How to Deal With ERC Debt Collection
Big banks need to make their money back. Oftentimes, hanging on to the debt of their clients is simply no longer feasible. Instead of not being paid for this debt, due to non-payment for example, banks will write the debt off or sell it for pennies on the dollar to junk debt buyers.
Enhanced Recover Company is just one of the many collection agencies working with junk debt buyers that are in the business of buying debt from banks and hounding you with non-stop phone calls and letters. In fact, this is an agonizing experience simply because the calls will not stop until action is taken.
Thankfully, this has happened so often that people know how to fight ER collections.
Debt Validation
It is essential to have you debt validated. One of the biggest problem areas for consumers is that they never ask to have the debt verified. Sometimes, the debt is erroneous and other times it is valid. In either case, you don’t want to admit to the debt and you always want verification.
What does debt validation do? Essentially, junk debt buyers are bullies. They buy debt and then they hound consumers with the hopes that they will receive payment. Throughout the process, they often fail to get all of the legal documents they need to actually verify the debt. In essence, without being able to verify the debt, ER Collections can’t expect you to pay them.
The burden of proof is on the debt collector. The collector must provide the following:
- Proof that the debtor has agreed to the debt.
- The full amount and records of principal.
- The full amount and records of interest, fees and payments.
There must also be proof that the chain of title has not been broken. This is a lot of information that Enhanced Recovery Company must be provided. Oftentimes, the company will not respond. Under the Fair Credit Act, once you have disputed a claim, action must be taken within 30 days by the collection agency.
You will want to keep a copy of this documentation and even go as far as having the paperwork notarized. This is your first line of defense.
Oftentimes, the company will not respond. You need to take action quickly to resolve the matter. Continually monitor your credit report to see if their claim has been deleted. If ERC fails to respond and fails to remove the debt from your credit, you can do the following:
- File a complaint with the Better Business Bureau.
- File a complaint with the FTC.
Oftentimes, an investigation will occur through the FTC and the item will be removed from your credit. This leads to you being unaccountable for the debt and ERC Debt Collection will no longer harass you as a result.
Harassing Phone Calls
It is within your legal right to put an end to harassing phone calls even from debt collectors. Not only is this practice illegal if calls are frequent, but it can be stopped immediately. Send, in writing, a letter with a return receipt that states the company can no longer contact you through telephone.
If the calls persist and your request is ignored, you are allowed to file a claim against the company for breaking the law. This claim can be up to $12,000 and has worked very well against this company in the past.
Legal Assistance
Many consumers do not realize that the practices of these companies are often illegal. Under the FDCPA, the company cannot make harassing phone calls, they cannot threaten you and they cannot reveal your debt to anyone else.
Oftentimes, these companies will file a claim against you in an effort to force your hand into paying them. If your debt is not substantial, these claims are all but worthless because the company will not want to forgo the costs of a court case. It is simply not feasible for them to do so.
As a defendant, you must also ensure that the case is handled within the state where the original lender was located or where you are located. It is illegal for the collector to request a case to be made in Alaska if you live in Florida and the original lender was based in New York. If the states do not match up, you have a strong argument against illegal practices.
If you are forced to plead your case, ensure that an attorney is by your side. Statistics show that only 1 percent of people use legal assistance when fighting debt collectors and this leads to immense trouble.
There have been cases where ERC has overstepped the bounds and has had class action lawsuits taken against them. One such case can be seen here.
Enhanced Recovery Company is very good at intimidating consumers and ultimately getting them to pay debt. Sometimes, this debt is not even valid as many consumers have claimed. One consumer even called the original debt holder, a cable company that verified the account in question was paid in full and that no debt existed. Others have had contact from the company, yet the company had the completely wrong social security number.
If the initial steps outlined above do not help, they must be taken quickly, it is time to call an attorney. An attorney will be able to spot errors in claims, provide proof that claims are invalid and further hold off the claims of ERC.