debt collectors

I wouldn't ignore them unless you them the to keep calling. I don't see any reason why you shouldn't call and find out "officially" who they are, and why they are calling you.

If allowed in your state to record without announcing it (i.e., a one-party state) I'd record the conversation. If you live in a state that doesn't allow recording unless both parties agree (i.e., a two-party state), call their number again and see if they announce that they are recording calls. If they are, call and record away. If not, call and take VERY GOOD notes. Don't answer their questions; make them answer yours.

When you find out why they are calling, you can determine then how best to stop the calls.

Oh, BTW, are they calling using an auto-dialer?

 

Its a computer program that can be set to dial numbers sequentially or from a list of numbers. They load in the numbers of all the debtors they are trying to contact and let the computer dial away. It is illegal to use those unless a human is ready to answer the phone and speak to anyone who answers in some states. That is because some companies have loaded pre recorded sales messages into such auto dialers and put in a prefix such as 545 then start the dialer at 0000 and end at 9999 and fire it up and let it dial away 24/7 thereby getting people up in the middle of the night to answer a sales call.

 

"A stitch in time.."

Definitely call them, and inquire the reason for thier calls. Even though you know you have no unpaid debts, do not give this collection agency any "legal" room to cause hardship and aggravation.

A case such as yours is one of the prime examples for the legal rights a consumer has. However, you must follow the guidelines of those laws to protect yourself. (see the "Fair Debt Collections Practices Act" at www.ftc.gov)

So, call and inquire the reason for thier contact. If they state you owe a "debt", demand "Validation", and follow up with a written request for "debt Validation" (sample letters here on this forum).

This same situation has happened to me, and friends/associates. I'm betting many of us here can name the collection agency in this situation!

As a "story line", it is this exact scenario that got me into credit repair; years ago I received a similar call (from a "famous CA"), stating I owed a credit card debt from years ago, that I did not recognize. At the time I did not know all the laws, rights and procedures, and only went on some "common sense". I challenged the caller on the validity of the debt, and was passed on to a supervisor. I was baffled, but continued in demanding some "evidence" that I owed this. The supervisor told me that I needed to call the credit card issuer for the paperwork and documentation, not knowing better I did. The bank had no record of me at all, and had no idea of what I was talking about!

As these stories go, the "CA" calls again, asking if I wanted to take care of this now! I was shocked! I asked for the supervisor (by name) again, and when she got on the phone, I stated the SHE OWED ME an amount 3X this "debt". She was speechless, and said "how can you say this?" I replied, the "same way you are calling out of nowhere and saying I must pay you, without any evidence". Needless to say, it died there, but I was so shocked, it lead me to start looking into these issues.

So, it's a quick few steps to end this now. Call and get the information, and demand validation. Ask if the agency is recording the call, if they are, then state you fully dispute this debt and demand validation of your legal responsibility for it. Follow up with a written request for validation, and make sure to send Certified Mail Return Receipt Requested (CMRRR). This should close out the matter quickly.

 

An additional point.

The validation letter needs to include the explicit statement that it is inconvenient for them to call you at any time or at any number, and that all communications should be made by U.S. Mail.

This invokes the clause of the FDCPA that says that it is illegal for them to call if they know or could reasonably conclude that the call would be inconvenient. It stops the phone from ringing.

 

That would refer to 15 USC 1692c(a)(1), but 15 USC 1692c(c) says that the consumer can simply ask that the debt collector cease all communications which then means the CA can only contact you to tell you they are ceasing collection (yeah, like they send a lot of those letters), or they plan to invoke a remedy (i.e. send you a summons).

I suppose that claiming "inconvenience" might keep the door open a bit more for negotiations, if that's what you want to accomplish.

 

A full blown cease-and-desist seems a little premature if the OP is interested in obtaining verification of the alleged debt. That would leave the CA with the only option of filing suit as a way to communicate.

No, until there is enough information to warrant a full C&D, the limited one is likely the better option. Let the CA tell the OP what this is all about before the lines of communication are cut.

The full C&D remains an option to exercise in the future if the facts are such that it is advisable,

 

Given the current turmoil in the mortgage markets, the lenders and their servicers are getting quite nervous. Being late, perhaps even as short as a day, is getting them worried enough to make the badgering phone calls.

Expect it to continue until the whole mess sorts itself out, no matter who the lender or servicer might be.

 

I set my mortgage up so that they deduct the amount from my bank account within the "grace period." I think I have mine set up for about the 10th or 11th.

That way you get a few extra days, but since it's an automatic draft they will never call.

Read your agreement carefully. It may be that if you consistently pay x number of days late, even though it's in the grace period, that they can take some action.

I think if you set up the automatic draft they wouldn't call you.

 

Be careful here, technically your are contradicting yourself; i.e.
"I always pay within the grace period which is the 15th..."but I have never been late"..

This may be an exploratory call from the firm, mortgage underwriters are very nervous these days, and you MAY appear as "marginal". I would call back and give your name to find out what this is all about. I don't think there is anything to fear, this could be just a "sales call" as well.

It may be a good idea to set up an automatic withdrawal, and have it hit on the due date.

 

Again, I agree with BizWiz; no harm in calling. And move your pay date up closer to the due date.

But all need to recognize that the rules of the game have changed for the mortgage industry. They are no longer safe, and many of them are in financial difficulties themselves. Even "marginal" accounts are likely to get scrutiny because of the enhanced risks of having the marginals move to delinquent.

What is driving this is the scrutiny of their balance sheets. Their margins are down, their profits are down, and their liabilities are creeping up. Having problems with their receivables could turn their balance sheets negative.

New Century and a host of others are gone. More than just a handful of the remaining are looking at significant losses. The pending resets of variable rate mortgages completed just one and two years ago are going to put additional crunch on the consumer, and in turn on the mortgage companies.

It is not going to get better tomorrow; maybe in a year or two, but not now.

 

I agree about the automatic payment. Even though mine is the 10th or so, they know that they will be getting the payment every month. They don't have to wonder if the check is coming.

I think there are at least a couple of more years of this, maybe even three to five more. As recently as a few years ago they were still writing the low intro rate mortgages.