What Is a Debt Validation Letter? Here’s What You Should Do If You Receive One
Written by
Adam Palasciano
Edited by
Nicholas Morine
Commitment to Our Readers
GOBankingRates' editorial team is committed to bringing you unbiased reviews and information. We use data-driven methodologies to evaluate financial products and services - our reviews and ratings are not influenced by advertisers. You can read more about our editorial guidelines and our products and services review methodology.
20 Years
Helping You Live Richer
Reviewed
by Experts
Trusted by
Millions of Readers
Have you ever received a call from a collection agency or debt collector? While this can be quite alarming at first, it’s important to stay calm.
Many scammers reach out to people explaining they owe a debt which either may not be real or doesn’t belong to them. The Federal Trade Commission explained that people lost a collective $10 billion to scams in 2023.
Here’s how you can avoid being part of this statistic and not pay any debts you may not really owe or that don’t belong to you.
Debt Verification Versus Debt Validation Letters
USA Today defines a debt verification letter as a document a consumer sends to request information about the debt.
However, a debt validation letter is different. This is a document sent by a collection agency, showing that the debt exists and you are responsible.
A call from a collection agency or debt collector isn’t enough proof. You can send a debt verification letter to a collection agency or debt collector requesting they provide proper documentation to verify the debt, such as a debt validation letter. Debt collectors have a legal obligation to send a debt validation letter if requested. If they don’t, you can request that they stop contacting you altogether.
Why Debt Validation Letters Are Important
Debt validation letters matter because they allow you to verify your debts with the proper documentation. This can protect you from scammers, prevent debt collectors from bothering you, and keep you from paying money you don’t really owe.
Items That Your Debt Verification Letter Should Include
If you’re contacting a collection agency or debt collector to request a debt validation letter, here’s what you should include in your debt verification letter, according to USA Today:
- Your name and address.
- The collection agency’s name and address.
- Acknowledgment of contact from a collection agency, including the date they contacted you.
- A statement explaining that you are disputing the debt.
- Request actual proof that the debt is valid and belongs to you.
- Request for all details about the debt. This should include the amount, how much is owed, and who the original creditor is.
- Request for proof of collection agency’s license.
- Contact information from the original creditor.
- Request to stop making contact if the debt isn’t valid.
Items That Your Debt Validation Letter Should Include
Here are several pieces of information that a legitimate debt verification letter should include, according to USA Today:
- The amount of debt you owe.
- The name of the entity to whom you owe the debt.
- How to request the name of the original creditor.
- A notice indicating that you have the right to dispute the debt.
Always be wary of anyone requesting that you owe money — and be sure to do your due diligence and investigate further if something doesn’t seem right.
More From GOBankingRates
