Debt Collection Scam

This scam works by creating fear. Scammers phone random people and clam they owe a debt and must pay immediately otherwise a number of bad things will happen to them e.g. their credit rating will be ruined, they will be prosecuted in court, their friends and family will be told of the debt, the Police will be called, they will be arrested and so on.

The victim does not owe the debt but some pay up out of fear of what will happen otherwise.

This is a very nasty scam and does frighten people.

Signs of a debt collector scam:-

  1. The debt is to a business you have never heard of, for a product or service you have never received
  2. The caller refuses to give you the collection agency name, contact information, physical address and operating licence number – or gives you false information
  3. The caller demands immediate payment through a money transfer service or prepaid vouchers – anything that means you cannot get the money back as it will be untraceable.
  4. The caller demands that you provide sensitive personal information such as your banking information or your credit card number
  5. The caller threatens severe legal action or to send the police
  6. The caller phones you repeatedly but won’t provide anything in writing

What to do if you have been contacted by a debt collector or have received a debt collection letter you believe to be fake:-

  • Do not give any sensitive financial and personal information.
  • Do not discuss anything related to the debt.
  • Ask for a formal written notice or letter regarding the debt.
  • Look up the debt collector online and check if the information is false e.g. the address.

A genuine debt collector will always provide you with all relevant information in writing and will not pressurise you to pay off debts using money transfers or prepaid cards. They will also not ask for credit card details or similar personal information, but they will try to make a deal with you over repayment terms.

Do enter your email address and click on the subscribe button on top right to keep up to date with new posts.

Fightback Ninja Signature

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.