There are Rules for Bill Collectors

Posted on February 15, 2010
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The Fair Debt Collection Practices Act (FDCPA) is a section of the US Consumer Credit Protection Act. The FDCPA limits how bill collectors conduct business and defines consumers’ rights in dealing with bill collectors. It also assigns penalties and remedies for when bill collectors violate these rights.

Bill collectors must begin their contact with a consumer in a particular way. They must identify themselves as bill collectors and say that they will use any information they obtain in collecting the debt. Debtors must also be informed that they can dispute the debt.

There are limits on how bill collectors may communicate with consumers. They may not misrepresent the amount of the debt or use deception to collect it. In particular, they may not impersonate an attorney or police officer. They may not threaten legal action that they don’t intend to do, or are not allowed to do.

A consumer who becomes the target of a bill collector may send a written request to cease communication. This request is known as a “drop dead letter.” Upon receiving this request, a bill collector is required to stop communicating with the consumer, except through litigation. Debt collectors may also not send debt collection notices on post cards, or mark envelopes as a debt collection notice.

In bad cases of harassment, attorneys get involved in debt collection issues. If the case does go to court, it must be either where the consumer signed the contract, or where he or she lives.

If a person has a good case under the FDCPA, the person being harassed can threaten to sue. In some cases that is enough to change the behavior of the debt collection. Such action may also lead to the debt collection agency writing off the entire debt in order not to be sued and possibly lose their license.

Learn more about the debt collection harassment and how the FDCPA protects you from debt harassment. Visit FairDebtHelpers.com for a free evaluation of your case by an experienced fair debt attorney.

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