumers. On the one side they may come off as aggressive from the get go. Being difficult and demanding, they will try and push you to payment as soon as possible. On the other hand, many like to act friendly when first confronting a consumer, attempting to convince them of the severity of the situation. If the first call doesn’t go well, expect the heat to be turned up dramatically on your next interaction.
Many debt collectors will try lull you into a false sense of security with a calm and collected approach. Getting you to let your guard down, seeming to have your best interests in mind, they hope that when you consider them nice you will slip up and say something or do something that will help their cause in collecting your debt. Many debt collectors are paid according to the amount of collections calls they make or demand letters sent out, this financial incentive drives the pushy, persistent approach. Other debt collectors don’t even work for creditors, they buy debt off creditors at a reduced price before chasing down debtors in the hopes of turning a profit off the bought credit.
If they cannot find a way to get you to pay sooner, their next step will be threatening you with law suits, loss of your personal property, garnishment and even jail time- creating a sense of utter urgency to encourage you to pay up quickly.