Debt Collection Q & A
Have you ever received a call from a debt collector? If you have, you know it can be scary, confusing, and intimidating. For most people, dealing with a debt collection agency is not an everyday occurrence, so how do you know if the person on the phone is actually a legitimate debt collector? Are they allowed to call your family? Can you ignore the phone calls altogether?
In this episode of the BDO Financial Wellness Podcast, we turn to BDO Licensed Insolvency Trustees Michael Comrie and Nicole Olsen for answers regarding some of the most common questions about debt collection agencies. One of the ways they help people find debt relief is by putting an end to debt collection calls. In our conversation, they cover different strategies for dealing with debt collection calls, how to know if the phone call is legitimate, what debt collectors are allowed to do when contacting you, and how to know when you need help handling debt collectors.
[:59] What is a debt collection agency and how can you determine if your debt has been sent to a debt collection agency?
[4:28] Communication and calendar regulations that debt collection agencies are required to meet after obtaining your debt.
[5:58] How can you determine if a phone call is from a legitimate debt collection agency?
[7:15] Three things you need to write down when you receive a phone call from a debt collection agency.
[10:05] Steps to advocate for yourself when you are contacted by the CRA or debt collection agencies.
[12:54] Rules surrounding phone calls and other contact made by debt collection agencies.
[15:01] Can debt collectors talk to anyone else about your debt? Penalizations for doing so or contacting you outside of the Collections Act regulations of each province.
[20:30] Debt collectors are beholden to the complaint process, but where should you start, especially if you have a low income?
[22:10] Handling intimidation attempts from a debt collection agency and filing complaints when necessary.
[24:29] Ignoring debt collection agency calls is never a good idea. This is what you should do instead.
[26:14] Statute of limitations on debts and the standard time frame that collectors can pursue collection of a debt.
[29:05] How can a licensed insolvency trustee help with a debt collector?
How to Negotiate with a Debt Collector
[10:11] “If you get to the point that it’s complicated and you can’t make sense of how to move forward and what your rights are … you can contact a licensed insolvency trustee.” — Mike
[16:17] “I absolutely recommend to all of my clients to lodge those complaints because the more complaints there are, the more action the debt collection agencies have to take.” — Nicole
[17:12] “If we just believe lodging a complaint won’t work and those complaints don’t get filed then clearly it won’t work.” — Mike
[19:48] “If you send a registered letter to the collections agency stating ‘I do not want you to contact me by phone anymore’ … they have to honor that.” — Nicole
[22:33] “As much as I set boundaries with how people interact with me, I want my clients to be setting those boundaries with debt collection agencies as well.” — Nicole
[32:00] “Our role is to give you all of the information to help you make an informed decision in the first place.” — Mike
It is Free