Phantom Debt is the creation and collection of fictitious debt. In other words, no debt exists.
A person that has substantial debt issues is less likely to confirm that a debt collector is legitimate. Based on this scenario, the scammer preys on non-suspecting individuals who are in default with a number of creditors. The scammer purchases the names and personal information of such victims. The scammer requests payment of the fictitious debt by way of elaborate collection letters or threatening telephone calls.
Sometimes the scammer may attempt to collect a debt that has been previously discharged in a bankruptcy case.
Robert Manchel, a New Jersey bankruptcy attorney, can be contacted to discuss your questions regarding bankruptcy protection at 1 (866) 503-5655.