Have an old debt that you thought was out of your life? Get a call out of the blue asking you to settle a debt that's old? Beware. Scavenger collector firms will oftentimes buy old debt for as little as a penny on the dollar and then try to collect. Be very careful because you could be back on the hook.
Here's how it works. A scavenger collector can call you back about a debt that is up to 30 years old offering to to settle the debt. The collector might say "Just go ahead and make a payment of 5.00 and we'll call it even". Don't fall for it! If you do there's a chance that legally the debt can be re-labeled as "active" putting you back on the hook again for the entire amount.
It's not a question of whether or not the debt is valid, it's an issue of knowing your rights. Just fire off a drop dead letter to them and settle the matter. A good example is below (Source: clarkhoward.com).
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(Date)
To Whom It May Concern:
I have been contacted by your company about a debt you allege I owe. I am instructing you not to contact me further in connection with this debt. Under the Fair Debt Collection Practices Act, a federal law, you may not contact me further once I have notified you not to do so.
Sincerely,
(Name)
(Account No.)