Debt Verification letter - A tool to verify your debt

As far as I know, they dont need to validate any debt. They can steal your SSN and search your credit to dig up your private info so they can start harrassing you into paying fake debts.

It should be illegal to intentionally destroy someones debt because they refuse to pay fraudulent or incorrect bills.

70 times a day you read these letters? MAYBE YOURE GETTING VALIDATION LETTERS BECAUSE PEOPLE ARE SICK OF BEING FRAUDED OUT AND SCAMMED FOR CASH THEY DONT OWE!

Here's a thought settleup...why don't you read the fdcpa 70 times instead...that will make better use of your time, and you might learn something along the way.

Very good work by JTucker, and a good example to all of us. As to "SettleUp": I personally am happy that most debt collectors dig in their heels and get nasty in response to what they see as "threats". It makes it so much easier for me to get a judgment against them (because it makes it easier to show a Court that they are behaving vindictively), and a stupid response tends to rack up the damages that I can collect in a big way really quickly.

One thing I really liked about that letter that JTucker started this thread off with, is the way the author asked for stuff. "You have not because you ask not." -- Jesus of Nazereth. I'm going to use some of his ideas and work 'em into my own standard demand for verification letter.

Two minor observations: Generally, where a statute uses specific terms, it's best to use those same terms as if they were some kind of magical incantation. The phrase, "demand for verification" has a specific meaning because of the way the term, "verification" is used in the Fair Debt Collection Practices Act (15 U.S.C. section 1692g(B)), which I think includes the concept of validation as used in the example letter as well as elsewhere in the statute.

Second issue of minor pickiness: collection agencies don't have a statutory time limit in which to respond. Lots of folks think there's a thirty-day limit, but that's not true. Debtors have a thirty-day limit from the time they got notice of their rights under the fdcpa in which to send off a demand for verification letter, and the Fair Credit Reporting Act 15 U.S.C. section 1681i, provides for a thirty-day period for credit reporting agencies to reinvestigate disputed data in their files. But the only condition for debt collectors who don't respond is that they're supposed to suspend collection activities unless and until they do respond.

Virginia-Legal-Defense, I read in the FTC website that the collection agencies are required to give the information when a particular account is disputed by the debtor. You pointed out that they are not bound to give this verification within the 30 days. But they cannot make any attempts till the debt is verified. Even if it takes as many days. Isn't there any section in the law that says the collection agency has to notify the debtor that they have failed to get the required info and as a result will stop all attempts? The reason is that the person will be informed of the collectors' activities if he is notified with this kind of legal letter

The simple answer is, "no". They don't have to tell the consumer anything, and in my experience, never do.

Although I'd point out that they're supposed to cease all collections efforts of all kinds. If they send some kind of a record to a credit bureau subsequent to the date the purported debtor mailed a timely demand for verification letter, I'd say that is an "attempt to collect", and would subject them to a lawsuit.

The fdcpa is what's called a "private attorney general" statute, in that it shifts law enforcement from the government directly to the affected citizen and, in theory, gives him an incentive in the form of enhanced statutory damages and attorneys' fee. In theory, that's a way of both getting the remedy closer to the harm and shifting the burden to the person who's in the best position to determine whether it's worth taking action.

That's all in theory, of course, because the people who are most affected can't go out and hire a lawyer, and don't know what to do about such things. But the burden is on the consumer to take action. The FTC and state agencies can enforce the law, but they don't have the money or the staff to do so effectively. (That's why I like this website, because it's getting information to the people who need it.)

Thanks for this point. We have to monitor our report closely and see if the CA is hitting anything in our file without purpose. Doing this, the collectors will fall in their own trap.

I'm impressed because one of my payday lenders actually sent me an itemized statement in the mail today. They knocked off all NSF charges and late fees. It's a good way to start out the week.

That is awesome. What a relief, huh?

