The Fair Debt Collection Practices Act and Bankruptcy

In 1978 Congress passed the Fair Debt Collections Practices Act (FDCPA) to regulate the debt collection industry. The act was intended to eliminate abusive practices against consumers when attempting to collect debts. The FDCPA does not erase your debt as bankruptcy can, but it does set strict limits on what creditors or those on their behalf may do or say in their collections attempts.

Significant Points of the FDCPA

• You must be informed that the debt and that is is legitimately yours
• Creditors and collectors must treat you respectfully and fairly
• You can limit the number of times and ways that you can be contacted about your debt.
• The creditors and collectors must not use abusive, harassment, lies, or any threatening means to collect on the debt.
• You have the right to seek damages against a creditor or collector who violates your rights under the FDCPA law.

If a creditor calls you at work, you have the right to ask them to stop. You may have the right for a formal complaint and maybe even a claim for damages if the creditor uses threats like they will contact your boss about your debt and your wages will be garnished.

Being Respectful

Most debt collectors act professionally and are trying to complete a difficult job. If you speak to them respectfully, they will more than likely do the same.

If you are overwhelmed in your debt and the collectors are calling, and you don’t have an answer for them. Contact a Dallas bankruptcy attorney to discuss what options you may have to eliminate qualifying debt and get the calls to stop.