Sample Letter to Collection Agency to remove from the credit report. When you find yourself in a situation where you think that your lender is making an error in reporting your delinquency on credit then you are right to seek advice from this letter. There are many agencies that collect debts in America. A lot of these agencies use the Fair Debt Collection Practices Act to enable them to contact their clients and make the payment. This practice may be legal but it is definitely unprofessional.
Collection agencies get thousands of requests for debt assistance every year. The problem arises when you make mistakes while filling out the application form or sending it back to the agency. These mistakes will automatically render your application sent back to the credit bureau. If your account is not included in their records they will probably not give you any further assistance. This will leave you in a fix; you will have to go for a collection agency and will have to pay all the fees again.
You can avoid this situation by writing this letter yourself. Make sure that you double check for spelling and grammatical errors. Once you have finished the letter, make sure that you hand deliver the letter to the agency. Hand deliver the letter personally so that they will become aware that you are approaching them for credit help. By this you can be sure that the letter has been delivered personally and that they will be contacting the debtor personally.
In the letter you can include your financial statement and also the list of your assets, liabilities and expenses. You can mention the cause of your financial problem. It is the lender’s responsibility to investigate your financial status. They will check whether you are receiving all the money you owe and also investigating about any other problem that may have come into their notice. If they find any, they will talk to you personally and discuss the settlement with you.
Once you have written the letter, you have to give the borrower some time to reply. In case they do not respond within a particular period of time, they can consider the letter as a request for a response. This will then start the process of removing the item from the credit report. A letter should be sent to the credit bureau and also to the creditor. However, if the creditor refuses to remove the item, you can ask the court to stop payment to him.
Some creditors may ask you to provide further proof about your poor financial status. To remove the bad mark on your credit report you can write this letter. The letter should be written clearly and professionally. Do not repeat the whole process again. Once you complete the letter, you can request the collection agency to remove the bad mark from your credit report.
However, if you do not get any positive response, you have to approach the court and ask for removal of bad mark. However, this process is much difficult because the collection agency is aware of your complaints. You can threaten them with reporting the letter to other bureaus. If they ignore your letter, you can ask the court to stop payment to them. However, this will make them think that nobody is above the law and they might try to recover something from you.
Once you are through with this process you will find that the sample letter to collection agency helps in removing several bad debts. However, it is important to follow certain rules. Do not repeat the procedure if your letter has been denied in the first go. Always request for the information from the agency and follow their directions.