Frequently Asked Questions
If you’ve received a communication from us about a debt you owe, we’d like to say, “Welcome.”
We know that’s an odd thing for a debt collector to say to a customer, but we’re not your typical debt collector.
We’re CFS2, and we want to build a solid relationship with you, based on dignity, respect, and honest communication.
As part of the “honest communication,” we want to give you lots of direct questions people ask us all the
time, and our answers. We've organized them in categories, and when you click on any one, it will expand with the answer.
Of course, if you have other questions we don't cover or you simply want to talk with a friendly consultant,
please contact us here.
Isn’t my credit shot forever? Why bother fixing it?
No, your credit is not shot forever. Fixing your credit will get you back on track more quickly and will reduce the cost of borrowing and improve your chance of obtaining new loans.
Even if I pay your bill, I can't possibly pay all my bills, so why bother?
You need a plan to deal with all your creditors. We can help.
A debt collector can only harm my credit, so why are you talking about credit?
That is not accurate. The banks have hurt your credit. A debt collector is in a position to begin improving your credit.
What does it really mean when you say that you will “work with me?”
It means exactly that. We can’t ignore the debt but we can work with you to find a way to get this, and perhaps other debts, off your mind.
Why do you continue to call people who tell you they’re broke?
Calling people over and over is not very good business. We make periodic contact to see if anything has changed in the situation.
If I didn’t borrow the money from you in the first place, why should I pay you?
The credit card company sold the debt to a third party. That third party hired us to contact you. The debt is a legally valid obligation. It is better for you to deal with us because we don’t have all the rules of the bank and are much more flexible in working with you.
Why do you need to advise me about my rights and disclosures when you’re calling me? It sounds scary.
We don’t mean it to sound scary. But, Federal Law requires us to tell you those things. It is part of our promise to be open and fair to you.
How do I know you are the new owner of the debt and not the company that gave me the credit card in the first place?
We are not the credit card company. We represent the new owner and that is actually a good thing for you. The credit card company never cut you any slack. We have the ability to work with you and help get this behind you.
Do I have to pay a “charged-off” debt? Doesn't “charge-off” mean the credit-card company is moving on and forgetting about it?
Charge-off is just an accounting term. Yes, the credit card company has moved on but they have not forgotten about the debt. They just sold the debt to a third party.
If I’m making payments are you charging me interest?
No. Every penny goes to reduce the balance.
Should I pay you or the creditor?
We will handle the payments for you. The credit card company will not accept payments.
Who is CFS2?
We are a licensed collection agency.
How are you different?
We believe in treating our customers with respect and dignity. We know it makes more sense to work with you than to fight with you.
If I get a letter from CFS2, what should I do?
You should call us so that we can understand your situation. We want to work with you ― not against you.
What if I can't pay in full?
We offer a variety of payment plans to fit your situation.
What if I don't have the credit to borrow the money?
No problem. We can work with you to identify a payment plan that fits your situation.
Should I just let one of those “credit counseling” or “debt consolidation” companies deal with you guys and save me the trouble?
That is really not necessary. We are pretty easy to get along with. But, if you want to work with a credit counseling company, that is fine. We do, however, encourage caution because many of the companies out there are frauds. You should only deal with a credit counseling company that is a member of the National Foundation for Credit Counseling.
Can you prove that I should pay you and not the credit card company?
Yes. The easiest way to prove that is for you to call the credit card company and ask about the debt. They will tell you that the debt has been sold and that they refuse to accept payments. Or, we can provide you an Affidavit of Sale.
What standards apply to how CFS2 goes about collecting my debt? What standards apply to how you may speak to me and when you can call me?
CFS2 will at all times fully comply with federal and state law. Further, we promise to treat you with dignity and respect. We pledge to conduct ourselves in a professional manner. If you would like, we can email you a copy of the federal statute that governs behavior of collection agencies.
What standards apply to how you may speak to me and when you can call me?
Federal law is very specific about how we make contact with consumers. Some states also have statutes that apply ― but the statutes in each state are different.
Do you monitor your own people to ensure that they are following your higher standards and fair business practices?
Absolutely. We believe it is good business to perform to a higher standard. Both supervisors and compliance specialists regularly monitor employees to ensure that we meet the higher standards that we set for ourselves.
How does credit work?
Credit is an agreement between two parties. “I agree to do this if you agree to do that.” The lender agrees to lend a given sum of money and the borrower agrees to repay the money on a defined schedule.
What does my credit report have to do with my credit score?
A credit score is a tool used by lenders to predict the probability of making a loan that will be repaid on time. The information that determines a credit score comes from all the information contained in your credit report.
How long does negative information stay on my credit report?
No creditor may keep negative information on your credit report longer than 7 years. There are situations where negative information may be reported for a shorter period of time. Our policy is to work with you and, in many cases, we can help improve a credit score significantly.
What is my score in the first place?
A credit score is a mathematical algorithm that predicts who will repay a debt on time.
What is a “good” score?
It depends. Credit scores range from a low of 300 to a high of 850. The average credit score in the US is 696. A good credit score is anything above 700. A poor credit score is anything below 600.
How do I improve my score?
The answer is surprisingly complex since the formula for calculating a score is a trade secret. Essentially, a credit score is a reflection of information that has been reported by all your creditors. Common ways to improve a credit score are to make installment payments on time and to reduce your total obligations.
Can my credit improve if I pay it off?
Yes, we regularly see improvements in credit scores. Also, CFS2 will provide a Paid Account Letter for your benefit.