Understanding Debt Collection Jargon In Plain English

Let’s be honest debt collection jargon can be confusing. 

If you’ve ever read a letter or email about an unpaid debt and thought.... “Wait... what does that even mean? You are not alone.

Like many industries, debt collection has its own language. And if you’re not in the business of chasing payments every day, that language can feel confusing, intimidating, or just plain frustrating.

So we’ve broken it down. Here’s a no-nonsense glossary of the most common debt collection terms and what they mean in plain English.

1. Debtor

What it means: The person or business who owes the money.