Written by Tony Webbstock.

1. Unscrupulous creditors take advantage of a debtor's lack of knowledge by collecting old or bad debt!
2. Debtors continue to pay bad debt because they don't know 1) that the debt is bad or 2) don't know how to check this!
3. How do you check if you are paying bad debt? Follow these 2 steps:
a) Stop paying debt that you think is bad. If the creditor doesn't sue you, then the debt can be regarded as bad without further ado!
b) if the creditor does sue you, then 1) defend the summons and 2) request a) a free Section 110 statement of debits and credits since inception of the account and b) a copy of the written agreement if not attached to the summons.
4. These documents will help anyone who knows what to look for to identify a bad claim! DiyDebt offers a Debt Check as 1 of its subscription services.
5. Why follow the Bad Debt check? If you don't, you will find yourself trying to pay off the bad debt + interest forever without any right of recourse.