Debt Collection: Know Your Rights
Sometimes even the best laid plans go awry and we find ourselves in situations of outstanding debt. As expected, with this come the calls from debt collectors reminding you of your outstanding balance. This can be not only inconvenient but downright embarrassing. What it important to remember is that even if you owe money, you do still have rights when it comes to debt collection. Let’s take a look at how the system works.
A collector may contact you in person, by mail, telephone, email, or fax. However, a debt collector may not disturb you at inconvenient times or places (such as before 8 am or after 9 pm), unless you agree to such arrangements. A debt collector also may not contact you at work once you make them aware that your employer disapproves.
You can stop a debt collector from contacting you by writing a letter to the collection agency requesting them to stop. Once the agency receives your letter, they may not contact you again except to confirm that there will be no further contact or to notify you that the debt collector or creditor intends to take some specific action.
It is important to realize that sending such a letter, under the auspices of the Fair Debt Collection Practices Act, to a collector does not make the debt go away. You could still be sued by the debt collector or your original creditor.
If you have an attorney, the debt collector must contact the attorney, rather than you directly.
A collector may not contact you if, within 30 days after you receive the written notice, you send the collection agency a letter stating you do not owe money. However, a collector can renew collection activities, as permitted under Fair Debt Collection, if you are sent proof of the debt.
Remember that even collection agencies have to follow the letter of the law. Any of the following would be considered harassment:
• Threats of violence or harm.
• Publishing a list of consumers who refuse to pay their debts (except to a credit bureau).
• Using obscene or profane language.
• Repeatedly using the telephone (such as calling back continually)
As always, the most effective way to get rid of the collector is make good on your balance.
