The phone number 603-257-9012 is a known number used by Merchants Credit Guide, a legitimate debt collection agency based in New Hampshire. They are a smaller, regional agency that collects on various types of consumer debt.
If you are receiving calls from this number, it means Merchants Credit Guide has been assigned or has purchased a defaulted debt that an original creditor (like a credit card company, medical provider, or local business) has written off. They are now attempting to collect on that debt.
The negative impact on your credit score is not from the calls themselves, but from the underlying debt event that led to your account being placed with collections. Here’s the chain of events that damages your credit:
Original Late Payments: Your original creditor (e.g., a credit card company, medical provider) reported late payments (30, 60, 90 days past due) to the credit bureaus. Each late payment significantly lowers your score.
Charge-Off/Placement: After typically 180 days of non-payment, the original creditor will "charge off" the debt (close the account as a loss) or simply place it with a collection agency like Merchants Credit Guide for recovery.
Collection Account Reporting: If Merchants Credit Guide reports the collection account to the three major credit bureaus (Equifax, Experian, and TransUnion), it creates a severe negative entry on your credit report.
Double Impact: For a time, you may see both the original charged-off account and the new collection account on your report for the same debt, compounding the damage.
A collection account signals to future lenders that you have previously failed to repay debts as agreed. This makes you a high-risk borrower, leading to:
Denials for new credit cards, loans, and mortgages.
Higher interest rates if you are approved.
Difficulty passing rental application checks.
Potential issues with employment background checks for financial roles.
This number is legitimate and is officially associated with Merchants Credit Guide, a legitimate debt collection agency. However, it is very common for scammers to "spoof" (fake) the caller ID of real companies to add credibility to their scams.
Therefore, while the number itself is used by a real company, you must verify that the person calling you is truly from Merchants Credit Guide and that the debt is valid.
How to Verify Legitimacy and Protect Yourself:
Ask for Details: Request the collector's full name, the company name ("Merchants Credit Guide"), their business address, and a direct callback number.
Demand a Debt Validation Letter: This is your absolute right under the Fair Debt Collection Practices Act (FDCPA). Verbally request it and follow up by sending your own written request via certified mail. A legitimate collector must provide this letter, which details the original creditor, the amount owed, and your rights.
Do Not Confirm Sensitive Information: Do not provide your full Social Security number, bank account details, or credit card numbers over the phone during an unsolicited call.
Check Your Credit Report: Pull your reports for free from AnnualCreditReport.com. Look for an account listed under "Collections" from Merchants Credit Guide or the original creditor.
Contact Them Directly: Use the contact information on the company's official website or their BBB profile to confirm the debt, rather than engaging solely with the number that called you.
The FDCPA protects you from abusive, deceptive, and unfair collection practices. Harassment can include repetitive calls, calls at odd hours, use of obscene language, or threats.
Steps to Stop the Harassment:
Verbally Request Them to Stop: You can clearly state during a call that you wish to cease all telephone communication. While this is effective, it's best to follow up in writing.
Send a Formal "Cease" Letter: This is your most powerful tool. Send a letter via certified mail with a return receipt demanded that they stop all contact with you, except for legally required communications (like notifying you of a lawsuit). Once they receive this letter, they can only contact you to confirm they will stop calling or to inform you of a specific legal action.
Document Everything: Keep a detailed log of every call—date, time, name of the caller, and a summary of the conversation. Save all voicemails and letters.
Report Violations: If the harassment continues after your written request, report it to:
The Consumer Financial Protection Bureau (CFPB): File a complaint online. The CFPB will forward it to the company and work to get a response.
The Federal Trade Commission (FTC): The FTC enforces the FDCPA and collects data on illegal collection practices. File a complaint on ReportFraud.ftc.gov.
Your State's Attorney General's office.
Ignoring the calls is a risky strategy. While blocking the number might stop the ringing phone, it does not make the debt or the problem disappear. Ignoring a legitimate debt collection can lead to worse outcomes:
The collection account will continue to severely damage your credit for up to 7 years.
The agency may escalate its efforts, potentially leading to a lawsuit.
If they sue you and you ignore the court summons (which blocking calls won't prevent), they will win a default judgment against you. This can lead to wage garnishment or bank account levies.
The better approach is to engage proactively by first requesting debt validation in writing. Once you have information, you can decide on a strategy, such as negotiating a settlement, disputing the debt, or setting up a payment plan.
Yes. As a legitimate debt collection agency, Merchants Credit Guide has the legal right to sue consumers to collect on debts they own or are assigned to collect. Whether they will sue depends on the age and size of the debt—they are more likely to pursue legal action for larger debts that are within the statute of limitations.
Statute of Limitations (SOL): This is a critical state law that sets a time limit on how long a collector can sue you to collect a debt. The SOL varies by state (typically 3-6 years for most debts). Crucially: Making a partial payment or even acknowledging the debt in writing can restart the SOL clock in many states.
Do NOT ignore a Lawsuit: If you are served with court papers, you must respond by the deadline. Ignoring it will result in a default judgment, which grants the collector much stronger collection powers.
Removing this collection account can significantly improve your credit score. You have several options:
Pay for Delete: This is a negotiation tactic. You offer to pay the debt (often for a settled amount less than the full balance) in exchange for them completely removing the collection account from your credit reports. You must get this agreement in writing before you send any money. Not all collectors agree to this, but it is always worth trying.
Dispute the Debt: If any information is inaccurate, outdated, or you don't believe the debt is yours, you can dispute it with the credit bureaus (Equifax, Experian, TransUnion) and directly with Merchants Credit Guide. If they cannot verify the debt within 30 days, the bureaus must delete it. Common grounds for dispute include incorrect amounts, wrong dates, or accounts that don't belong to you.
Wait It Out: A collection account can only remain on your credit report for 7 years and 180 days from the date of the original delinquency (the first missed payment that led to the charge-off). After that, it must automatically fall off.
1. If I pay the debt to Merchants Credit Guide, will it be removed from my credit report?
No, not automatically. Paying a collection account will typically update its status to "Paid," which looks better than "Unpaid" to some lenders, but the negative entry itself will remain on your report for the full 7-year period. The only way to get it removed before then is through a negotiated "pay for delete" agreement, which you must get in writing before making any payment.
2. How long does a collection account from this agency affect my credit?
It will affect your credit for the entire time it is on your report, which is up to 7 years and 180 days from the date you first fell behind with the original creditor. The impact lessens over time, especially if you build new positive credit history.
3. What is the statute of limitations for debt collection in my state?
The statute of limitations (SOL) varies significantly by state and by the type of debt (e.g., credit card, medical, written contract). It typically ranges from 3 to 6 years for most common debts. You must look up the specific SOL for your state of residence and the type of debt in question. This is crucial because if the SOL has expired, they cannot successfully sue you to collect.
4. I don't recognize this debt at all. What should I do?
This is a major red flag for potential fraud or a mistake. Your first step is to request debt validation in writing. This forces them to provide proof you owe the debt. Do not provide any personal information or make any payments until you receive and verify this validation. If you suspect identity theft, you should also place a fraud alert and a credit freeze with the three major credit bureaus.
5. Should I negotiate a settlement with them?
Negotiating a settlement can be a smart strategy to resolve the debt for less than the full amount, especially if you can afford a lump-sum payment. However, ensure you: Get the settlement offer in writing before you pay. Aim to negotiate a "pay for delete" as part of the deal. Understand that the IRS may consider the forgiven portion of the debt as taxable income. Be aware that a settled account may still be reported as "settled for less than full amount," which is still a negative mark, though better than an unpaid collection.