The definition of debt collection harassment is to intimidate, abuse, coerce, bully or browbeat consumers into paying off debt. This happens most often over the phone, but harassment could come in the form of emails, texts, direct mail or talking to friends or neighbors about your debt.
No harassment
The Fair Debt Collection Practices Act (FDCPA) says debt collectors can't harass, oppress, or abuse you or anyone else they contact.
Even if you do, debt collectors aren't allowed to threaten, harass, or publicly shame you. You can order them to stop contacting you.
Reach out to the company the collector says is the original creditor. They might help you figure out if the debt is legitimate – and if this collector has the right to collect the debt. Also, get your free, annual credit report online or at 877-322-8228 and see if the debt shows up there. Dispute the debt in writing.
The FDCPA prohibits debt collectors from calling you repeatedly, using profane language, making threats, or otherwise harassing you. If a debt collector is constantly calling you and causing you stress, sending a cease and desist letter can stop the collector from harassing you.
Right to know the debt collector or debt collection agency
Under the FDCPA, debt collectors are required to identify themselves when they attempt to collect a debt as well as note that any information you give them will be used in an attempt to collect the debt.
When will a debt collector sue? Typically, debt collectors will only pursue legal action when the amount owed is in excess of $5,000, but they can sue for less.
If you continue to ignore communicating with the debt collector, they will likely file a collections lawsuit against you in court. ... Once a default judgment is entered, the debt collector can garnish your wages, seize personal property, and have money taken out of your bank account.
Yes, you may be able to sue a debt collector or a debt collection agency if it engages in abusive, deceptive, or unfair behavior. ... The bottom line is that debt collection agencies have invested in your debt. They must aggressively pursue collection to make money.
It is important to note that not every phone call will be considered to be telephone harassment under the law. However, one phone call alone may constitute telephone harassment, depending on the circumstances and particulars of the phone call.
Debt collection agencies can contact family members or your place of work, but they have to be careful about what they ask about. ... But debt collectors cannot ask your friends or family members about other subjects. In fact, bill collectors can't even mention your debt or how much you owe.
You cannot be arrested or go to jail simply for being past-due on credit card debt or student loan debt, for instance. If you've failed to pay taxes or child support, however, you may have reason to be concerned.
If you have been served, make a note of the date, time and circumstances of the service. Sometimes the process server simply leaves the documents at the front door or in the mail box. If so, you were not properly served and the 30-day deadline to respond has not started.
The phone call from a debt collector never comes at a good time—but the best response is to confront the state of these affairs head-on. You may want to hide or ignore the situation and hope it goes away–but that can make things worse. Depending on your personal situation, there may be different steps to take.
If your misstep happened because of unfortunate circumstances like a personal emergency or a technical error, try writing a goodwill letter to ask the creditor to consider removing it. The creditor or collection agency may ask the credit bureaus to remove the negative mark.
Normally, collections are disputed because the debtor believes they are incorrect for some reason. For example, if you review a copy of your credit report and you see a collection account that you believe belongs to another person, has an incorrect balance or is greater than seven years old, you can file a dispute.
Federal law says that after receiving written notice of a debt, consumers have a 30-day window to respond with a debt dispute letter.
On the other hand, paying an outstanding loan to a debt collection agency can hurt your credit score. ... Any action on your credit report can negatively impact your credit score - even paying back loans. If you have an outstanding loan that's a year or two old, it's better for your credit report to avoid paying it.
In most cases, the statute of limitations for a debt will have passed after 10 years. This means a debt collector may still attempt to pursue it (and you technically do still owe it), but they can't typically take legal action against you.