By Rochelle Belnap, The Arizona Credit Law Group, PLLC
We see it all the time. You have accounts in collections, you call the debt collector, pay them the full amount they are asking for, and then months or years later the same debt is still haunting you and a new company is trying to collect.
You probably want to pay off your old bad debt because you are trying to improve your credit score so you can buy a house, rent a house/apartment, join the reserves, or get a better job. But you paid all that money and your credit is still a bit low. What happened?
Did you follow the steps? There is a method to the madness.
Step 1: Verify! (Is the debt yours? Is there any reason why you shouldn’t pay it?)
Step 2: Negotiate. (Note: A good attitude will go a long way.)
Step 3: Get it in writing.
Step 4: Pay it and keep proof.
Step 5: Check your credit.
This is a time-consuming process. Most people skip steps, forget steps, and then get frustrated. We do this for every single account, for every single client. We save people so much money and just as importantly, we save them so much time.
We know that there are the do-it-yourselfers who read this, so if you are going to tackle debt on your own, please follow these steps. But if you are a month in and you haven’t made any progress, then it might be time to call in a professional.
Hope this helps and thanks for reading!