If you’re late with payments to creditors there’s a good chance that you’ve already been contacted by a debt collector. It’s probably why you found your way to this webpage. You probably understand that you need debt relief, but what do you do about the debt collectors in the meantime.
Sometimes the calls are abusive with debt collectors making threats and harassing consumers. And because most consumers do owe the money but don’t know their rights, they allow themselves to be taken advantage of.
The Fair Debt Collection Practices Act (FDCPA) is a law meant to prohibit debt collectors from “abusive, unfair or deceptive practices” while they’re trying to collect money from you.
What Are My Rights Under the FDCPA?
The FDCPA makes it illegal for collection agencies to:
• Use abusive or profane language
• Threaten your family
• Arrest you strictly for a debt
• Call neighbors or employers if they already have your phone number
• Call you anymore if you’ve told them in writing to stop
• Pretend to be a legal representative or law official
• Give your information to anyone other than your spouse or a lawyer
• Publish a list of names of their debtors
• Call repeatedly
How Do I Stop Debt Collectors from Calling Me?
All you need to do is send them a letter explaining to them that you would like the calls to stop. You can’t simply ignore them though. You’re going to need to explain that you want all correspondence going forward to be in writing.
When Are Debt Collectors Not Allowed Contact Me?
Debt collectors are not allowed to contact you when it would be considered inconvenient. Generally this is before 8am and after 9pm unless you specifically agree to those types of hours. They also can’t call you at work if they’ve been told that you aren’t allowed to get calls there.
What if I Don’t Think I Owe That Money?
Within five days of their first contact with you, the debt collector is required to send you a letter explaining the amount that you owe, who you first owed the money to and what action you should take if you believe that the debt isn’t yours. If they don’t, you should send them a request for validation of debt letter. This way they have to prove in writing that the debt is yours.
Can a Debt Collector Sue Me?
Yes. If you haven’t paid off a debt and it’s still within the statute of limitations, the debt collector has every right to sue you for that money. If you fail to appear in court, the judge will likely award the debt collector a default judgment. The judgment will be put on your credit report, further ruining your credit score, and the debt collector may even garnish your wages.
Are All Debts Covered by the FDCPA?
Personal debts are covered by the FDCPA. Credit cards, medical bills, auto loans or mortgages all fall under the FDCPA. However, debts incurred while trying to run a business are not covered.
For more information about credit repair or debt settlement, contact My Credit Group
