A Guide To Verifying The Legitimacy Of Your Debt Collection Agency

Debt Collection Agency

Every year the FTC (Federal Trade Commission) receives hundreds of thousands of reports for fake debt collectors. As a business owner who needs to run operations smoothly, you’ll have several credit lines for different suppliers. If you miss out on a payment and get contacted by a collection agency, it’s important to spot the real one from the fakes.

Both individuals and businesses are taking on more debt than ever and that has created the perfect opportunity for fake debt collectors to rise to the occasion. That’s why it’s more important than ever to protect yourself and figure out if the commercial collection agency is real.

Here’s How You Can Check If A Debt Collection Agency Is Legitimate:  

1. A Real Agency Asks For Your Contact Information

A legit debt collection agency doesn’t just inform you about your unpaid debt. It knows that you need time to verify your unpaid dues and gather more information about the same. They will also have several queries and won’t just pay off their debt to a stranger on the phone. That’s why they are never hesitant about leaving their contact information with you.

A small business debt collection agency has a real office with real people who are prepared to answer your queries patiently and facilitate a smooth process of paying your dues. On the other hand, scammers and people posing as debt collectors use Internet calling services and other types of number-generating services to call you. They don’t want to be traced and that’s why they won’t leave a physical address or a real phone number with you. 

2. A Real Collection Agency Doesn’t Ask You For Sensitive Information

A commercial debt recovery service has a robust research team that is powered by the latest technology. They make sure to do their digging to contact the right person. Moreover, real debt collectors are hired by your original creditor who have all the information to identify you. They know about the bank accounts that were used for the credit line and other necessary details.

Unlike scammers, they won’t call you to verify sensitive personal information. If you have ever answered a scam call, you’re already aware that scammers have access to some of our information. How do they have access to it? Well, they can buy it from shady sources like the Dark Web for a few dollars.

3. Check With The Original Creditor

When you have an unpaid debt, your creditor hires a debt collector to recover it from you. So, if you have even a sliver of doubt about the legitimacy of the agency, contact the original creditor about the debt. Proficient, yet fake debt collectors may have set up a broad infrastructure with scam companies and telecallers.

They may provide you with a fake number that connects to those callers so that they can pose as the original creditor. Look through the internet, go through past bills, or some other sources to find out the real contact information of the original creditor before verifying with them. Nelson, Cooper & Ortiz, LLC is one of thebest debt collection agencies for small businesses that connect to you after being hired by verifiable and real creditors.

4. Real Debt Collectors Never Threaten You

Scammers and fake collection agents use all kinds of dirty tactics to scare and threaten you into submission. They know that every business owner has a credit line and may have an unpaid debt. That’s why they scare and threaten you to get as much cash from you as possible. From threatening you with jail time to embarrassing you on social media, they intimidate you with every dirty trick in the book.

Scammers use this technique since they know most people with small unpaid debts are honest and don’t want an insignificant amount of money to affect their credit score. Real debt collectors are trying to recover money and it’s in their best interest to make the process as smooth as possible for you. You’ll be able to negotiate equal weekly installments, a small extension, and other strategies for paying off your debt. Moreover, real agencies have to stick to the law. They can’t use strategies that violate regulations.

Real collection agencies have your best interests in mind and won’t adopt any shady practices that would get them in trouble with the regulators. They want an amicable solution for unpaid debts and get that money back to their clients. If you come across weird phone calls posing as debt collectors, report them immediately to the FTC.

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