Taking Care of Absolute Resolutions Investments Debt Validation Letters
It is a known fact that you need credit at some point to either expand your investments or fund your lifestyle. However, you will get high-interest loans with debt collection remarks and a low credit score.
You may also have challenges securing any credit. Besides, debt collectors such as Absolute Resolutions may be attached to your loan and plan aggressive methods to get the defaulted amount.
Unfortunately, attempts to remove such negative remarks on your credit score are often tiresome, take long, and have little success. DoNotPay offers a simpler alternative to help negotiate a better payment plan, remove liens, and boost your credit score. Here is a guide on the traditional credit score boosting method and the cheaper alternative of using DoNotPay.
What Is Debt Collection?
Debt collection is the entire process of pursuing debts owed by businesses or individuals. A debt collection agency acts as an agent of the creditor and collects the debt for a fee or a percentage of the total amount defaulted.
The debt collector may contact you to develop a plan for paying your debt. If you do not respond positively, they may consider repossessing some of your listed assets to recover the debt.
At the same time, the creditor may put a negative remark on your credit score and report the same to the credit bureaus. This information becomes available to other lenders as well. It would be best to eliminate the risk of debt collection and poor scores.
What Should I Look For In My Credit Report Before Making a Dispute?
The credit reference bureaus provide credit reports that show your credit history, credit inquiries, and public records. The bureaus collect the information from creditors and lenders. It is used to calculate your credit scores to evaluate your creditworthiness.
- Personal information: This includes your name, social security number, birth date, and employment information
- Credit accounts: These are all accounts you established with your lenders. They report the type of loan account (such as a mortgage, auto loan, or credit card), loaned amount, limits, account balance, and payment history. Any late repayments are also included.
- Credit inquiries: Any loan applications you make result in credit inquiries to lenders and appear on the report.
- Public records and collections: Your report will include any credit-related information, such as filing for bankruptcy.
What Is a Debt Validation Letter?
The finance law requires debt collectors to send you a debt validation letter detailing your debt, the amount you owe, and any other related information. This letter should arrive within 5 days of making contact with you. If you do not understand the debt you are asked to pay, you can send them a debt verification letter asking them for additional information on the loan.
How to Write a Debt Verification Letter
Here is a sample debt verification letter:
Your name and address
Your city and ZIP code
The name of the collection agency
Its city, state, and ZIP
Subject: RE: (input your account number)
To Whom It May Concern (or the undersigned in the letter they sent you)
This is a dispute over the claim you made earlier and a validation request and not a refusal to pay. Pursuant to 15 USC 1692g Sec. 809 (b) of the FDCPA, I request that you provide me with proof that I am the party who should pay the loan and that there is a contract that binds me to pay the debt.
In the meantime, if your organization continues to send negative information to the credit bureaus (TransUnion, Experian, and Equifax) before I verify the information you supply me, the action might constitute fraud and lead to legal action against you and your client for violation of fair debt collection practices and defaming my character.
Once I receive the documentation, I will need 30 days to verify the information. No debt collection activity should commence during the period. This includes harmful listings from credit bureaus. On the other hand, if you fail to respond within 30 days of the receipt of the letter, you must delete all references to this account, remove my credit file, and confirm the same with me.
Information to provide
- A complete accounting of the alleged debt
- Daye the debt became payable
- Date of the original charge off
- Amount of the alleged debt
- The agreement that your client gave you the authority to collect this debt
- The consensus that shows that the debtor agreed to pay the creditor
- Verification that the debt was sold to a collector
- Name and address of the collector
Would you please provide all the information requested for prompt verification from my end?
(name and signature)
Strategies for Successfully Disputing Your Credit Report
There are various methods you can employ to dispute your credit report. Here are some.
|Saturation technique||This technique involves writing as many letters as possible to the creditor but targeting different recipients. Big creditors have multiple offices and individuals at the same management level. The more unique hands that get your credit dispute letter, the higher the chances of getting a positive reply.
