large sum of money. If you know you owe part of the debt start making repayments to reduce that amount but continue with a dispute on the rest of the debt If the debt collector threatens legal action, refuses to investigate the dispute or continues to insist you owe the whole debt you should: (i) If the debt collector is in EDR lodge a dispute in EDR. (ii) If the debt collector is not in EDR get legal advice immediately as you may have to file a defence to court proceedings. Bankruptcy If you are stressed by constant contact by creditors, or your furniture or motor vehicle are under threat of being sold to pay your debts, you may wish to consider bankruptcy. See Fact Sheet: Bankruptcy . Your credit report Often a debt collector will threaten to list a default on your credit report if you do not pay in accordance with a demand. This is a common tactic for encouraging payment. It is also legal so long as the debt is more than 60 days overdue. Unfortunately, you may be listed even if you dispute the debt. As you will not usually be notified that a default listing has occurred, you should check your credit report. For more information on checking you credit report and disputing errors on your credit report, see Fact Sheet: Your Credit Report . Need some more help? See Getting Help for a list of additional resources.