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What Is The Fair Debt Collection Practices Act?

If you’re struggling with overwhelming debt, you may have debt collectors tirelessly contacting you for payment. You don’t have to feel helpless when they call; you do have rights under The Fair Debt Collection Practices Act. Here are some ways it protects you, and what you can do to get back on a path of financial freedom.

Fair Debt Collection Regulations Were Created For Your Protection

It may seem like you don’t have anyone looking out for you when it comes to debt collectors harassing you for payments. That’s not the case, though. You do have rights under The Fair Debt Collection Practices Act[1]. This law was designed to empower you and protect you as you work to eliminate your debt. It’s a federal law that regulates how creditors are allowed to behave when it comes to collecting debt. It also gives you protection against unethical and predatory practices creditors may employ when they’re trying to collect money from you. You don’t have to feel helpless anymore when it comes to debt collectors.

What Does This Act Mean For You?

The Fair Debt Collection Practices Act has specific wording that details allowable interactions between debt collectors and you. There are several aspects of the Act that guide how debt collectors handle collecting your debt, and they’re designed to protect you.

Creditors and debt collectors cannot abuse you or harass you.

Debt collectors cannot harass you or use abusive language in their efforts to collect their debt. They can’t threaten you, nor can they use profane and offensive language. They can’t repeatedly call you specifically to harass you, and they MUST identify themselves as debt collectors. They can’t list your debt for sale, and they can’t try to embarrass you for debt collection purposes.

Creditors and debt collectors cannot be deceptive.

Under this Act, debt collectors are prohibited from lying or using deceptive or misleading information to collect your debt. They have the option not to answer any of your questions, but if they DO respond, they must be truthful. They cannot exacerbate the amount of money you owe, nor can they lie about the statute of limitations your state may have regarding the debt. They cannot threaten you with legal ramifications if you don’t pay them, and they cannot act as a legal or other authoritative organization to intimidate you.

They can only communicate with you on reasonable terms you control.

The Fair Debt Collection Practices Act preserves your rights to communication with debt collectors. They cannot contact you before 8 am or after 9 pm, and if you ask them to no longer contact you at work, they must comply. They can’t talk to third parties like your job or family about your debt. If you ask them to stop all contact? They must comply. To prevent all contact from debt collectors under the Fair Debt Collection Practices Act, you have to request, in writing, that they stop. You can find sample letters at the Consumer Financial Protection Bureau Website.[2]

Creditors and debt collectors cannot behave in unfair or illegal practices.

They cannot ask you for postdated checks. They cannot threaten to cash a postdated check you’ve given, but it’s strongly advised you don’t provide any. They cannot take or threaten to take any property if not contractually allowed. They may attempt to collect your debt in person, but they still cannot be intimidating or threaten you.

You can always find more information about the Fair Debt Collection Practices Act and compliance regulations with the Federal Reserve’s website.[3]

UmbrellaDEBT Relief Offers Debt Relief Options That Let You Breathe

While it’s important to know your rights under The Fair Debt Collection Practices Act, the bottom line is that you want to eliminate your debt. You want to get out from under the weight of your debt burden, and we can help.

At UmbrellaDEBT Relief, we can help you understand the different choices you have for getting out of debt once and for all. Our compassionate and caring staff has worked with thousands of people just like you and helped them find the best debt relief options for their financial situations. Our professionals are here to help you get started on your financial freedom without the worry about debt collection and creditors harassing you. If you’re ready to get out of debt and live a debt-free life, contact us today.

Sources:

[1] https://www.ftc.gov/enforcement/rules/rulemaking-regulatory-reform-proceedings/fair-debt-collection-practices-act-text

[2] https://www.consumerfinance.gov/ask-cfpb/what-should-i-do-when-a-debt-collector-contacts-me-en-1695/

[3] https://www.federalreserve.gov/boarddocs/supmanual/cch/fairdebt.pdf

Umbrella Debt Relief 1-844-389-6745
200 W. Palmetto Park Road Suite 200 Boca Raton FL 33432