Questions:

• Should I deal with debt collectors or try to avoid them?
• Collection agencies have been calling me all hours of the day and night. How can I get them to stop contacting me?
• The collections department of a local merchant is harassing me. Can I do anything about it?
• A bill collector insisted that I wire the money I owe through Western Union. Am I required to do so?
• Can a collection agency add interest to my debt?
• A collection agency sued me and won. What collection measures can it now take against me?

Answer:

Should I deal with debt collectors or try to avoid them?

Unless you're "judgment-proof" (that is, broke) or plan to file for bankruptcy, most credit counselors believe that you shouldn't ignore your debt or try to hide from a debt collector. Generally, the longer you put off resolving the issue, the worse the situation and consequences will become. Whether you negotiate directly with the collector or obtain a lawyer's assistance, most counselors feel it is almost always best to talk with the collector and try to work out a mutually satisfactory arrangement.