2007 PRESS RELEASES
April 25, 2007
LAW OFFERS PROTECTION FROM HARASSMENT BY DEBT COLLECTORS
Contact: Marion Horsley, 804.225.3820
You went a little overboard when you put the shiny new got-to-have-it electronic wonder on your credit card. Now you have fallen behind on the payments and a debt collector is constantly contacting you at home and at work. Is there any protection from the debt collector’s non-stop hounding?
According to the Virginia Department of Agriculture and Consumer Services’ (VDACS) Office of Consumer Affairs (OCA), if you have personal, family, or household debts, the Fair Debt Collection Practices Act (15 U.S.C. 1601 et seq.) may provide assistance in your dealings with an overzealous and even deceptive, abusive or unfair debt collector. The Act requires fair treatment by debt collectors and specifically prohibits certain debt collection practices. Although the Act cannot remove legitimate debts, it can help make the collection process less distressing for the debtor.
The Act addresses many issues that arise in debt collection, including contact restrictions for the debt collector, prohibited collection practices, and what to do in case of a violation.
Regarding contact restrictions, the Act states that a collector may contact you in person or via phone, fax, mail or telegram but may not contact you at work if told not to, or at times and places that are inconvenient, unless you agree to it. To stop all contact, you have to write a letter to the debt collector telling him not to contact you again. The Act stipulates that, after you have sent the letter, the collector cannot communicate with you further except to say that there will be no additional contact or to inform you that some specific action will be taken.
If you have an attorney, the debt collector must contact the attorney instead of you. If you do not have an attorney, the collector may contact others to determine your address, phone number and place of employment but must not tell anyone besides you and your attorney that you have an overdue debt.
Regarding the details of the debt, the collector must send you a written notice within five days of the initial contact that details the amount of money owed, the name of the creditor and what to do if you don’t think you owe the money. If you write to the collection agency within 30 days of receiving written notice about the debt collection to state that you do not owe the money, the collector may not contact you unless you are sent proof of the debt, such as a copy of the bill.
The Act specifies certain practices that debt collectors cannot use in an effort to collect a debt. They may not use harassment or abuse against you or any third party they contact. For example, they may not annoy you with repeated phone calls, use obscenity, threaten to harm you or publish your name as someone who has an unpaid debt.
Debt collectors are also prohibited from making false or misleading statements such as claiming lawsuits, arrest, garnishment or other actions will take place unless these actions are legal and actually will occur. Debt collectors may not represent themselves as attorneys or government officials. In addition, they may not falsely state the amount of your debt, give incorrect credit information about you to anyone, misrepresent legal or other documents or use a false name.
The Act also prohibits debt collectors from depositing a post-dated check before the stated date, contacting you by postcard, collecting more than you owe unless local law permits an additional charge, and seizing your property or threatening to seize it unless the law allows that action.
Click here to find additional information about the Fair Debt Collection Practices Act online.
If you think a debt collector has violated the law, the VDACS Office of Consumer Affairs may be able to assist you. You can speak to a telephone counselor weekdays from 8:15 a.m. to 5 p.m. via the toll-free Consumer Protection Hotline, in Virginia at 800.552.9963 or in the Richmond area at 786.2042. If you decide to file a complaint with OCA against the debt collector, you can download a complaint form.