Collection agencies are known for aggressive harassing phone calls regarding payments. It is the one area that causes the most controversy in their business.
It’s hard to avoid the first phone call from collections or creditors, but once you’ve heard from them, there are steps you can take to stop the calls altogether.
When creditor debt collection harassment occurs, it is essential that you understand your rights and how to stop the calls.
Generally, you have a few options:
- Get your account current, and keep it that way.
- Negotiate a settlement or new payment terms with the creditors. – This may sound impossible, but often, some credit companies are willing to listen and negotiate a term that works for both of you, depending on your debt amount.
- File a consumer proposal
- File for bankruptcy
If you file for a proposal or bankruptcy in Canada, within 5 days of your filing, your trustee will notify your creditors and all calls should cease.
Of course, often times if your account has been turned over to a collection agency, there may be a delay in when the creditors inform them in which case, it may take a few days before they are notified.
Please note that Creditors cannot pressure for collection activity AFTER you have filed for bankruptcy or a proposal, and in fact, you, the debtor, are not allowed to pay an unsecured creditor after you go bankrupt. If for any reason, there are still calls coming to you, our advice is to advise them that you have filed bankruptcy (or proposal) and give them the name & phone number of your trustee. Your trustee will then communicate directly with them, and forward on to them the necessary paperwork.
For more information about your creditors and how to stop harassing calls, contact Allan Marshall & Associates Inc.