Credit Coaching – What Do I Do About Those Debt Collectors

You fell behind on some of your bills, and now as you try to manage this new financial obstacle, the last thing you want to deal with is the debt collectors.

The Fair Debt Collection Practices Act protects consumers and gives them as some protections from debt collectors. The law governs the collection of debts incurred through the use of credit cards, as well as auto loans and medical bills.

There are some rules which debt collectors must abide by as they attempt to collect past due bills:

1. Unless you have already agreed to this, a debt collector is not permitted to call before 9 AM or after 8 PM.

2. A debt collector is not allowed to call you at work.

3. Debt collectors may not harass you with ceaseless calls.

4. Debt collectors may not use profanity or threatening language when trying to collect a debt. They also are barred from threatening you with legal consequences for your failure to pay.

5. Debt collectors may not discuss your debt with anyone but yourself and your attorney. They may contact family, friends and your place of employment, but only to try to find contact information for you.

6. A debt collector may not demand that you pay more money than the amount that you actually owe to the creditor.

7. No dire threats. A debt collector may not threaten to have you arrested if you do not pay your debt. Debt collectors may not threaten to sue you, unless they actually intend to file a lawsuit.

8. The debt collector, within five days of contacting you, is required to give you a written notice of your debt including the amount and the name of the creditor. This notice must also instruct you on how to proceed if you believe the debt to be incorrect.

9. Debt collectors must honor your written request to stop contacting you if this request is made within 30 days of your receipt of their written notice of the debt.

Be sure to tell the debt collector in writing if you believe that the debt they are trying to collect has been reported in error or is otherwise inaccurate. You debts won’t go away just because the debt collectors aren’t calling – the debt collector or the creditor still has the option of suing you to collect what you owe.

10. Any disputed debt must be verified by the debt collector, with a written verification of the debt being provided to you. Until you receive this written verification, the debt collector must cease their attempts to collect – after they provide this to you they may continue attempting to collect the debt.

You can report the debt collector to your state attorney general office or the Federal Trade Commission (1-877-382-4357) if the debt collector breaks any of these rules. Remember that states have their own collection laws as well, and your state attorney general’s office will be able to inform of your state rights.

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