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.

Today's post is the second in a series designed to explore creditor harassment and the FDCPA.

(Please see "An Examination of Debt Collection Practices" for more information.)

Does the FDCPA require a debt collector to share any information with me?

Within exactly five days of initial contact, a debt collector is required to send you a validation notice. A validation notice must outline the following:

• How much money you owe
• The name the creditor seeking payment
• How you can challenge the debt

What if I don't owe the creditor any money or I think that there is a mistake regarding the amount of the debt?  

Within one month (30 days) of receiving the validation notice, you will need to send the debt collector a letter asserting that:

• You don't owe the creditor any money
or
• You believe that there is a mistake regarding the amount of the debt and that you require verification

The debt collector must generally cease contact upon receiving your letter. However, if verification of the debt (i.e., a copy of the bill or an invoice) is subsequently sent, they are free to reinitiate contact.

Is a debt collector allowed to call me repeatedly?

Under the FDCPA, a debt collector cannot use oppressive or abusive tactics, or harass you. In fact, they are expressly prohibited from any of the following actions:

• Profanity
• Repeated phone calls
• Circulation of a list of debtors
• Threats of violence or harm

Future posts will continue to 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)