Is it acceptable to pay a credit collector with money order?

Answer 1

It is probably acceptable, however, it is NOT advisable.

A money order is one of the least secure ways to transfer money. Once they have your money, there is very little you can do to get it back or prove that a certain party ever received it. It is the preferred method of scammers and cheats, and will certainly help the credit collector if they are looking to defraud you. And many do.

I would not recommend using a money order. There are several other ways to transfer money which are just as easy. If you have an online checking account, you can use billpay to send them a check, or transfer money directly (NEVER allow them electronic access to your account, however; most abuse it). These methods are much quicker and easier to trace if they claim you never paid them.

And as always, get everything IN WRITING prior to sending these scumbags a dime. This includes a written agreement that once you pay $XXXX, that the debt is settled and a Letter of Satisfaction will be issued. Also, keep a close eye on your credit report; they are required by law to update your report with the fact that you have settled your debt, but it's your responsiblity to make sure all this happens. It is not uncommon for them to try to collect more on your debt AFTER you have settled, or leave your credit report in tatters.

Collections agencies are complete scumbags, and should be treated as such: with distrust.