Congratulations on landing yourself a job! Being an adult is quite an enjoyable experience until your mail starts arriving. When the letter comes from the collection agency, it’s the same thing as receiving a punch to the face. Relax a little bit.
There are no jail sentences awaiting you. Fortunately, there is a Federal Debt Collection Practices Act that will help you out. They know the rules, and they are aware that recent graduates lack knowledge of the laws. Knowledge is your power.
Refuse to accept the debt over the phone, as it will renew the statute of limitation. Request the written evidence of your debt.
Order your credit report immediately. There will be more mistakes than you might think there are. You can notice a debt in there that isn’t even yours. Contest anything you feel is inaccurate with Equifax, Experian, and TransUnion.
Negotiations have started, and now you need to be well-prepared. Make an offer of paying one time the amount less than what you owe. All agreements should be made in written form before you transfer any money.
You could try to negotiate for a payment plan if the one-time payment is impossible. Begin by making an offer of the monthly payments you can make.
When the debt collector tries to reach you in your workplace, make sure that you do not consent. It’s obviously against federal law. Write down all the actions taken by the collector that seem suspicious to you.
It’s just business for him. This is not a criticism of your actions. Millions of other people experience it too.