As a creditor, I can agree with this notification on medical services since most people receive bills from companies they never heard of. When it comes to auto loans, and other monthly installment loans, I am sure the consumers are aware of the debt and who it is payable to, unless sold. This could be a huge regulatory burden on creditors that don't sell loans and follow current collection laws. After all, do very many people pay monthly payment to the same people for several months and them forget they owe the debt. All laws should not apply to all creditors.
If a bank or loan company makes the installment loan and does collections itself, and the debt is not sold or turned over to a collection agency, then there is no reason for a notice to the consumers to recognize the debt. They have been making payments to the debt collector for months and already know about the debt. Besides, the lender has already sent several past due statements and a certified letter about the debt.
As a banker in a small bank, I have been on both sides of the collection business. Bankers have to prove a debt and give consumers a chance of object to the validity. When I have had collection agencys contact us for medical collections, I found these people to be scum. They don't care if the debt is valid, correct, or anything else. They just know that they get 50% of everything they collect. You can request that they not contact you again, but they will. My suggestion is that collection agencies not be allowed to call at all and all correspondence be in writing. If anyone can tell me what I owe and why I owe it, I will pay it. They can't and they don't care.
mpick76
1
As a creditor, I can agree with this notification on medical services since most people receive bills from companies they never heard of. When it comes to auto loans, and other monthly installment loans, I am sure the consumers are aware of the debt and who it is payable to, unless sold. This could be a huge regulatory burden on creditors that don't sell loans and follow current collection laws. After all, do very many people pay monthly payment to the same people for several months and them forget they owe the debt. All laws should not apply to all creditors.
View this comment in the discussion thread
mpick76
2
If a bank or loan company makes the installment loan and does collections itself, and the debt is not sold or turned over to a collection agency, then there is no reason for a notice to the consumers to recognize the debt. They have been making payments to the debt collector for months and already know about the debt. Besides, the lender has already sent several past due statements and a certified letter about the debt.
View this comment in the discussion thread
mpick76
3
As a banker in a small bank, I have been on both sides of the collection business. Bankers have to prove a debt and give consumers a chance of object to the validity. When I have had collection agencys contact us for medical collections, I found these people to be scum. They don't care if the debt is valid, correct, or anything else. They just know that they get 50% of everything they collect. You can request that they not contact you again, but they will. My suggestion is that collection agencies not be allowed to call at all and all correspondence be in writing. If anyone can tell me what I owe and why I owe it, I will pay it. They can't and they don't care.
View this comment in the discussion thread