“I owe, I owe, it’s off to work I go.” Virtually all couple going through a separation or a divorce have debt. Some have much more than others, and many may have debts that they wish to dispute or question. Unfortunately, most people are not familiar with the Fair Debt Collection Practices Act and the protections that it offers to consumers.
For instance, if you send a letter requesting verification of a debt after receiving a collection notice, the creditor cannot take any legal action until it provides written verification to you. If you ask for information about the debt, such as the payment history and amortization schedule (where applicable), this information must be provided before the creditor can file a lawsuit.
Should the creditor fail to respond to your dispute and/or request for verification, you can use that failure in court to defend or delay collection suits. Even after you receive the information from the creditor, you may write back stating the information is insufficient or unclear and demand more information.
Thanks to Jonathan B. Alper of the Florida Asset Protection Blog for this great tip.
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JENNE SELIM