|
Organization Reduces Late Fees And Overcharging
By: Taffy Wagner
Debt is a subject that no one likes. Once you are out of debt, you make a
commitment to yourself not to return to that place. One morning you are sitting
in your home and the telephone rings. Lo and behold, it is a creditor on the
other end of the phone stating that you have a remaining balance on an old
collection bill. The attitude that comes through the other end of the phone is
one of harsh. “Why didn’t you pay the bill?” Not an attitude of compassion for
whatever situation you may have been through that prevented you from paying the
bill.
Are you simply left speechless by the phone call? First, listen to everything
the person has to say without the attitude. Once they have finished, you begin
to reply that the bill was paid and have documentation. It is important to
request they send you correspondence in writing so you can complete your
research.
After this correspondence arrives in the mail, what do you do?
1) If you are absolutely sure that you paid the bill, retrieve that information
from your folder. The letter that states it was paid in full.
2) Write a letter to that collection agency stating the facts and sending a copy
of the proof. Send certified mail. 3) Send a copy to the State Attorney
General’s Office and FTC.
4) This should close the matter and you will not have to pay anything.
However, if you cannot locate any copies of your settled documents, then you
might be in a situation. Depending on how many years ago it was, there might not
be any way to retrieve any documentation. You may fall into the situation of
having to pay. This will more than likely occur:
1) The company has already assessed interest on the bill raising it to a higher
number.
2) Begin the process of trying to settle the bill with the company for a lower
amount. Negotiate in writing.
3) Pay it off when you have reached an agreement. Make sure that you keep a copy
of the documentation this time that the matter has been settled. I also
recommend that you keep a copy of the settlement check. I have used money orders
before so that I have a receipt. I attach it to my copy.
When you are in debt and have bills that have to be settled and/or paid off,
organization is very important. Collection agencies will try to come back and
retrieve money that has already been paid, dismissed on a bankruptcy, or the
statute of limitations has run out on. Do not fall into the trap of overpaying,
paying late fees because you did not keep the proper documentation. I recommend
having a physical file that you keep for at least ten years.
We have a file which includes when each car was paid off and used to get another
car, and copies of all the credit reports for the last 10 years. This has been a
good thing for us, because I have even come across a credit report or two that
showed a bill was settled in full when a collection agency tried to collect on
that paid account.
Organization and records are important when restoring your financial future.
Keeping documentation for each bill you settle will potentially stop a different
agency from trying to collect a second time in the future. However, if you do
not keep the documentation you may have to pay those charges and late fees a
second time.
About the Author:
Dr. Taffy Wagner is the author of Debt Dilemma. Debt Dilemma is her own personal
story of how she got into debt and was able to get out without filing
bankruptcy. She will be launching a national marketing campaign on October 18,
2005. View her website at http://www.paidoff.net/SpecialPromo.html for further
details. |
