Debt settlement and credit negotiations are two ways debtors seek debt resolution, but neither of these ways protects them from harassing debt collectors. When a bankruptcy isn’t right for a particular debtor, what options do they have to be free from nagging phone calls and endless text or email messages?
Taking Back Control
Until now, debtors have had only one small outlet for protecting themselves against harassing debt collections: the Federal Trade Commission. While the FTC works diligently to educate consumers on their rights, field complaints against creditors and industry violations, there hasn’t been much legal recourse for debtors. However, after one consumer pursued one debt collector in a major court battle, consumers may find themselves with more legal avenues.
The US Supreme Court recently ruled that debt collection firms, along with several other entities, can be sued in both state and federal courts for violating certain rules. Violations of The Telephone Consumer Protection Act or the Fair Debt Collection Practices Act are two of the big areas of focus among consumers in recent years. Now that lawsuits will be allowed in state and federal court, the FTC may find that their investigations will serve a higher purpose.