Money expert reveals what debt collectors don’t want you to know

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IF you’re not sure what to do if you keep getting letters from debt collection agencies, a money expert on TikTok has found a solution.

When you open a letter from a debt collector, you may find that they are asking you to pay less than you actually owe.

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This Money Expert Explains Why You Shouldn’t Pay a Debt Settlement ImmediatelyCredit: TikTok / Journey To Credit Acceptance
You will need a written

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You will need a written “pay for removal” agreement from the debt collectorCredit: TikTok / Journey To Credit Acceptance

To some this may sound like a lot, and it will come off their credit report when paid.

And unfortunately, they’re wrong because that doesn’t mean it’s removed from their report, according to TikToker which calls itself “journeycreditacceptance”.

“The only thing paying for a collection does is that it changes the status of paid collection, but it’s still pejorative in a lender’s eyes and it’s always on your credit report that brings it down. your score, ”she said.

The key is not to pay it immediately.

Instead, the TikToker recommends negotiating a “pay to remove,” which is an agreement between a borrower and a lender that removes the collection from the credit report after the amount is paid.

But you’ll have to be careful how you go about it.

First of all, make sure you don’t negotiate over the phone or email, because if an agency doesn’t stick to the deal, you might have nothing to work with.

“You have to do it in writing to have a paper trail,” TikToker said.

And more importantly, she concluded her 54-second video by saying, “If a business tells you they’re going to delete the account after you pay it, don’t pay it, it won’t help you.

TikToker did not respond to The Sun’s request for comment.

Debt collectors can now find you on social media.

We explain why prepaying debt could lower your credit rating.

Plus, see how a money blogger paid off $ 99,000 in debt in five years.

Money-saving mom explains how heavily indebted family can fix their finances

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