Debt collectors and collection agencies are notorious for using extreme tactics and measures to try and collect on debts. However, thanks to the Fair Debt Collection Practices Act (often abbreviated as FDCPA), consumers are now protected against the most common types of creditor harassment.
The FDCPA was not only designed to stop aggressive and unethical creditors but also to provide consumers with certain rights. One of the main takeaways from the FDCPA was the consumers right to debt validation.
Debt validation means that if a consumer is in collections for a debt they do not recognize, the debt collector must prove that the debt is legally attached to the consumer.
The FDCPA also offers other protections. Prior to passing the act, debt collectors were allowed to call and or nearly harass you at any time. Now, debt collectors and agencies can not call you repeatedly and can only call from 8 AM to 9 PM in an attempt to collect.
Other Limitations on Debt Collectors
Threatening or Abusive Language: Debt collectors are not allowed to use vulgar or intimidating language over the phone. Although this may sound like common sense to most people, it was a fairly common tactic among debt collectors prior to the FDCPA.
Ignoring Requests: With the FDCPA, debt collectors are no longer allowed to continue to collect on debts until they respond to your debt validation letter.
Fees: A common practice back in the day for debt collectors was to force debtors to pay certain fees and penalties to the collection agency. The FDCPA now makes it illegal for collection agencies to tack on additional fees and penalties onto consumers.
Collecting Information: Many people fear debt collectors because they believe that a debt collector can tell all your family and friends about your debt. The FDCPA allows debt collectors and agencies to only speak about the debt to the debtor themselves.
The collector can only ask your friends and family about your location. They are not allowed to discuss the debt itself.
All in all, it can be hard to deal with debt collectors and collection agencies. Although the FDCPA was designed to help protect consumers, over 100,000 reports have been filed against collection agencies. Your best bet as a consumer is to be informed about debt collection laws and to inform the FTC of any violations.
If you are tired of worrying about your debt and debt collectors, CrediReady can help. Our nationwide network of experienced and trusted attorneys will give you a free no-obligation consultation on your debt and how you can erase all your debts easily with bankruptcy. Take a moment to fill out our free no-obligation consultation form to start your debt-free life today!