Collection agencies can and do refuse payments.
There’s no law saying they have to accept a check or money order.
Some people might tell you that as long as you send something in every month, creditors can’t take collection action against you.
Unfortunately, that’s a myth.
How can I get out of paying debt collectors?
Pay for Delete
Send the collector a letter stating your interest in paying the account. Offer to make payment if the collector agrees to remove the entry from your credit report. If the debt collector agrees, ask for a signed copy of the letter to you to seal the agreement. (Sample Pay for Delete Letter.)
Will Debt collectors accept payment plans?
First, collection agencies aren’t legally obligated to accept or agree to payment plans. In short, debt collectors don’t have to work with you or agree to any payment schedules based on what you’re reasonably able to afford. Their goal is to collect as much of the debt as they can, as quickly as they can.
Can I ignore a collection agency?
The debt collector may file a lawsuit against you if you ignore the calls and letters. If you then ignore the lawsuit, this could lead to a judgment and the collection agency may be able to garnish your wages or go after the funds in your bank account. (Learn more about Creditor Lawsuits.)
Do you legally have to pay a collection agency?
You don’t have to pay anything more than what you owe.
Collectors aren’t allowed to charge any interest or fees to your account unless the original contract or by state law allows it.