~Mary

Virginia-Legal-Defense (or anyone capable of answering), I'm sorry if this sounds redundant. I read as many responses as possible in this forum but still have a slight misunderstanding. I sent a "debt verification letter" to Palisades Collection and they responded stating that they've received my request and will send me account information within a 90 day time frame. If they don't respond in that time frame what would be my next step to get this illegitimate debt off of my credit report? Thanks for your help!!

Okay, this is the problem that I've been having. I've had TWO creditors tell me just over the past two weeks that they haven't answered my letters due to the 'cease and desist' that 'I' put on the account. HUH? Everytime I write a creditor or collection agency, i say, almost word for word what jtucker did in the letter he shared at the top of this thread. I have NEVER used the word 'cease and desist', I have always asked for written correspondence only, no phone calls please. And it has been used against me. Sure, I wanted the phone calls to cease, I asked that they stop calling....but I said written correspondence was welcomed. why do they turn your words around?
YET, while these two creditors decided to turn my words against me---I have OTHER creditors and collection agencies that totally IGNORE my no phone request. so are we picking and choosing here?
So some creditors/collection agencies are saying that no phone calls means cease and desist--even though you make it clear that its NOT.
I guess they're going to get you coming AND going! shirley

Has Palisades responded to you about the verification in writing or is it just over the phone? If you have it in writing, keep this piece of paper in safe place. This letter will do everything needed for your credit file if Palisades does not come up with a response within 90 days. During this period, you can wish to contact the original creditor and get info about the accounts. If the debt is known to be valid, you can make payments to them also. You won't have to deal with Palisades.

If the debt account is completely invalid i.e.. the OC does not have any information about this account, Palisades will fail to respond within the stated period. Your move after this time period will be to contact the CRA reporting this account. Tell them that you contacted the information providers mentioned in the account and they have failed to give you information related to it. Do your correspondences with everyone in writing so that you can get important written proof. You can later bring to the notice of credit bureau also. They will start investigating the matter from their side. If the results of their actions fail, you can probably see this account removed from your file.

Hi curlycarl: Palisades responded via letter format so I will definitely save that letter and use it against them if they do not respond in that time frame. Thank you for the information in your post. It will be very useful!!
Thanks, sapontejr

Yes sapontejr, keep that letter in the folder of your important documents. You can use it as your important defense and prove the facts. In the meantime, you can also call the original company and get information about this account. And, do keep us posted on it.

Will do...It may be a while before I post back here though. 90 days is a long time!!! I'll keep you well informed though!

I posted a while back regarding the fact that I was going to use jtucker's letter on my creditors that re invalid. One of them immediately sent a letter back to remove it!

One of them sent me a letter stating they are ordering the statements from their client. My questions are: (1) how long should I give them to respond? 30 days? and (2) If they dont respond do I dispute it and tell the credit agency that they failed to respond or should I send them another letter to be sure?

One of the letters I sent was returned to sender with no forwarding address. I have not opened the returned letter. Should I dispute it with the credit agencies and use the unopened letter? If I only have one letter, how do I dispute with all three or do I make a copy of the front with the return stamp on it?

Lastly, One of them responded by sending a stack of previous bills for this account. They sent no proof that I agreed to these bills (i.e. a contract). Should I send them a letter telling them to send me the rest of the things I requested?

Thanks for everyone's help in all of this.

Bigpoppa

Basically there is no certain time limit within which debt validation is to be sent. Since they have responded to your first letter, I would suggest you sending a second and last letter to them after 30 days. Mention that this is the second and last letter to them. Mention if they cannot confirm the debt from the original lender, they have to remove it from your credit file. You can mention a time period too in the second letter. Attach copy of the previous correspondence.

If they again fail to respond, you should forward these letters to credit bureau requesting for removal of the entries.

You can make copies of the envelope and dispute it with credit bureaus directly. Bureau will run an investigation and will try to verify it with them. If bureau receives no response too, it will be removed from your file.

If you are not satisfied with the validation they have sent, you can write back to them mentioning the items that you wish to know. Clearly point out what information they should provide and also include that you are not denying the debt.