Table of Contents
Lenders are legally permitted to hire a third-party collection agency to help follow up on borrowers who haven’t made payments.
These agencies must open a collections account for the borrower to pursue them legally.
Unfortunately, this account will appear on your credit report and significantly affect your credit score. Other than that, it can also prevent you from applying for loans in the future.
The good news is that these accounts can be removed, and their damage reversed.
Today, we talk about ConServe Debt Collection, a typical third-party agency that many lenders use, and how to handle them as a borrower.
Who are ConServe Debt Collection?
It is a third-party debt collection agency founded in 1985. Its headquarters are located in Fairport, New York, providing debt collection services.
Many of its clients are universities and colleges that offer student loans. They offer accounts receivable management to these institutions and collect debts on their behalf.
Is ConServe Debt Collection a Legit Company?
When collecting debts, you must ensure that you are dealing with a legit company, as many scammers exist.
The good news is that ConServe Debt Collection is a legitimate third-party collection agency. The bad news is that they are not the most pleasant people.
Some customers have complained about this company from the reviews with the Consumer Financial Protection Bureau and the Better Business Bureau.
Complaints include harassment, incorrect reporting, and not responding to debt validation requests.
Despite these complaints, many lenders continue to hire ConServe Debt Collection for their services. The best thing borrowers can do is know their rights to protect themselves from harassing phone calls.
Note that you have the right to dispute your debts purchased by ConServe. This company acts under the Fair Debt Collection Practices Act (FDCPA) and the Fair Credit Reporting Act (FCRA).
These acts may seem complicated. However, it’s essential to familiarize yourself with them as they can give you power once you know how to employ them.
Tips to Dealing with ConServe Debt Collection
Collection companies can legally sue or garnish a defaulter’s wages. However, this shouldn’t scare you as it’s not a dead end.
You can take several steps to remove ConServe Debt Collection from your record. Here are some tips to help you out.
Request Debt Validation
Credit report errors are common. 1 in 5 Americans have errors in their report.
Unfortunately, these mistakes, even minor ones, can cost you so much money.
They can increase your interest rates on loans. Worse is that they can make lenders reject your loan applications. Therefore, a good start will be to verify that it’s your debt.
As soon as you start getting calls from ConServe, make sure that you validate your debts. This process is essential as it confirms that the collecting agency has the correct information about your balance before you plan to pay it.
Collectors are legally required to validate a borrower’s debt within the first thirty days of your request. So, make sure that you make contact within these days; otherwise, you may not get a response.
Note that it’s not uncommon to have false information on your debts. And the only way to know this is through verification. Even if you are sure that the balance is yours, still request debt validation.
If you catch a collector doing this, immediately file a dispute with the major credit bureaus. You can have your debt removed from your report without paying anything.
To request debt validation, send ConServe Collections a letter asking them to confirm the details on the debt, like the name, total amount, and acquisition.
Please remember that this is time-sensitive, so the better, the earlier you send the letter.
Once you send this letter, ConServe Debt Collection should send you several documents to prove that the debt is yours. Go through each document carefully to ensure that the details are accurate.
If you notice any inconsistencies, file a dispute with the major credit bureaus. They will investigate and remove the error if they prove that ConServe Collections made a mistake.
Request a Goodwill Deletion
You can ask ConServe to delete that entry through a goodwill deletion if you have already paid your debts. But for this to happen, your record must be clean and updated with all your current payments.
This process means that the collector will remove the debt collection as they believe it’s a one-time error on the borrower’s side.
Write ConServe Debt Collection a letter explaining why you made late payments and why they should consider deleting the entry. It could be that you lost your job, or your income was delayed, or any other reason.
Make sure you include the reason in your letter. You should be ready to have a document that proves things.
Also, remember to be respectful when writing this letter. Note that it’s a request you’re making and not a demand.
Negotiate a Settlement
Settlement negotiation works for those who haven’t paid their debts or have a bad credit record. But in most cases, it only works when you strike pay for delete deal with the collector.
Such an agreement means that ConServe Debt Collection will not report your debt to credit bureaus if you pay them. Many people don’t know this, but companies can settle a debt for less than they owe.
Most times, they bought the debt at a discount. So, even if they accept a lower payment, they will still have their money back.
Offer half the amount, then negotiate with them from there. What’s essential is to ensure that they agree to delete the entry entirely at the end of the negotiation.
Once you reach an agreement, request ConServe to send you the terms in writing. Please don’t pay anything if you haven’t seen and approved this document.
Also, after your first payment, check your credit report 30 days from that payment to see whether the entry is still present. If it is, write them a letter reminding them of your agreement.
Hire a Professional
If the above steps don’t work, hire a credit repair company. Such companies help customers help remove negative entries from their credit reports.
Instead of dealing directly with ConServe Debt Collection, they’ll step in and handle the communications and negotiations on your behalf.
Using a professional helps you get a better settlement and the entry removed. Plus, it can also boost your credit score.
However, not all credit repair companies deliver their promises. You should ensure that you are dealing with a reputable and reliable company.
Final Thoughts
While having a poor credit score isn’t a crime, it can have some restrictions to the financial services you can access.
Thankfully, several steps can help improve your credit score. The first step is to ensure that you don’t have any debts on your head.
Use the above tips to remove ConServe Debt Collection entries from your credit report and save yourself the headaches dealing with this collector.
[wp-stealth-ads rows=”2″ mobile-rows=”2″]