Debt Collection Rights: Stop Harassment and Know Your Protections

Debt collectors have extensive regulations governing what they can and cannot do. The Federal Trade Commission (FTC) enforces these rules and provides guidance for consumers. Many collectors violate these rules daily, subjecting themselves to liability. Understanding your rights under the Fair Debt Collection Practices Act (FDCPA) empowers you to fight back against harassment and potentially recover damages.

Your Rights Under the FDCPA

What Collectors Cannot Do

• Call before 8am or after 9pm
• Call you at work if you tell them not to
• Use obscene or abusive language
• Threaten violence or harm
• Threaten arrest or jail
• Lie about the debt amount
• Claim to be attorneys when they're not
• Threaten actions they can't legally take

What Collectors Must Do

• Identify themselves as debt collectors
• Send written notice within 5 days
• Provide debt validation if requested
• Stop contacting you if you request in writing
• Verify the debt before continuing collection

Who FDCPA Covers

• Third-party collection agencies
• Attorneys collecting on behalf of others
• Companies that buy debts
• NOT original creditors (usually)

Stopping Collection Calls

Written Cease Communication

• Send letter requesting no more contact
• Use certified mail with return receipt
• Collector must stop (with exceptions)
• Keep copy of letter

What They Can Still Do

• Send one final notice
• Notify you of specific actions (lawsuit)
• Take legal action against you
• Report to credit bureaus

Sample Cease Letter Language

• Your name and address
• Account number if known
• "I request that you cease all communication with me"
• "This letter is not an acknowledgment of the debt"
• Date and signature

Disputing the Debt

Debt Validation Rights

• Request within 30 days of first contact
• Collector must stop until verified
• Must provide proof of debt
• Send request in writing

What to Request

• Name of original creditor
• Amount of debt with itemization
• Proof you owe the debt
• Copy of contract or agreement
• Documentation of debt chain

Common Issues

• Wrong person (identity theft, similar name)
• Debt already paid
• Amount incorrect
• Debt too old (past statute of limitations)
• Debt discharged in bankruptcy

Common FDCPA Violations

Communication Violations

• Calling after cease request
• Calling at prohibited times
• Disclosing debt to third parties
• Calling workplace after told not to
• Excessive call frequency

Harassment

• Threats of violence
• Obscene language
• Repeated calls to annoy
• Publishing debtor lists

False or Misleading Practices

• Claiming to be attorneys
• Threatening arrest
• Misrepresenting amount owed
• Fake court documents
• Threatening seizure of exempt property

Unfair Practices

• Collecting unauthorized fees
• Depositing post-dated checks early
• Taking property without legal right
• Misapplying payments

Taking Action Against Collectors

Document Everything

• Keep log of all calls (date, time, content)
• Save all voicemails
• Keep copies of all letters
• Note names of all collectors
• Record calls if legal in your state

File Complaints

• CFPB: consumerfinance.gov/complaint
• FTC: ftc.gov/complaint
• State AG: Consumer protection division
• State licensing board: For bonded collectors

Sue for Violations

• Up to $1,000 statutory damages
• Actual damages (stress, lost wages)
• Attorney fees and costs
• Many attorneys take these on contingency
• Can file in small claims or regular court

Credit Reporting Issues

Your Rights

• Collectors must report accurately
• Disputed debts must be marked as such
• Can dispute directly with credit bureaus
• Collector must investigate disputes

Disputing Credit Reports

1. Get reports from all three bureaus
2. Identify inaccurate items
3. Submit written dispute
4. Include supporting documentation
5. Follow up on results

Negotiating Debt

Settlement Options

• Lump sum for less than full amount
• Payment plan
• Pay-for-delete arrangement
• Hardship programs

Before Agreeing to Anything

• Get agreement in writing FIRST
• Verify debt is yours
• Check statute of limitations
• Understand tax implications
• Know credit reporting impact

Payment Cautions

• Partial payment can restart statute of limitations
• Get deletion promise in writing before paying
• Don't give direct bank account access
• Use money order or cashier's check