writing a dispute letterWhen creditors transfer the collection of debts to a collection agency, borrowers often encounter problems dealing with collectors. Some collection agencies violate the Fair Debt Collection Practices Act and ignore the consumer rights of the borrower. Meanwhile, many consumers are not even aware of their rights and privileges.

If you have received a notice from a debt collection agency demanding you to submit payment, the first wise thing to do is send a dispute letter. Even when you know that you are in debt with the original creditor, sending a dispute letter has its benefits.

First, it will buy you more time to work on your repayment. Second, you have the right to validate whether the charges you are requested to pay are accurate. Third, exercising your right to dispute protects you from abusive debt collectors.

If you are not familiar with the process of disputing charges, here are the steps on how to write an effective dispute letter addressed to a collection agency:

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