Collection companies are companies similar to any other, most buy debt from the initial creditor for a portion of the initial amount owed and then attempt and gather as much as possible from you.
If you had an unpaid credit card balance of $2000, a collection company might purchase it from the creditor for $400 and will attempt to collect the complete quantity from you. This is sometimes the reason for the continuous harassment from debt collector.
It is important to understand that you have personal rights in reference to how debt collection agency interact with you in reference to any debt. If they do not, they need to follow these laws and you also have the right to sue them.
A debt collection agency by law can not call you prior to 8.00 am and after 9.00 pm and need to likewise stop calling you as soon as you instruct them to by putting it in writing. It is also possible to remove collection accounts from your credit report.
In order to do this it depends on the stage of the collection account, if its older than 7 years then you can have it eliminated with an easy letter to the credit bureaus. If its an account where the collector is still calling you, you can work out a lower payment in exchange for them deleting it from your report.
It is extremely important that you get this in writing PRIOR TO you pay them any cash. Bear in mind that they purchased the represent less and this will also allow them to settle ZFN Associates the account for less than what you originally owe on it.
Go to Bad-credit-repair-tips. com to read more about do-it-yourself-credit repair work, credit repair services and how to raise your credit score 200+ points to get approved for credit, automobile and house card loans.