Gotta Love That Cease and Desist Letter!
The Cease and Desist letter, otherwise known as the C&D, is quite possibly the most powerful tool available in your arsenal of tactics against debt collectors. It is one of the most simple ideas yet, it throws a collector in a heap of legal bondage that guarantees they will never contact you again.
What is a Cease and Desist Letter?
If you don’t know what a cease and desist letter is, then you don’t realize the huge amount of power that has been bestowed upon you by the federal government in regards to your debt. This power not only protects you from being harassed, but it also gives you a medium in which to bring about a harassment lawsuit.
However, the C&D letter remains the utmost of importance with respect to tools. The C&D is a letter from you that states that a collection company must immediately “cease and desist” what they are doing; whether it is harassment, phone calls, or other unwanted behavior.
Cease and Desist Letters Stop Bill Collectors From Calling You
The best part is that if you send your debt collector(s) a C&D, they are legally barred from having any further contact with you. The only circumstance in which they may contact you after the C&D letter has been issued is if they are telling you that no further contact will be initiated or the credit company is planning on brining a lawsuit against you. Other than that, it is illegal and considered harassment if they call you again.
What to Do if a Debt Collector Ignores the Cease and Desist
If they do contact you again to collect money after you have served them with a C&D, then you should immediately report them to the Federal Trade Commission (FTC; www.ftc.gov). Then, follow the advice in this article on how to sue a debt collector the easy way and win.
The Power of a Cease and Desist Letter
Your debt will not go away until you either pay it, declare bankruptcy, or wait until the Statute of Limitations has expired on your debt. However, if you happen to win a lawsuit against your collector, you can use that money to pay off a good portion of your debts. You may be rewarded up to $1000 per infraction (an infraction would be a single phone call from a debt collector or a single letter), plus court and attorney fees.
Do not underestimate the power of a C&D letter. Taking five to write it may save you a lot of time, energy, and emotional stress. Plus, it might even get you some free money! Can’t beat that now can you?
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