DISCLAIMER.

This post is for informational purposes to inform people of what some of their rights are under the FDCPA. It is not intended to replace professional advice.  If you are having a problem with a debt collector or a “scavenger debt collector”, seek professional advice.

It is not a pay per post article.  I do not write pay per post articles.

In 1977, Congress found that there was a need to provide guidelines for collection agencies to follow.  So out of their hearings, the Fair Debt Collection Practices Act or FDCPA was approved and eventually became effective on March 20, 1978.

The FTC (Federal Trade Commission) has a great site that offers excellent information as to what your rights are. I’m going to just paraphrase some of the rights that they list.  For more info, please go to their site.

The types of debt that is covered by the FDCPA are:  personal, family, and household debts. These include credit card accounts, automobile loans, medical bills, and your mortgage.

A debt collector cannot contact you at any time or place.  They cannot call you before 8 a.m. or after 9 p.m. They cannot call you at work if they are told that you are not allowed to receive calls at work.  You can tell them either orally or in writing, but it is always better to go ahead and write them a “cease and desist” letter.

You can talk to a debt collector. If it is your bill, you may talk to him or her about it and try to work out a pay plan.  If you do not think this is your bill, then you will need to send a letter stating that you do not owe the bill and that they must stop contacting you.  (It is a very good idea to send this via Certified Mail, Return Receipt Requested.)

A debt collector can contact other people or third parties but only to find out your location, phone number and where you work. They may not discuss your debt with a third party other than your attorney.

The collection agencies are required to send you a written notice of the debt within five days after first contacting you.

A debt collector cannot use abusive language when speaking to you or third parties. They cannot harass you or the third parties that they may contact about you.

A debt collector cannot make false statements to you. They can’t falsely claim that they are attorneys.  They cannot falsely claim that you have committed a crime and they are going to have the law come and pick you up.  They cannot falsely claim you owe more money than you actually do.

A debt collector can sue you to collect. If they win, then they can possibly get a garnishment against you.  But, there are many federal benefits that cannot be garnished.  If you are sued by a debt collector, it may become necessary to hire an attorney.

If you think that a debt collector has violated the law, you do have rights as to what you can do. You have the right to sue the debt collector within one year from the date the law was violated.  If you win, the debt collector will actually have to pay you damages up to $1,000, plus you can be reimbursed for your attorney’s fees and court costs.

Please remember that not all debt collectors are “bad” people.  There are several reputable collection agencies, but there are also several “scavenger debt collection agencies.”  Most reputable debt collection agencies will work with you.  If you are having a problem with a “debt scavenger” you may need to be more assertive.  REMEMBER:  THIS BLOG POST IS FOR INFORMATION PURPOSES ONLY.  IF YOU ARE HAVING DIFFICULTY WITH A COLLECTION AGENCY, PLEASE SEEK PROFESSIONAL ADVICE.

Till next time,

JT Locke
The Frugal Housewife

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