How To Fight Back When Zombie Debt Collectors Call

How can you stop a zombie debt collector from re-aging an old debt so it shows current?

First of all: What is a zombie debt collector?

The term "zombie debt collector" refers to a collection agency which purchases old debts with the hopes of scaring consumers with veiled threats and warnings of future financial troubles into paying off debts they might not even legally owe anymore.

According to a post at About.com:

Zombie debt refers to old debt purchased by debt collectors hoping to intimidate consumers into paying the debt.

Needless to say, this form of debt collection tactics has become a big business and poses a constant headache to many consumers these days. (Read the articles and forums listed at the end of this post to find out just how pervasive this problem poses to U.S. consumers).

Says an article at Forbes.com:

Consumers' main problems with zombie debt stem from engaging in communication with the debt collection agency and from not knowing their rights. If you know how to handle the situation properly, you won't become a victim.

Threatening phone calls and letters from debt collectors -- especially zombie debt collectors -- can be thwarted by taking a few simple steps:

Start by demanding proof you actually owe the debt from the debt collector. Dispute it by saying it's not yours. Demand that he or she provide documentation.

If no proof can be provided you owe this debt, or the collection agency misleads you with false information, you then have the option to report the debt collector to the Attorney General Office in your state, to the Better Business Bureau, and -- most importantly --to the Federal Trade Commission.

You are within your rights to demand to know if the debt collection agency is properly licensed in your state. Failure to be licensed is a big no-no.

Laying is taboo too. If the debt collector makes a false derogatory entry in your credit report, dispute the entry with both the debt collector and the credit bureaus.

If, after your dispute, this debt collector is dumb enough to persevere filing false information to credit bureaus and damaging your credit rating further, you very likely have grounds for a claim under the Fair Credit Reporting Act.

Read "Dealing With Harassment Calls From Collection Agencies" for more advice on what you can do to protect yourself from zombie debt collectors.

Check out these popular websites and forums revealing the depth of the overall problem:

Beware Of Zombie Debt Collectors - (Forbes.com) http://www.forbes.com/2008/10/31/debt-creditors-default-pf-education-in_af_1031investopedia_inl.html Don't let debt collectors chase you down for money you no longer owe. Here's how to fight them off.

'Zombie' debt is hard to kill - (MSN Money) http://articles.moneycentral.msn.com/SavingandDebt/ManageDebt/ZombieDebtIsHardToKill.aspx 'Zombie' debt is hard to kill. And collecting on old debts is a rapidly expanding industry.

Legal Rights Concerning Zombie Debt Collectors - (Amazon Answers) http://askville.amazon.com/collectors-ZOMBIE-debt-legal-rights/AnswerViewer.do?requestId=9743945

Zombie Debt - What is it and What You Can Do About It (About.com) http://credit.about.com/od/debtcollection/tp/attack-zombie-debt.htm Zombie debt refers to old debt purchased by debt collectors hoping to intimidate consumers into paying the debt. If you're contacted by a collection agency about ...

Needing Help With Zombie Debt Collectors? - (CreditInfoCenter.com) http://www.creditinfocenter.com/forums/collections/308488-need-help-w-zombie-debt-collector.html

Zombie Debt Collector Tries To Collect 11-Year-Old PayPal Balance - (Consumerist.com) http://consumerist.com/2011/02/zombie-debt-collector-tries-to-collect-11-year-old-paypal-balance.html Feb 18, 2011 – Christopher is currently being haunted my a small debt from his past. At least, it might be from his past: he's not sure. A collection agency is after ...

Deceived By Zombie Debt Collector - (ExpertLaw.com) http://www.expertlaw.com/forums/showthread.php?t=109494

Zombie Debt Collectors - (DebtCollectionAnswers.com) http://www.debtcollectionanswers.com/zombie-debt-collectors.html Learn how to deal with zombie debt collectors, those old time barred debts that seem to come out of nowhere.

Comments on Zombie Debt - (CreditMagic.org) http://www.creditmagic.org/repair/zombie-debt.html