Creditors have several alternatives or methods to collecting debts.
A demand to pay the debt Self-help Demand for payment . Creditors may contact the debtor by letter asking or demanding that the debtor make payment. For example, a creditor may use this method when a debtor fails to pay a credit card bill. However, because debtors may not respond to letters, creditors often transfer delinquent accounts to debt collectors. Debt collectors are businesses involved in the professional collection of debt.