An Examination of the Fair Debt Collection Practices Act

Few things in the life of a twenty first century American consumer can instill quite as much tension as fighting off the advancements of bill collectors. Between the endlessly ringing phone, the deluge of threatening letters, and the calls made to employers or family members in search of more information, the collection agency tactics can seem almost too much to bear. A few years ago, the United States Congress passed the Fair Debt Collection Practices Act which set clear limits on just what the employees of collection agencies could and could not do in their attempts to recover old funds. Unfortunately, many Americans in need of debt relief still do not fully understand their rights and regularly allow bill collectors to step well over the line. Within this article, we’ll more closely examine the federal legislation to see how the FDCPA can help you.

First and foremost, the Fair Debt Collection Practices Act does allow bill collectors to utilize the telephone when trying to recover a legitimate debt, but there are now strict guidelines restricting such actions. Specifically, the bill collectors must only call between the hours of eight in the morning and nine in the evening of your time zone. Furthermore, they can only call the primary residence of whoever is held to be legally responsible for the debt – meaning, in other words, no employers or friends or family. Also, no matter the circumstance, the bill collector is prohibited from obscenities, insults, defamations, or physical threats. Some borrowers who have suffered undue harassment from a particular collection agency have even gone so far as to record their own calls just to prove that the bill collectors were breaking the law.

If you’ve contracted an attorney or debt relief specialist to help you with your finances, then the bill collector would only be able to talk to the professional about your case. If you have the financial wherewithal to consider such an alternative, there are obvious benefits, especially when dealing with bill collectors well trained to manipulate language and subvert the collection process. Even if you’re forced to work with the bill collectors on your own, however, you should still take note that the FDCPA strictly prohibits collection agencies from out and out pretending to represent attorneys or governmental officials. Similarly, it’s actually against the law for the bill collectors to assert that you’ve committed a crime for refusing to pay back the consumer debts. Also, watch for any letters sent that appear on first glance to be legal documents but have really been generated by the collection agency to provoke fear on the part of the borrower.

In the same way, you’ll want to listen very carefully to the details whenever a collection agent threatens a law suit. In a very small percentage of cases, usually applicable only if your liquid resources or annual salary are so grand that you could easily pay the debt off yourself without thinking twice, the bill collectors may indeed initiate a court action to force a legal judgment. However, in almost every situation, the odds are against them and the cost of attorneys would cost far more than they’d be likely to receive through wage garnishment or asset seizure. More to the point, it is strictly against the statutes laid out in the FDCPA for the bill collectors to threaten a lawsuit if indeed they have no intention of ever going to court. Even if you’re close to settling up your financial burdens, it’s still importance to contact the government authorities about any collection agencies that behave in such a manner so as to protect your fellow citizens from such harassment.

Cole Collins is a freelance writer concentrating in the consumer debt industry.