Inside the Dark, Lucrative World of Consumer Debt Collection
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Re: Inside the Dark, Lucrative World of Consumer Debt Collection
#2When the collectors call the debtors, can the debtor demand a paper trail to prove that the collector is the actual owner of the debt? Why should a debtor pay any amount of money to a random person who calls them and says they bought an old debt?
Re: Inside the Dark, Lucrative World of Consumer Debt Collection
#3When the collectors call the debtors, can the debtor demand a paper trail to prove that the collector is the actual owner of the debt? Why should a debtor pay any amount of money to a random person who calls them and says they bought an old debt?
That's one of the ways a person can "erase" consumer debt: challenge the creditor to prove the debt is legitimate. If they can't, it's supposed to be removed from one's credit report. In the case of bad debt that has passed through multiple agencies, that can be incredibly difficult to do.
Re: Inside the Dark, Lucrative World of Consumer Debt Collection
#4When the collectors call the debtors, can the debtor demand a paper trail to prove that the collector is the actual owner of the debt? Why should a debtor pay any amount of money to a random person who calls them and says they bought an old debt?
In the USA: Yes, the alleged debtor can insist on proof. The bad news: If collector mails the debtor, and the debtor doesn't respond for 30 days, the collector can report the debt to the credit reporting agencies. And we all know what a pain it is to get anything corrected on a credit report.
Re: Inside the Dark, Lucrative World of Consumer Debt Collection
#5When the collectors call the debtors, can the debtor demand a paper trail to prove that the collector is the actual owner of the debt? Why should a debtor pay any amount of money to a random person who calls them and says they bought an old debt?
You can demand a validation notice under the Fair Debt Collection Practices Act:
http://www.consumerfinance.gov/askcfpb/1699/how-can-i-verify...
Re: Inside the Dark, Lucrative World of Consumer Debt Collection
#6I find it very scary that huge portions of our economy are basically houses of cards built upon more houses of cards. We're so desperate to generate circulation for money that we've invented an intricate set of rules where it's OK to pretend that you have money, as long as you promise to actually have it at some point in the future. And then of course another set of rules has to be invented to manage the risk of that particular future not coming to fruition.
My mind bends, but cannot wrap around why this game is necessary.
Re: Inside the Dark, Lucrative World of Consumer Debt Collection
#7Father was a personal injury lawyer. Son was a debt collector. Solid family values over at the Seigels.
Re: Inside the Dark, Lucrative World of Consumer Debt Collection
#8I find it very scary that huge portions of our economy are basically houses of cards built upon more houses of cards. We're so desperate to generate circulation for money that we've invented an intricate set of rules where it's OK to pretend that you have money, as long as you promise to actually have it at some point in the future. And then of course another set of rules has to be invented to manage the risk of that…
It's probably less of a house of cards than ever before. From kings mixing more nickel in with their currency, to giving loans based on reputation rather than earnings, that stuff is fading fast.
Re: Inside the Dark, Lucrative World of Consumer Debt Collection
#9When the collectors call the debtors, can the debtor demand a paper trail to prove that the collector is the actual owner of the debt? Why should a debtor pay any amount of money to a random person who calls them and says they bought an old debt?
patio11's guide to doing exactly that: https://news.ycombinator.com/item?id=7135833
Re: Inside the Dark, Lucrative World of Consumer Debt Collection
#10I think that borrowers should have the right of first refusal when their debt is sold.
For example, if you're about to sell $1.00 worth of my debt to someone for $0.10, first you must offer it to me at the same cost: $0.10.