Fair Debt Collection Practice Act
by Kevin Stith
Have you ever been bothered by debt collectors? Well, now you can do something about it aside from slamming the phone down on them. The United States government has passed a law concerning an ethical debt collection process. This is called the Fair Debt Collection Practice Act.
The Act was passed in 2000, and gives authority to the Federal Trade Commission to investigate and handle complaints from consumers regarding violations of the Act. Debt collectors must operate within the bounds of law. Consumers, debt collecting agencies and companies that employ the services of these collection agencies must be aware of the provisions of this Act. The major highlights of this law includes the following restrictions on debt collectors:
The debt collectors must not in any way use physical force or coercion to recover debts. They must avoid contacting their subjects in an unconscionable conduct or take advantage of you when you are vulnerable or disabled. They should not use abusive language, publish a list of debtors for public viewing and should not use the telephone to annoy anyone.
The debt collector may only contact you at responsible hours. They cannot contact you before 8 o'clock in the morning and after 9 o'clock in the evening. They must respect your convenience. You may also ask them not to call you in the office, especially when your employer does not allow this type of phone call. They must also observe the confidentiality of the transaction. No one should know that you owe money. They may not discuss your debt with anyone in your house of office. But if you have a lawyer representing you, the debt collector may discuss your debt with the lawyer.
You may ask a collecting agency to stop contacting you through a written request. The debt collection agency will be obliged to obey your request. However, this does not mean that you can turn your back on your responsibility to pay back your debt. The debt collector or the company you owe money from can take legal action against you.
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