This Weeks' Topic
Debt Collectors

Most Americans households carry some credit card debt. Combined with car payments, mortgages and other loans, sometimes the debt can become too much to pay. When a debt collection agency is called in, their tactics can turn nasty.

What federal law regulates debt collection?

The Fair Debt Collection Practices Act regulates and places limitations on debt collection practices.

What sort of things are debt collectors not allowed to do?

Even though you owe a debt, you have certain rights.

A bill collector cannot

• Contact you at inconvenient times, generally before 8 a.m. or after 9 p.m.

• They cannot contact you at work if you or your employer asks them not to.

• Cannot claim that they will sue you if they have no actual intention of filing a lawsuit.

What if you believe you don’t actually owe the debt?

• Within 30 days of  first being contacted, send them letter stating that the debt is in error and is disputed.

• They can't contact you again until you have received proof of the debt-usually an invoice or a copy of the bill.

Is a debt collector allowed to call up and pretend to be someone else in order to find out more information about your job or assets?

• It is illegal for a debt collector to lie about who they are,

• who they represent,

•  the amount of debt owed

• or, the consequences of not paying the debt.

Even if you have bills that are past due, you still have rights.

 

Disclaimer
This information is general and may or may not apply to your situation. The information contained on this web site is not to be considered as legal advice. Since no two cases are identical, we recommend that you contact an attorney in your jurisdiction to discuss the specific facts of your case. Furthermore, since statutes and case law change so frequently and due to information provided by other sources, we make no warranty or guarantee concerning the accuracy of the content of this or any other web sites to which we link.