What is a debt validation letter?

A debt validation letter is a request sent to a lender to require the lender to verify that the debt is real. It is part of the consumer’s right to challenge any debt or charge made by the lender. This right is given to individuals in the United States under the Fair Debt Collection Practices Act, which prevents abuses by creditors in collecting debts. This type of letter is sent from the consumer to the creditor grantor as a request to verify that the debt charged to the consumer is accurate.

How a Debt Validation Letter Works

The benefit of a debt validation letter, according to this law, is to reduce the number of times that debt collectors can collect on a previously collected debt or on duplicate debts. The goal of the letter is to require the lender to prove the debt is legitimately the borrower’s responsibility to repay.

The consumer has 30 days after receiving the first written notice of the debt to file a debt validation request with the creditor. The Fair Debt Collection Practices law does not fully define what constitutes a proper debt validation. Reasonable methods must be used to show the debt must be paid. If the lender does not respond to this request or meet the time line for doing so, the consumer can disregard the debt in most cases.

It is critical to understand your rights concerning debt repayment. If you are considering using a debt validation letter, do so through an attorney who can assure your rights are met.