Who else may a debt collector contact regarding your debt?
If you have an attorney, the collector may only contact your attorney. If you do not have a lawyer, the collector may contact others, but only to learn where you work or live. These people may only be contacted once. The collectors are generally not permitted to tell anyone other than you and your legal counsel that you owe money.
What must the debt collector tell you about the debt?
Within five days of your first contact, the debt collector must contact you in writing confirming:
the amount of the debt;
the name of the creditor; and,
what you must do, if you believe that you do not owe the money.
If you believe that you don't owe the money, can the debt collector continue to contact you?
If, within thirty (30) days after you first hear from them, you send a letter stating that you do not owe the money, the collector may not contact you further. However, if you are sent proof of the debt (i.e., a copy of the bill confirming the amount due), the collector may renew contact.
What practices are prohibited by the Fair Debt Collection Practices Act?
It is unlawful for a third party debt collector to harass, oppress, or abuse anyone, such as:
make threats of violence or harm against you, your property, or your reputation;
publish a list of consumers who refuse to pay their debts (they may report this to a credit bureau);
use obscene or profane language;
repeatedly use the telephone to be annoying;
telephone you without identifying themselves; or
run advertisements announcing that you have failed to pay your debt.
It is unlawful for a third party debt collector to make false statements, such as:
falsely represent that they are attorneys or representatives of the government;
falsely imply that you have committed a crime;
falsely represent that they either operate, or are employed by, a credit reporting agency;
misrepresent the amount of your debt;
misrepresent the involvement of an attorney in the collection of your debt;
state that documents they are sending you are legal forms, if they are not; or,
state that documents they are sending you are not legal forms, if they are.
Debt collectors may not state that:
you will be arrested if you do not pay your debt;
they will seize or sell your property, or garnish or attach your wages, unless the collection agency or creditor intends to do so, and it is legal in your state to do so; or,
they will take certain actions, such as a lawsuit, against you, if they do not intend, or it is not legal, to initiate such actions.
Debt collectors may not:
report false credit information about you to anyone;
send you anything which looks like an official document from a court or government agency, if it is not; or
use a false name.
It is unlawful for a third party debt collector to engage in any unfair practices, such as:
claim you owe more than you do, in order to scare you into paying your debt;
collect any amount greater than your debt, unless allowed by law;
deposit a post–dated check, prior to the date on the check;
make you accept collect calls, or pay for telegrams;
threaten to take, or take, your property, unless permitted by law; or,
contact you by postcard.
What are your remedies if you believe a debt collector has violated the law?
You have the right to sue a collector in a state or federal court within one year from the date you believe the law was violated. If you win, you may recover money for the damages you suffered. Court costs and attorneys fees are also recoverable. A lawsuit may be filed against a debt collector on behalf of a group of people. In this case, they can recover up to the lesser of $500,000, or one percent (1%) of the collector's net worth.
Where can you report a debt collector for an alleged violation?
In addition to the Fair Debt Collection Practices Act, many states have passed laws regulating the activities of debt collectors. In order to determine your rights and remedies, contact the Federal Trade Commission, or Office of the Attorney General in your state.
If you have questions about your rights or remedies under the Fair Debt Collection Practices Act, write a letter to:
Correspondence Branch
Federal Trade Commission
Washington, D.C. 20580
Although the FTC generally cannot become involved in individual disputes, the information you provide may indicate a potential pattern of unlawful conduct requiring action by the Commission.
