Why People Get Confused with Debt Verification and Debt Validation One reason why people interchange the two terms is because they are being used interchangeably.
In a nutshell, the two terms refer to a process wherein a consumer makes a request to a debt collection company to prove to him that he actually owes money.
However, it does not include a clear definition as to what constitutes a legitimate debt validation.
In lieu of this ruling, a consumer has the ability to send a letter to his creditor or collectors, requesting the confirmation of information reflecting his penalized account.
They think that this is just a simple confusion that will not affect the status of their current debt.
It is the responsibility of each debtor to get to know the difference between such terms so they will have no trouble complying with them.
State laws set the interest and fee rules collection agents can tack onto a debt.Moreover, the letter is not capable of helping put a stop to the harassment from a collections agency.Having a debt verification letter alone is not sufficient to stop debt collection.Unfortunately, people often get confused with the terms debt verification and debt validation.If you are having trouble getting out of debt check out my posts A 6 step plan to dominate your debt or 4 tips to improve your credit.