A debt collection agency such as Northstar Location Services has contacted you in regards to an outstanding credit card or personal loan account. After a few more phone calls, you determine the time has come to make a decision on how to deal with the relentless pursuit of the delinquent consumer debt.
You want to take care of the debt, but not for the entire amount of the balance owed to the original creditor.
The terms of a debt settlement typically requires consumers to pay less than the amount owed on the original debt balance. However, negotiating a debt settlement for a percentage of the original amount of a consumer debt requires the expertise of a licensed consumer protection lawyer.
Although you can turn to a for profit debt settlement company to perform debt settlement negotiations for you, a consumer protection attorney does much more to ensure you enjoy the full legal protections offered by a landmark federal law.
Why You Should Hire a Consumer Protection Lawyer
Drafting a debt settlement letter for a third party debt collector such as Northstar Location Services involves using the right tone to persuade the bill collector to agree to your proposed terms.
Debt settlement letters that contain emotionally charged language can turn an agreeable debt collection agency into a relentless company that settles for nothing less than the full amount owed on an outstanding credit card or personal loan account.
By hiring a consumer protection lawyer, you accomplish much more than writing a persuasive debt settlement letter. Your attorney will make sure Northstar Location Services does not violate any of the provisions written into the Fair Debt Collection Practices Act (FDCPA).
The FDCPA allows consumers to dispute alleged debts, as well as invoke the statute of limitations imposed by state law. Bill collectors must inform consumers they have 30 days to dispute the validity of an outstanding debt.
The FDCPA also prohibits debt collection agencies from using abusive language or threatening consumers into paying delinquent credit card and personal loan balances.
Actual Sample Letter
A debt settlement letter sent to Northstar Location Services must include the date of the letter, as well as the contact information of the bill collector, at the top of the letterhead. Dating the debt settlement letter creates a time stamp for every legal action that follows.
The heart of the letter should request the amount of the debt settlement and establish a timeline for paying off the delinquent debt. You can settle the debt by sending a lump sum to Northstar Location Services or propose a monthly payment plan that lasts anywhere from a few months to several years.
Your FDCPA attorney will determine a debt settlement amount you can afford and is agreeable to a third party debt collector like Northstar Locations Services.
One of the most important components of a debt settlement letter is a request to the bill collector to sign and date the letter to verify acceptance of the proposed debt settlement terms. The two signature lines should appear at the end of the letter right before your name and contact information.
You want to thank the third party debt collector for accepting your proposed debt settlement terms to keep the tone of the letter upbeat.
Writing a debt settlement letter that a bill collector accepts can bring you considerable peace of mind. Ensure you draft a persuasive debt settlement letter by working with an experienced FDCPA attorney.
*Disclaimer: The content of this article serves only to provide information and should not be constructed as legal advice. If you file a claim against Northstar Location Services or any other third-party collection agency, you may not be entitled to any compensation.