Basics of the Fair Debt Collection Practices Act

Basically, the FDCPA says that debt collectors cannot use deceptive and unfair practices when trying to collect a debt. Additionally, debt collectors are not supposed to engage in harassment and intimidating behaviors. This law applies to personal and family debts, as well as car loans, medical bills and credit card (and other charge) accounts. Basically, if you have any sort of debt at all, you are entitled to protection under the Fair Debt Collection Practices Act.

Here are some of the rules that the FDCPA uses to restrict the practices of debt collectors:

• Debt collectors are only allowed to call between 8 a.m. and 9 p.m. When they call outside those hours, they are engaging in harassment. You need your sleep, and it is unethical for debt collectors to make life unduly difficult by calling you at all hours.
• Debt collectors must limit how they contact you at work. Some employers do not want their workers taking personal calls at work. Many employers do not want debt collectors calling the workplace and distressing, worrying and distracting their workers. If you let the debt collectors know that their calls are not welcome at your place of employment, they have to stop trying to contact you there.
• Debt collectors cannot try to intimidate you through harassment. Some debt collectors try to threaten you, or intimidate you into paying quickly. Or making some sort of payment – even if you may not have the money at that time. Under the law, this is unacceptable.
• Debt collectors cannot lie when trying to secure payment. You will not be arrested if you do not pay a debt. Collectors cannot use lies, such as threatening to garnish relatives' wages or charging you with a crime in order to move you to payment.
• Debt collectors must clearly identify themselves. When calling, debt collectors must clearly state who they are, and why they are calling. If you ask for proof that the debt collector has permission to collect on the loan, documentation must be furnished to you.
• Debt collectors must stop calling if you ask them to. Customers have the right to stop the phone calls simply be asking. However, it must be done in writing. Send a letter asking the collectors to stop. Make sure you keep a signed and dated copy for yourself. Debt collectors must stop calling you if you request. However, there are still civil law ways that they can continue to use in order to get you to pay.

What to do if a debt collector violates the FDCPA

There are debt collectors who engage in illegal practices to try and get a debt paid. If you are a victim of someone who is violating the Fair Debt Collection Practices Act, you need to take action. Document each incident by asking for the person's name or ID number. Write down the date and time of the call, and the violation that occurred. If you can, you might consider recording the calls.

After documenting incidents, contact the authorities and file a report. Debt collectors should comply with a criminal investigation.

You have rights and protections from unethical practices by debt collectors. To find out more about your rights, visit the Federal Trade Commission Web site at www.ftc.gov.