• Trainguyrom@reddthat.com
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    6 months ago

    If you have an actual tip to deal with my debts, I’d be all ears

    Sometimes letting debt hit collections can give you breathing room and potentially even negotiating room. It’s risky as heck but what I’ve learned from bills my wife physically couldn’t remember to pay after a head injury is that once stuff is in collections you actually have more flexibility.

    Collections buys the debt for a fraction of its value, and will often negotiate to get some paid back over none, plus it often doesn’t gain interest in collections. There’s also a period of months to a few years between the debt becoming delinquent and collections actually forcing your hand to take action. I’ve even heard of people successfully getting debts settled or dismissed when collections goes to court by simply requesting a detailed explanation of where the debt came from (however letting it get to small claims court is the highest-risk tactic to take)