Ed Herman from Brown & Crouppen is here with his daughter Caroline to talk about Zombie debt. This is something that not many people have heard of but can become an issue.
Ed starts by explaining that zombie debt is debt that is dead but is trying to come back to life. Zombie debt could be money that you did owe at one point, but you don’t have to pay now maybe because you paid it off already or it was cleared into bankruptcy or the statue of limitations has passed. Ed goes on to say that there are companies out there that buy up all of this old debt for pennies on the dollar. These companies then send their collectors to aggressively call people up to try to get as much of that money as they can.
When these collectors call, Ed says that they will use bad tactics to try to get you to pay. They might ask you to make a small payment in good faith that they won’t harass you again. However, once you make the small payment it renews the entire statute. This would be when the debt comes back to life.
Ed says that with any debt collector, you do not have to speak to them. You can insist that all communications be in writing. Once you have everything in writing, then you can check out the validity of it to find out if it is debt that you owe or not.
If you need legal advice, give the experts at Brown & Crouppen a call at 314-222-2222, visit GETBC.com and don’t miss checking out their YouTube channel.