Comments on: How to Research Debt Collectors & Understand the Law

By: Credit Lawyer

Credit Lawyer — Fri, 03 Jun 2011 13:02:53 +0000

@Andrew – thanks for sharing the story about the fake surveys. Consumers tell me about spoofed telephone numbers including a recent call from “Emergency Services” about her pre-school age child and a variety of telemarketers (etc.) when, in fact, the callers are debt collectors.

By: Sam

Sam — Tue, 24 Aug 2010 19:13:43 +0000

Can you demand a debt collector to provide you proof that they have bought your debt from another agency? Otherwise, how would you know that it’s not someone who is following collections who want to funnel some money?

By: Jason @ MyMoneyMinute

Jason @ MyMoneyMinute — Mon, 28 Sep 2009 17:08:23 +0000

Another thing to remember about attorney-collectors: they are doing this on a volume-based model most of the time. Translation? They will encourage their clients to settle as fast as possible. Settlement means less work for the money. Attorneys are usually paid on a percentage of the money collected. If they can get you to voluntarily send in money, they will settle an account for less since they won’t have to spend time and money to use the legal process.

A bird in the hand is better than two in the bush..

By: Mark Wolfinger

Mark Wolfinger — Mon, 28 Sep 2009 17:04:42 +0000

with zapeta.

This should be very worthwhile reading.

By: Andrew

Andrew — Mon, 28 Sep 2009 16:55:57 +0000

I worked for a law firm that rented space to another (smaller) law firm, two lawyers and a handful of clerks. The smaller firm’s entire business was debt collection. They would send a target a “survey” to fill out along with a small (say, $10) check for their efforts. When they would deposit the check, the law firm would get the bank account number off the back of the check and levy against that account. I find it hard to believe they got away with it for so long, but AFAIK they’re still operating nearly 20 years later. No idea whether they’re still using this method, though.

By: zapeta

zapeta — Mon, 28 Sep 2009 14:58:29 +0000

I can see this is going to be a great reference, can’t wait to see the rest!

By: Jim

Jim — Mon, 28 Sep 2009 14:22:48 +0000

A lot of people see “lawyer” (or esquire) and get spooked, but you’re right. Passing the bar doesn’t mean you’re more (or less) ethical.

By: My Journey

My Journey — Mon, 28 Sep 2009 14:16:49 +0000

Jim,

Amazing Start to a very detailed area of personal finance and the law. The only thing I would add is to watch out for attorneys who use their degree to start a debt collection office.

Just because someone has ESQ after their name does not mean they are more ethical than those collection agencies (even though they are supposed to be!)