Category: Debt

Should You Tell Your Partner About Your Debt?

Not picking up the check at dinner, having bad breath or being late may be excusable on a first date, but one thing isn’t — having too much credit card debt, according to a survey. The average amount of credit card debt that’s considered unacceptable is $11,525, with …

Pros and Cons of the Debt Snowball

When trying to pay off debt, it can help to have a plan. Instead of paying credit cards, car loans, medical bills and other debts in random amounts each month or splitting your total payment evenly toward them, a plan such as a “debt snowball” can encourage you …

How Collection Agencies Work

You may not know it when a debt collector calls, but some have bigger incentives than others for pushing you to pay. There are two types of collection agencies: Ones that are hired by creditors to collect debts, and those that buy old debts from original creditors for …

Debt Validation Letter

When a collection agency has contacted you, you have 30 days to request that they validate the debt. Use this sample letter to make them prove it’s your debt. If you’re the type of person who would rather have a professional handle it and just be done with …