The FDCPA is an Act that Congress passed in response to a growing number of abusive collection practices that creditors used to collect consumer debts. The act provides guidelines that creditors must follow when trying to collect debts from consumers. Before mentioning the restrictions that are imposed upon debt collectors, it is important to distinguish whom the Act applies to. The Act applied to debt collectors: any person who regularly collects debts that are owed to others. This also applies to attorney collectors. However, in-house collections are not covered. So if the collection department from your favorite store is contacting you regarding your credit card with them, they are not covered by the FDCPA. (They are governed by the Florida Consumer Collection Practices Act.) However, if that same store used an outside collection agency, that agency is governed by the FDCPA.
Some restrictions that the FDCPA puts on debt collectors are:
1. Debt collectors cannot contact a third party who does not owe the debt, such as your employer, relative, or friend.
2. Debt collectors cannot threaten to turn over your account to an attorney, garnish your wages, or repossess your property UNLESS they have an actual intention of doing so.
3. Debt collectors must call between 8am and 9pm, unless you give them permission to do otherwise.
4. Debt collectors cannot use obscenities, insults, or racial slurs.
5. Debt collectors cannot threaten to arrest you if you do not pay the debt.
These are just some of the major rules of the FDCPA, there are many more. If you feel that a creditor has violated this law when trying to collect from you, contact a Jacksonville bankruptcy lawyer today for a consultation.
