Posted on June 5, 2014 by Andrew Schlegel. Of course, the law does not erase any legitimate debt you owe. When debt collectors can't get in contact with you, they may try to reach out to your friends and relatives to get your contact information. The FDCPA covers most personal, family, and household debts, such as personal credit card accounts, car loans, medical bills, and mortgages. The FDCPA prevents debt collectors from talking to third parties about your debt, calling you at work, and engaging in other tactics designed to harass, abuse, or mislead you into paying a debt. Do not call residences before 8 a.m. or after 9 p.m., according to the recipient’s time zone. If adopted, these rules will be implemented in January 2013. The Fair Debt Collection Practices Act only requires third-party debt collectors to read you your mini Miranda rights. TCPA Rules for Contacting Customers. Keep copies of everything you send or receive. The Fair Debt Collection Practices Act (FDCPA) is the federal law that governs debt collection for personal, household, and family debts like your mortgage and car loan, other personal loans, your credit card debts, past-due utility bills, past-due student loans, medical and insurance debts, condo fees, unpaid legal judgments against you, and bounced checks. Do you cringe when the phone rings or the mail arrives? Please note that the format of the text differs in minor ways from the U.S. Code and West’s U.S. Code Annotated. An organization that specializes in debt collection is known as a collection agency or debt collector. Second, the collector may let you know that the collector or the creditor intends to take a specific action as a result of your ending the conversation, such as filing a lawsuit, but only if it actually intends to do so. You can be awarded any damages you can prove resulted from the illegal collection practices, like lost wages and medical bills. Auto loans, home loans, medical bills, and credit card accounts are all considered personal debts. A collector may contact you at a reasonable time, such as after 8 a.m. or before 9 at night. Debt Collectors Rarely Make House Calls, But it Can Happen, How to Stop Those Annoying Calls From Debt Collectors, Debt With Expired Statute of Limitations: Sample Letter to Collectors, Mini Miranda Fair Debt Collection Practices Act Protects Your Rights, Aggressive Debt Collectors Fair Debt Collections Practices Act, How to Report Debt Collectors Who Go Too Far, Don't Think You Owe? Also, if you lose your suit, you may owe more in fees and costs. The Federal Fair Credit Reporting Act is the main law for consumers and companies as it relates to the credit reporting system we have here in the United States. If you win, you can win big. That’s the law. Debt collectors are prohibited from using any form of harassment or abuse while attempting to collect. There are several things that a debt collector cannot do when they're collecting a debt. Be unfair: Collectors may not engage in unfair practices. They may not threaten violence or harm, publish your name as someone who refuses to pay your debts, use obscene or profane language, or repeatedly call to annoy you. The fee shifting provision of the FDCPA is a very powerful weapon that makes debt collectors think twice about fighting too hard on claims that we bring (they also know that we only bring good, solid claims). FDCPA Basic Definitions§ 1692 a(3) Definition of a Consumer as any natural person obligated on or allegedly obligated on a debt§ 1692 a(5) Definition of a Debt as an obligation for money, goods, insurance, or services for primarily personal, family, or … Affecting collections businesses, the Fair Debt Collection Practices Act was implemented in 2010. The Fair Debt Collection Practices Act (FDCPA), Pub. Collection agencies and their collectors cannot publish any kind of listing of consumers that have not paid a debt, but they can report accurate debts to a credit reporting agency as allowed by law. Since it is a federal law, it is applicable in all 50 states. The first two public resources should be able to stop the abusive or unfair behavior with a phone call or letter. The Fair Debt Collection Practices Act (FDCPA), Pub.L.95-109; 91 Stat. Knowing the law can help you protect your rights. The law also dictates how the debt collector must act when communicating with a person than you. Is debt collection an issue in your business? Read the Santander Case Study, see how they leverage the CallMiner Eureka platform to stay compliant while maximizing revenue The auto finance industry is booming, so it’s no surprise that auto finance debt collection is big business. 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