Go to the post office and send your letter “certified mail with a return receipt.” This means someone at the collection agency has to sign off that the letter was received. Sending it to a specific person should be more effective than addressing it to no one or “to whom it may concern.”Ĥ. Mail your letter to the creditor or collection agent listed on the most recent notice you received. Since the whole point is to stop the collection calls, don’t open the door.ģ. Do NOT include your phone number on the letter. If your instructions aren’t legible, they likely won’t be followed.Ģ. Type or print your letter neatly and clearly. Since anyone who is being sued must be notified in writing, these letters are not only allowed but in fact required by law.ġ. Such permitted letters include a Summons to notify you that a lawsuit has been started against you to collect the debt. This is a federal law that applies to all consumers regardless of where you live in the US.Ĭonsumers can also write the original creditor (Chase Bank in the example above) to request that Chase (or whoever you originally took out credit with) stop all phone calls and letters except those permitted by federal law. Legal authority for cease and desist/stop contact lettersĪll consumers are permitted to write letters to collection agencies under the Fair Debt Collection and Practices Act. It may also follow up with mail and perhaps threaten to sue if you don’t pay. The collection agency begins by calling the consumer, sometimes repeatedly, to collect on the debt. Chase may try to collect through its internal collection process if unsuccessful it may eventually sell the debt to a collection agency. For example, let’s say you had a Chase Bank credit card that you didn’t pay. That means the debt is no longer owned by the original creditor. So, what is a 3rd party collection agency? When a consumer fails to pay debts, they may be sold to a collection agency.
What exactly is a “cease and desist” or “stop contact” letter? This letter is written by you (the consumer) to a 3rd party collection agency telling it to STOP calling and writing you about your unpaid debts. So, is there anything a consumer can do to escape the harassment? First things first While some collection agents may be polite and respectful, more often consumers experience downright rudeness or even illegal threats by unscrupulous and unethical agents. Often, the calls and letters are upsetting to consumers and unfortunately can lead to unwanted stress and anxiety. Many consumers who fall behind on debt payments may find themselves on the wrong end of phone calls and letters by companies trying to collect the debts.
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