How can you, as a consumer, protect yourself from debt collectors using unfair, deceptive, or abusive practices to collect consumer debts? This is part3 of our 3 part series on debt collection practices. Today we discuss the rules and laws in place for debt collection actions. 

In an era where accessibility is everything and various forms of communication have now emerged, it’s easy to see how consumers can be more susceptible to abusive debt collectors.

Fortunately, under the Fair Debt Collection Practices Act (FDCPA), debt collector protocols are set out on what they can and cannot do when trying to collect a debt. Moreover, the FDCPA gives rights to debtors who have been treated wrongly by debt collectors.

2020 Rule Promulgations

 In 2020, the Consumer Financial Protection Bureau issued two new final rules. These rules became effective on November 30, 2021, and include the following additional protections for consumers:

• A consumer can use to opt-out of additional communications and attempts to communicate from a debt collector who communicates electronically. For example, replying “Reply STOP to stop texts to this telephone number”
• A debt collector must not post a message regarding the collection of a debt on the public part of a person’s social media page. However, if a debt collector chooses to send a private social media message requesting to be added as one of the consumer’s contacts, a debt collector must disclose his or her identity as a debt collector.
• A debt collector is prohibited from bringing or threatening to bring a legal action against a consumer to collect a time-barred debt.
• Before a debt collector furnishes information to a credit reporting agency, the debt collector must do one of the following:

○ Speak with the consumer in person or by telephone

○ Mail the consumer a letter or a message by electronic communication and wait a reasonable period of time to receive a notice of undeliverability

What constitutes appropriate behavior from a debt collector?

A debt collector is allowed to contact you in person, by mail, or by other ways. They are also allowed to contact you at your job, but they cannot notify your employer about your debt. Unless otherwise noted, a debt collector is can contact you between the hours of 8:00 AM and 9:00 PM.

After contacting you, the debt collector is supposed to give you a written confirmation of the amount of debt you owe, the name of the person or company you owe the money to, a statement that the debt will be implied that it is correct unless you dispute, and information on what you should do if you believe you do not owe the money.

Finally, what can you do when the debt collector breaks the law?

You can sue a debt collector who violates the FDCPA and if the court finds that the debt collector broke the law, you can receive compensation. Under the FDCPA, you have one year from the date when the debt collector broke the law to file a case.

Here are links to the earlier posts in this series: What Constitutes Debt and a Debt Collector?  and Inappropriate Behavior From a Debt Collector. If you have a debt collector seeking collections action against you, contact Johnston Tomei Lenczycki & Goldberg LLC for a complimentary consultation. We will review your case for fair debt collecting practices and offer guidance in defending your case. Call us today at (847) 549-0600 or email us at info@lawjtlg.com to schedule a free consultation.