Debt Collectors In Your DMs

Debt collectors are notorious for harassment and intimidation when attempting to collect a debt. As a result, many consumers are often faced with harsh language and threats as collectors push every line to collect their money. Since the 1970s, there have been strict rules in place to govern debt collectors from crossing lines like making threats, contacting consumers at work, and persistent after-hours calls to collect on a debt. These rules have attempted to limit abusive debt collection practices and regulate the industry. However, new debt collection rules changed this week that could put consumers at the greatest risk of harassment and collection scams to date.

Originally, the rules prevented debt collectors from practices such as:

• Using threatening or abusive language
• Making threats of legal action
• Contacting consumers through email or social media
• Contacting consumers at work
• Contacting consumers all hours of the day
• Making misleading or false claims to intimidate
• And many more…

This week the Consumer Financial Protection Bureau approved changes to the rules to allow debt collectors  to email, text, and contact consumers through direct message on social media. Debt collectors may contact you on social media, but are required to identify themselves and debt collectors when attempting to join your friend network. They must also provide consumers an option to opt out of messages, and they may not post publicly on a consumer’s page.  However, given the dishonest nature of debt collection practices in the past few debt collectors adhere strictly to the guidelines.

These updates to the Fair Debt Collection Practices Act are intended to bring the debt collection system into the new age of technology and communications; but, many people disagree with the changes. Consumer advocates said these changes stand to put consumers at a greater risk of harm by increasing the chances of scams and illegal collection schemes. Further, consumers who do not have consistent access to internet or social media may miss vital information about their debts and risk falling farther behind.

Source: https://www.npr.org/2021/12/02/1060597759/debt-collectors-can-now-text-email-and-dm-you-on-social-media