If you have coerced debt, there are steps you can take. You might be able to have the coerced debt blocked, or hidden, from your credit report. You might be able to remove your responsibility to pay the debts altogether. The other guides in this toolkit will walk you through the steps to:
- Protect yourself from coerced debt,
- Discover if you have coerced debt,
- Dispute coerced debt, and
- Defend yourself if you have been sued for a coerced debt.
If you have coerced debt, you should avoid the following:
- DO NOT USE DEBT MANAGEMENT PROGRAMS. Some businesses will advertise and say that they can help out people with debt. They say that they are “debt cancellation programs” or that they can clean or repair your credit. Do not use these services. These businesses will charge you money to take steps that you can do for free.
- AVOID TAKING OUT NEW LOANS THAT CONSOLIDATE OR REFINANCE COERCED DEBTS. Once you take out a new loan, you will likely lose identity theft protections that may have applied to the original loan.
- AVOID TAKING OUT HIGH INTEREST CREDIT. Don’t take out other loans, like payday loans, in order to make a payment for a coerced debt.
- DON’T FILE FOR BANKRUPTCY RIGHT AWAY. Be sure you understand your rights and options as a victim of coerced debt. If you are thinking about filing for bankruptcy, make sure you talk with an attorney and fully explain that your debt is coerced and that you have special protections.
