A study from the Consumer Financial Protection Bureau notes that almost one in four Americans has a debt in collections.
If you are not able to make your payments, it may seem like a good idea to hide from your debt collector. However, this is a solution that will not hold up long term. Debt collection agents are experts at tracking people down, and they will likely find you sooner rather than later.
Why debt collectors keep searching
Debt collectors use different tools to find debtors. They usually start with the information given by the original creditor, including things like credit applications and agreements. This information helps them track down details about the debtor.
How collections agencies use your credit report
For debt collectors, credit reports are like a map that shows the big picture of a person’s financial situation and history. Some collectors might use credit scores because they are less expensive, however, a full credit report is more detailed.
Why hiding is harder nowadays
Today, information is everywhere thanks to the internet. Debt collectors use access to public records, online directories and social media. Even researching social media or online records of past connections like roommates or neighbors can give them leads.
How to find a smart way forward
With debt collectors always on the hunt, it is important find solutions that work. Bankruptcy, when done correctly, is one option that can provide financial relief. An experienced lawyer can help you through this complex process and can even get debt collectors to cease contacting you. When it comes to debt collection, expert help is one of the best ways to go to find peace of mind.
