It’s important to know who these companies are and how they operate. Generally, zombie debt collectors (also known as debt scavengers or junk debt collectors) buy very old debt for pennies on the dollar from the original creditors who have long since charged off this debt. So any money they collect is worth it to them. By many definitions, the statute of limitations (i.e. the time within which a lawsuit MUST be filed) has already expired. If the statute of limitations has expired, the debt collectors have no legal right to any money from the consumer. So it’s called zombie debt because it is “dead” debt that is brought back to life by these debt scavengers. Unfortunately, collecting zombie debt is big business because many consumers don’t know their rights and want to protect their credit.
Having bought this debt, these companies try to collect any money they can by selecting consumers they believe will most likely pay them any amount of money. So how do they do it? First they scare you. They will make you believe they are attorneys even if they aren’t, they will threaten to file a lawsuit, ruin your credit, seize your assets, garnish your wages, and put a lien on your house. Next, they will act like they are doing you a favor by accepting much less than they allege you owe, they will make harassing 債務重組 phone calls, they will they give you short time frames to pressure you into settling before you can consult an attorney or do any research, and they will lie. Sound dirty? It is.
The desire to resolve the issue and avoid further headaches is so strong that many consumers end up settling the debt even after they know its zombie debt. Just the threat of a lawsuit or wage garnishment is enough to compel consumers to pay hundreds or even thousands of dollars to settle the debt and protect their credit. This is what these debt scavengers rely on.First of all-don’t panic! Take the time to do some research and understand your rights. Read on for tips and guidelines to follow when dealing with these “debt scavengers.”
Who are these people? How do you know this is legit? Have you done business with them? How do you know it’s not a scam? How do you it’s not the result of identity theft? Ask them who they are and for contact information. And talk to them like you have no idea who they are or what they are talking about. They will try to get you to verify information. Do not give them any information and do not verify anything! And I mean ANYTHING! Remember, you have no idea who they are and they are calling about a debt you know longer owe. (See the “Do not acknowledge the debt!” section below.) Just get information from them, hang up, and then do some research first. They will try to use any information you give them against you. Warn other family members or roommates not to give them any information.