What is a debt validation letter?

A debt validation letter is a legal request that creditors must respond to under the Collection Defense Law in North Carolina. When a consumer sends a debt validation letter to a creditor, it requires the creditor to respond with written proof that the debt is legitimate. The proof should include paperwork that shows the consumer is in fact responsible for the debt. If the creditor does not respond within the time period provided by law, or if the proof that is provided is incomplete or inadequate, then the consumer can dispute the debt and it must be removed from their records. The purpose of the debt validation letter is to protect consumers from being scammed or receiving inaccurate information about their debt. This type of letter is especially useful for consumers who are unsure of the validity of a debt or who are worried about being taken advantage of by a creditor. By sending a debt validation letter, consumers can receive confirmation of which debts they owe and have proof that the debts are legitimate. This information can be used by consumers in dispute resolution or when negotiating a settlement with creditors.

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What is a debt validation letter?

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