How Do You Deal With Deceptive Debt Collectors

We are all guilty of having an unpaid debt at some point in our lives. We have all had a debt collector call us up asking for payment. For most of us, these were simple calls; no harm no foul. But unfortunately, there are some debt collectors out there who do not always play by the rules.

And, there are rules.

So, how do you know if you are being harassed for debt repayment, and what can you do about it? Keep reading to find out what can be done if debt collectors are not following the rules set down for them by the FDCPA.

Debt Collection

There are federal laws in place that prevent debt collectors from falsifying information and harassing you. The Fair Debt Collection Practices Act (FDCPA) has several rules in place to make sure the collection of your debt is as fair as possible.

If you owe money, debt collectors are entitled to contact you for it. What they are not allowed to do though is any of the following:

• Imply that you have committed a crime by not paying your debt
• Claim that you will be arrested if you do not pay
• Tell you that they will take any income or property should you not pay
• Claim documents sent to you are legal if they are no
• Say they are attorneys, government representatives, or that they work for a credit reporting company

You may come across debt collectors who think that they can threaten you into making payments. This is also not allowed, along with any of the below claims or behavior:

• Falsifying the amount that you owe
• Threatening action that cannot be legally taken, or they have no intention of taking
• Written communication that looks like or falsely represents official documentation
• Using any company name that is not the true name of the debt collection company

Harassment by Debt Collectors

Some deceptive debt collectors will try contacting you multiple times a day through various platforms. But, how do you know when this has moved from normal polite reminders to harassment?

Calling more than once a day, calling you at inconvenient times or places, or contacting you after you have asked them not to are all signs that the debt collector is no longer obeying the rules. So, what is your next step?

How to Deal With Debt Collectors

Not all debt collectors are out to deceive you. Many of them are just doing their jobs and doing them well. There are some simple and easy ways to go about dealing with debt collectors and making the process of repaying debt less stressful all around. It is also never a bad thing to be aware of your rights as a consumer.

Check Credit Reports

If your debt is recent, it may take a while for the creditor to alert the collection agency. You can contact the creditor directly and make a quick payment to them, and you may never even see a debt collector.

Some debts do not even make it onto credit reports, such as medical bills. Others, unfortunately, like credit card bills will remain there until they age out.

Statute of Limitations

There is only so long that a creditor can try and act against you for unpaid debt. So, there is no need to worry about old debt coming back to haunt you. While this has nothing to do with the length of time an unpaid debt can remain on your credit record, it does mean that you are free from any legal action against you.

Valid Debt

There is a process that needs to get followed for debt to be valid. Within five days of alerting you to the fact that you owe them money, the creditor has to send a written letter to you.

This letter must contain all the information about the amount owed, the creditor’s name, and how you can proceed.

If you do not agree with this or the debt has already been settled, you can request evidence in the form of a “debt validation letter”. Within 30 days of receiving this proof, the creditor must again send their letter. If this does not happen the debt should not be on your record. If it is, you can argue this with the collection agency.

Communicate Clearly

Never lose your cool when speaking with collection agencies. No matter how frustrated you are, stay calm and communicate your needs and intentions with them.

If you can pay, explain to them when the payment will be made, but avoid being pressurized into agreements that you cannot honor. Especially if a debt is old, verbal agreements to pay can start your statute of limitations all over again.

The Process of Protection

There are several organizations that you can approach if you feel that you have come across a debt collector who is breaking the rules. But the first step in the process should be to contact the creditor directly and voice your concerns.

Explain to them how you would prefer to be contacted and get their confirmation that this is the only way this will get done going forward. You can also advise them that you are familiar with the Consumer Protection and Unfair Trading Regulations 2008 and will need to report them should their debt collector continue to behave in an unprofessional manner.

Should nothing change in the attempts to contact you, the next step is to make a complaint to the Citizens Advice consumer helpline, or you can go directly to the Financial Ombudsman Service (FOS). You can also contact the Financial Conduct Authority (FCA) on their helpline. Both will investigate your complaint and take the necessary action.

You can also look into contacting an FDCPA Litigation Lawyer if you think you may need some legal advice.

Know Your Rights

Having an unpaid debt does not make you a criminal, and it does not give debt collectors the right to harass you. If you feel that you are being unfairly treated, follow the correct process to alert the organizations who are there to protect you as a consumer.

If you enjoyed reading this article and found it to be helpful, there are others on our blog that may interest you. Take some time to have a look around and see what else catches your eye.