You may ask them to remove the debt collection mark on your report, lower the penalties, and remove negative remarks on your score.
|Dispute the loan amount by writing to the creditor||You may make a validation request to the debt collector and later dispute the debt with the creditor. Check for inaccuracies such as the day of issue, loan amount, personal details, and any other information you can use to dispute the loan.|
|Dispute the loan by contacting the credit-reporting agency||Ask the credit-reporting agency to correct any errors you find in your report. This increases the chance that some information will be deleted and improves your overall credit score.|
Alternatively, you may use DoNotPay easy tactics to dispute a debt in a few steps.
Sue for Unresolved Credit Report Dispute
If the credit bureau, debtor collector, or creditor is unwilling to bulge, you can sue them for damages. Contact a lawyer and supply them with the loan details for submission to the court. This may work, but it is relatively slow and quite expensive. We recommend using the DoNotPay feature to sue anyone in a small claims court.
What Should You Expect in Court?
A Julie Miller V Equifax case in 2013 led to the award of $18.4 million after the credit bureau mixed up her credit file and gave her a poor credit score, yet Julie had a stellar credit record. Many more individuals have successfully sued for damages and won.
The Fair Consumer Reporting Act grants you a right to sue if injured by inconsistency in your credit file. You get compensation for lost opportunities, injury, and defamation of character resulting from inaccurate credit reports.
How to Report a Credit Error by Yourself
Here are steps to dispute a credit report error:
- Request a credit report from any of the three credit reporting organizations.
- Check for inconsistencies in the information from your personal information to the dates you received the loan.
- Please write to the credit bureau requesting them to review the inconsistencies.
- Wait for a response.
- Contact them again if the discrepancies are not reviewed.
- Seek help from the Federal Trade Commission if they do not act.
This process is slow and tiresome, and you may have to repeat it severally before you get desired results. Read on for a cheaper method with DoNotPay.
Next Steps for Credit Report Cleaning If You Cannot Do It Yourself
If your DIY credit disputing method does not work, you may need legal and accounting assistance from other organizations. Some entities can handle the dispute on your behalf. However, be prepared to pay a substantial amount even for unfavorable results.
Alternatively, you may sue the credit reporting organization along with the creditor to pay for damages and correct your report.
Clean Your Credit Report with the Help of DoNotPay
DoNotPay offers you a cheaper, effective method of cleaning your credit report that is covered in just three simple steps!
- Search Clean Credit Report on DoNotPay.
- Prepare a recent copy of your credit report that you can use as reference.
- Let us guide you through the four potential options:
- If you've already paid off your debt, we'll help you file a Goodwill Removal Request to get it removed.
- If you notice any errors in your report (we have a list of common errors you can use!), we'll help you file a credit dispute to the creditor or major credit bureaus.
- If there are no errors, we'll check if you're still eligible to file a debt validation request. If they can't validate your debt, they're required to remove it from your report and they can't collect it!
- Lastly, if none of the above options work, we'll help you file a pay-to-delete negotiation letter. You can customize the amount you are willing to pay in exchange for getting the item removed.
You may also want to check other credit and financial services, including Get My Credit Report, Credit Limit Increase, and Keep Used Cards Active!
Why Use DoNotPay to Clean Your Credit Report?
There are several advantages to using DoNotPay to clean your credit report. Here are the most salient ones:
- Easy – You have all covered in just three easy steps.
- Fast – There is no back and forth correspondence and no tracking to do to solve your credit issue.
- Successful – We guarantee that you will get the desired results on your credit report in no time.
DoNotPay Works With all Creditors and Debtor Collectors at a Click of a Button
DoNotPay can help you dispute any credit information at the click of a button. It works in all 50 states and can handle any creditor successfully. You can also use its related services, such as knowing your credit report to increase your credit limit, to help you plan your finances. Visit the platform for more information.
What Else Can DoNotPay Do?
DoNotPay is a versatile platform for completing various tasks with ease. Here are other tasks you can accomplish on the platform:
DoNotPay is your one-stop-shop for your credit improvement and financial planning needs. today to get started.