Junk debt buyer companies buy bad debts, usually for pennies on the dollar. They file a collections lawsuit against the consumer.
Consumer Financial Protection Bureau
What to Know About Debt Validation Letters
If you’ve been contacted by a collection agency, the collectors are required to send you a written notice within five days of the first contact. Debt validation letters
Biden’s Plan: Change Credit Reporting & Scoring
President Biden is looking to create a public credit reporting agency (CRA) that would compete with TransUnion, Equifax, and Experian. Credit scoring & credit reporting.