Handling debt collectors or managing with their issues often tends to be a troubling and distressing experience in life. While the main objective of debt collectors is to pull out the debt, the table often tends to turn to the wrong side with collection harassment being prioritized largely.
A number of unprincipled collectors often take to illegal means of collection and threaten the debtors regarding the debt they owe. While some took to troubling the debtors by calling them up multiple times throughout the day and night, others took to misrepresenting themselves divulging their credit history to family and friends. The main aim behind such acts has been to harass the debtor continuously until they repay the amount in full.
The Solution for the Consumers
Owing to such malpractices regarding the collection of outstanding amounts that are leading to debt harassment, the US government has passed the law of the Fair Debt Collection Practices Act (FDCPA) to protect the rights of consumers. This governing body, at present, regulates and controls the behaviors and actions of collection agencies and debt collectors to protect consumers from falling prey to unlawful tactics and harassment.
This particular act outlines certain practices that are not allowed to be taken up by the collector in his or her collection efforts. A number of states also endow several other individual restrictions upon the collector to protect the rights of the consumer further.
Collection Practices that the Collectors can take up
The FDCPA restricts several methods and outlines a stringent collection procedure that the collectors can follow while contacting the debtors with the intention of debt recovery.
- The collectors can only contact the debtor between 8:00 in the morning and 9:00 in the evening from Monday to Saturday.
- The collectors cannot make repeated calls to the debtors within a short span of time and harass the debtor
- The collectors can under no means threaten the debtor with harsh consequences or behave rudely with him or her
- Collectors are also not allowed to divulge your information to friends, family, or employers without proper permission.
Such prohibitions are applied upon the collectors to protect the consumers from any type of debt harassment or collection harassment. In case, you ask the collocutor to stop calling you then, he or she must follow your statement, but he or she might continue with the collection practices.
Things that you Must Know
Most often, you will find debt collectors harping on the fact they can garnish your paychecks or acquire other personal property to recover the debt. However, you must know that that to garnish your paychecks, a lawsuit must be filed in a court of law and only the federal government can garnish your paychecks without any judgment.
If you have submitted post-dated checks to repay the debt then, the debt collectors cannot try to cash the check before the actual date. Additionally, the collectors can also not charge any penalties, fees, or interest on your amount, which was not included in the actual contract with the creditor.
Protect your Rights
To avoid debt harassment, you must protect your rights in conformity with the FDCPA. Always remember, not to divulge any information, be it financial or personal to the debt collector over the telephone. A genuine debt collector will never ask you for credit card and bank account numbers. Additionally, you must also confirm that you owe a particular amount to the company and pay to the legitimate collection agency.
Filing a Lawsuit against Debt Collector
Well, if you find any collector violating the rules of FDCP, you can report the collector or the particular collection agency at the Federal Trade Commission (FTC) or the state Attorney General’s office charged with collection harassment.
An End Note
If you come across situations in life where you need to deal with debt collectors then, make sure to know the limits and restrictions regarding the collection practices. Keep your financial information secured and always check on the authenticity of the collector or the collection agency for avoiding all sorts of debt harassment.