The Federal Debt Collection Practices Act (FDCPA) enforced by the Federal Trade Commission (FTC) regulates debt collection practices
. The guidelines laid down by the FDCPA prohibit any kind of harassment of consumers by the debt collectors. Knowing the FDCPA guidelines helps you understand your rights as a consumer. You may sue the collector for any violations in the FDCPA guidelines.
Your rights include:
You have a right not to take a call from a debt collector if you are not in favor of it
Should you take the call, you have a right to inform him not to call
If he calls repeatedly you may sue him
You may not be harassed for a payment
You have a right not to be subjected to abusive language
The caller needs to give you his identity
He should give you the exact amount of debt owed by you
You have a right not to be called at your work place
The debt collector should not reveal information about you to any third party
All the above need to be fulfilled by the debt collector. If he does not, you have a right to dispute the notice of the debt, right to contest the debt and right to get a verification of the debt. You have a right to dispute over the phone but sending a cease and desist letter through certified mail, with return receipt requested will assure you of proof of his receipt. Once the cease and desist letter reaches him, he has to stop all the debt collection activity till the debt is verified.
Debt collectors resort to illegal and unfair ways to squeeze money from consumers. If you lack knowledge of your protection rights laid by the FDCPA you will become a victim to such tactics. The FDCPA laws make sure that there is justice in debt collection.