Fair Debt Collection Act

If you owe money to credit card companies, mortgage companies or banks you are legally classified as a debtor. In today's world of credit most everyone owning a home, buying a vehicle or going to college owes money to someone and is making payments. This is all well and good until one falls behind on making payments or discovers there is fraud or an error in a credit account. If this happens one is exposed to the likelihood that the account in arrears will be turned over for collection and a debt collector will come calling. This is rarely a pleasant experience and if fact can cause distress and high anxiety. If you have heard from a debt collector or think you may soon hear from one you should know what your legal rights are under the Fair Debt Collection Act.

If You Are Contacted By a Debt Collector

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The debt collector must mail a letter notification to you no later than five days after the debt collector first contacts you. This notification must detail how much money you owe and to whom. Also, the letter must state exactly what you must do if you do not believe you actually owe the money. If the debt collector receives a letter from you within thirty days after you received the notice in the mail from the debt collector stating that you do not owe the money the debt collector cannot legally contact you again. However, the debt collector can start collection activities all over again if they receive proof that you in fact do owe the debt such as an invoice or bill showing the amount owed.

You Have Rights Prohibiting Harassment

Your personal, family and household debt are covered under the Fair Debt Collection Practices Act. This includes money owed to credit card companies, auto loans, bank lines of credit, and even medical bills that are not covered by insurance. Debt collectors are companies, individuals, or attorneys that professionally collect debt from debtors. They will contact debtors in person, over the phone, though the mail even by fax or email. The right you need to be aware of under this act, first of all, is that debt collectors can contact you only between the hours of 8AM and 9PM unless you have given them permission to contact you during other hours.

Another restriction debt collectors must comply with is the restriction preventing them from calling you at work...again unless you give them permission to do so. Also, if you don't want them to contact you at all you can write a letter to them directing them to stop contacting you. Once the debt collector receives the letter the only option the debt collector has is to write back stating that there will be no further contact or stating what specific action they are going to take such as filing an action in court. The debt collector has the right to investigate your background in order to determine your address, employer and phone number. In getting this information debt collectors can only contact third parties such your employer or your attorney one time so as not to further intrude on your personal privacy.

So, if you are harassed by debt collectors, put a stop to it by knowing and exercising your fair debt collection act rights.

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