If you are considering filing for bankruptcy, you have more than likely encountered some sort of correspondence from debt collection agencies. Some of these communications may have been relatively neutral in tone, while others may have been overtly hostile, even going so far as to threaten legal action or repossession.

In these situations, it is extremely important for you to know that you have rights. You need not be at the mercy of unscrupulous debt collectors.

In fact, the Fair Debt Collection Practices Act (FDCPA) strictly prohibits creditor harassment. This means that debt collectors cannot use deceptive, abusive or unfair practices to collect debts owed.

What Types of Debts Are Covered by the FDCPA?

The FDCPA covers family, personal and household debts. This includes credit cards, mortgages, medical bills and car loans.

Please note, the FDCPA does not cover business debt.

 

Who is a Debt Collector?

The FDCPA defines a debt collector as someone who regularly collects debts owed. This definition includes attorneys that regularly collect debts, as well as companies that purchase outstanding debts and later attempt to settle them at a reduced rate.

When Can a Debt Collector Contact Me?

The FDCPA forbids debt collectors from contacting you outside of regular work hours (i.e., very early in the morning or very late in the evening). Furthermore, debt collectors cannot call you at work once they are told either verbally or in writing that such calls are not permitted by your employer.

A debt collector may only discuss your debt with you, your spouse or your attorney. (If you are represented by an attorney, the debt collector must always speak directly with the attorney).

The only time a debt collector may contact a third party is for the sole purpose of learning your work location, address and/or phone number.

Future posts will explain how the FDCPA protects you from creditor harassment.

Don't be intimidated by threats of legal action or repossession ...

Related Resources:
  
• Debt Collection FAQs: A Guide for Consumers (Federal Trade Commission)