Your
Credit Rights... The Fair Debt Collection Practices Act
Many consumers have their legal rights violated
by collectors without even knowing it. The Fair Debt Collection Practices Act
is designed to stop harassing, unfair, and abusive debt collection practices.
Knowing the important details of this act will
help you stand up against abusive collection practices and stop collection
companies from violating your rights.
There are many requirements debt collectors must
abide by per the FDCPA.
Debt collectors are not allowed to tell others
details about the consumer including that they owe a debt, they cannot
communicate with anyone other than the consumer more than once, not communicate
through post card or have ANY markings on the outside of their envelope
indicating they might be a debt collector.
Basically, collection companies cannot use the
fact that they are a debt collector to bully you into paying.
They cannot identify themselves as a debt
collector to your employer, and they cannot send things in the mail to identity
they are a debt collector with the intent of embarrassing or causing other
hardship to you.
Debt collectors are also not allowed to call a
consumer at an unusual time or place. This includes before 8 a.m. and after 9
p.m. A debt collector cannot contact a consumer at their place of employment if
they have reason to believe this is prohibited by the employer.
They are also required to immediately cease and
desist contact with you if you are represented by and attorney, or if you
notify them to do so in writing or notify them that you refuse to pay the debt.
There are many restrictions of abusive and
harassing practices in the FDCPA also. Debt collectors are prohibited from
using the threat of violence or other criminal means to cause harm to the
consumer.
The use of obscene language is prohibited along
with the publication of information that the consumer allegedly owes the debt.
Debt collectors cannot cause a consumer’s phone
to ring repetitively with the intent to annoy or harass any person. And they
have to clearly identify themselves on every phone call.
False and misleading representations are also
prohibited per the FDCPA. These include the debt collector identifying
themselves as an affiliate of the United States government, miss-representing
the legal status of a debt, or that they are an attorney if they are not.
Your debt collectors cannot falsely represent
that the nonpayment could result in the arrest or imprisonment of the consumer
or the seizure of their property or garnishment of their wages unless such
action is lawful and the debt collector intends on taking that action.
Debt collectors are not allowed to communicate
to any person credit information which is known to be untrue or in dispute.
They also cannot falsely issue you documentation representing itself as coming
from the courts.
They also are prohibited from using any false
representation or deceptive means to collect a debt. They must identify
themselves to the consumer as a debt collector and that the nature of the call
is for that purpose.
Debt collectors are NOT directly affiliated with
the credit reporting agencies, and they cannot claim that they are per the
FDCPA.
They cannot accept post-dated checks of more
than 5 days, or attempt to collect more than what is owed due to the original
contract.
They must also send a statement to each consumer
within 5 days of contacting the consumer. This letter must contain many things
including the amount of the debt, creditor’s name, and many disclosures
specific to FTC language.
Any violations within this act can be costly to
the debt collector, especially in the civil and class action aspects.
About the Author
Stephanie Lawrence is currently the CEO of
Precision Credit Restoration.
At Precision Credit Restoration, she specializes
in helping individuals improve their business credit scores and then leverage
those scores to access the dream financial goals.
Stephanie Lawrence is also the mastermind behind
the book: The Credit Repair Blueprint: The Secrets Behind Your Credit Scores
And How To Beat The Credit Bureaus At Their Own Game. Her mission is to guide
you from financial distress to financial success one household at a time.
For more information on credit scoring or
business credit, visit www.precisioncreditrestoration.com.
