If you are behind on paying your bills, or you have fallen into a situation where a debt collector has started to contact you, then it is important to know your rights to avoid debt collection abuse.
Debt collectors are bound by the rules and regulations of the FDCPA or the Fair Debt Collection Practices Act. This act states that collectors cannot use abusive, unfair or deceiving practices in their attempt to collect money. This act governs anyone that collects money that is owed on a regular basis. This would include collection agencies, lawyers that regularly collect debts, and companies that buy debts.
The FDCPA covers debts that are considered personal debts. This would include things like credit card debt, a mortgage, or medical bills. The act does not cover any debt that was a result of a business venture or business expenses.
There are rules for debt collectors about when they can contact you, and it is important to know and understand these. They may only contact you during convenient times which are after eight in the morning and before nine o'clock at night. They also may not contact you at work if you serve them with a written or verbal notice.
Debt collectors have a job to do, but often times people want to know if there is a way to keep them from contacting them altogether. The only way to do this is by drafting a letter and sending it directly to the debt collector. The letter needs to be sent by certified mail, and you should get some sort of receipt to prove the collector got the letter.
You are still responsible for the debt owed, but the collector should not have any more contact with you. They are allowed to make contact one more time to inform you of any action that a creditor might be taking against you.
There are certain practices that are off limits for debt collectors. The more you understand these, the better chance you have of stopping a collector from using them on you.
- Collectors are not allowed to harass you in any way.
- They cannot make any threats, or repeatedly call you to get on your nerves.
- They also are not allowed to make any false statements.
- They cannot misrepresent themselves or the amount of money that you owe. Collectors are also not allowed to tell you that you will be arrested or talk about any legal action that might result from you not paying your debts.
If you feel that a debt collector has violated any of the practices that are outlined in the FDCPA, then you need to report it to the Attorney General's office or the FTC. You have one year from the date of the occurrence to file any complaints.
