In this Credit Boot-Camp video, Drill Instructor Kasondra W. delightfully explains when Debt Collectors attack.
- After about 90 to 180 days of non-payment, the 1st Party “Creditor” losses all hope that the 2nd Party “Debtor” is going repay the loan.
- After a Debt is Charged-Off, the Creditor will usually “Assign” the account to a 3rd Party Debt Collector.
When Debt Collectors Attack
3rd Party Debt Collector = Debt Terrorist
Debt Warriors call Debt Collectors “Debt Terrorist” because they are not above using tricks and threats to secure a payment for the Debtor.
4 Tricky Ways that Debtors are Trapped By Debt Settlement Offers
1. Unsolicited Debt Settlement Offers Sent By Mail.
If you have accounts in Collections don’t be surprised if you receive a mailed Debt Settlement offer for 50% to 70% off the Debt. The “Percentage Off” offer is a common ploy used to get the Debtor to “update their information.
At the Bankruptcy Law Firm, I worked with a woman who was astounded to receive a settlement offer of 60%. She said she wanted to, ” get it settled and over with”. But she ran head-first into a common Debt Collector con-game .
When she called to take advantage of the offer, the Debt Collector said, ”unfortunately the offer has expired”. The offer was never honest. The offer was a ploy to update her information on the Debt Collectors files.
What Can You Do?
If the Debt is assigned (not sold) and you want to “settle and get it over with” the best course of action is to contact the Creditor and offer a settlement offer. The worst they can do is say “No”.
If the Creditor refuses to settle with you, ask them to “please note the offer on the account” and hang up. To protect yourself it would be wise to, note the offer and all important facts as well.
Stop Debt Collector Harassment With The Debt Warriors Arsenal
2. Debt Settlement Offers Received Over The Phone
Another client of mine received a settlement offer (over the phone) for an account that wasn’t even his 
An astounding number of Debt Terrorists will fail to examine the facts on the account.
Debt Terrorist are greedy grunts who get excited only at the prospect of making a quick buck. So they call to see if they can get the Debtor to quickly settle.
It is easy for grief-stricken Debtors to give in and consider accepting an offer over the phone. But how does a person know if they actually owe the Debt?
Debt Terrorist will also call if;
- You may not owe the company making the offer.
- The account has expired and too late for the Collector or Creditor to sue to collect.
- They think a Debtor is dumb enough to accept an offer over the phone.
What Can You?
Rest assured that you have the Right to have the Debt “Validated”. We take you step-by-step through the Debt Validation Process in “Operation One Stop Debt Collector Harassment”, located in the Debt Warriors Arsenal.
3. Debt Settlements Offers With Extra Fees
An amazing amount of people contact me because they have received Debt Settlement Offer with extra Collection Fees !
The way this trick works is; first add on fees to make the percentage of the Debt Settlement look more attractive, to the Debtor. Second, offer an inflated settlement. I guess the Debt Collectors think Americans will fall for such a dastardly scheme. I get disgusted with those kinds of tricks.
What Can You Do?
Validate the Debt to verify the amount of the Debt; when it was Charged-off. Then if you want to settle and just be done with it, demand the Debt Collector waive all fee’s after the Charge-off Date.
4. Threatening Debt Settlement Offers
There is nothing funnier than a desperate person making threats they can’t back up. Debt Terrorist often yell threats like, “this is our last communication with you before we refer this matter to our Attorney”. While working at the Bankruptcy Prevention Law Firm, I heard this underhanded tactic many times.
Make no mistake, Debt Collectors can refer an account to an Attorney, but normally it’s a trick geared to bring the Debtor grief, in hopes of getting the Debtor to settle right then.
What Can You Do?
Hang up the phone immediately. No Debtor should deal with disrespect from any Debt Collector :)
You have the Right to hang up the phone. If the Debt Collector calls you back, get excited and note the call. You may be able to receive $1,000 for the threats 
