Is the Collection Agency Real or not

I know a lot about credit reporting agencies as many friends and family work for these types of companies. Its actually very easy to get into this business.  Its a business of buying paper (debt) at usually 50% of its face value and then using your employees or independent contractors to do the calling for collecting.  This is how a real collection agency works.

So, when they call, ask them if they are associated with “xyz company” or if they are a separate credit collection agency.  If they say they are a separate collection agency, then proceed to tell them “you bought bad paper.”  This is credit agency talk and let’s them know you know how the system works.  What they say back to you, is the key to your own knowledge.

If they say back, Only “xyz company” can say if its bad paper, then you know they did not buy your paper, they are actually working for the company trying to collect.

This just recently happened to me for a medical bill.

I called them back a couple weeks later to tell them that my results of my own research show that my insurance company requires a contesting mailed letter of all actions involved in what I am contesting.

They lady said, “I’ll contact “xyz company” to update them, but this is going to your credit report shortly and I need you to call me back in two weeks.

THERE you go.  They are not a real collection agency that bought your paper or they would try to negotiate with you and not keep mentioning “xyz company.”


Enhanced by Zemanta