Quick Answer: Debt collector complaints are governed by the Fair Debt Collection Practices Act, which prohibits harassment, calls before 8 a.m. or after 9 p.m., and deceptive practices. Consumers can sue for violations and recover damages plus attorney fees, though the underlying debt remains valid.
Receiving a call from a debt collector can be stressful. Your first instinct may be to hide or ignore the situation and hope it goes away. But that can make things worse. We have resources to help you respond to debt collectors.
1. First, know your rights
There are laws that restrict what debt collection can say or do. The Fair Debt Collection Practices Act (FDCPA) prohibits debt collection companies from using abusive, unfair, or deceptive practices to collect debts from you. Under this law, a debt collector cannot:
- Call repeatedly to harass you
- Abuse or mistreat you
- Contact you at a time or place they know or should know is inconvenient (including before 8 a.m. or after 9 p.m. unless they know otherwise)
- Use obscene language
- Make a false or misleading statement about what you owe
- Publish your name for not paying the debt
- Lie to you
- Threaten to have you arrested for not paying the debt
You should know that even if a debt collector violates the law, the debt does not go away. You do have the right to sue, and if you win, the judge can require the debt collector to pay you damages. The court can also order the debt collector to pay your attorney fees if it is determined that they did violate the law.
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YOU HAVE RIGHTS
Most debt collectors follow the law when contacting you, but some do not. If you have a problem with debt collection, you can take action. Submit a complaint
Make sure the debt is yours
When a debt collector calls, ask questions to find out if the debt and the debt collector are legit. You should find out:
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- Who you’re talking to (get the person’s name)
- The name of the debt collection company they work for
- The company’s address and phone number
- The name of the original creditor
- The amount owed
- How you can dispute the debt or ensure that the debt is yours
Take notes and document everything. We have sample letters and other resources that can help you request additional information from a debt collector.
Act quickly
Depending on your situation, there may be several different actions that you can take when you are contacted about a debt.
If the debt is several years old, be sure to find out what your state’s statute of limitations is for a debt collector filing a lawsuit to collect the debt from you before making a payment. You may want to consult an attorney or the applicable law in your state.
If you’re not sure that the debt is yours, write the debt collector and dispute the debt or ask for more information.
If you find out that the debt does not belong to you, don’t delay! Write the debt collector and tell them that the debt is not yours and that you do not want to be contacted about the debt again in the future
If the debt is yours, don’t worry. Decide on the total amount you are willing to pay to settle the entire debt and negotiate with the debt collector for the rest to be forgiven. This could be a lump sum or a payment plan. Be honest with yourself about how much you can pay each month.
Remember, responding to a debt collector doesn’t have to be scary.
Know Your Rights: If a debt collector is contacting you, you have legal protections. See the complete list of FDCPA violations collectors commit most often. Use the free Debt Validation Letter Generator to demand proof of the debt, or check this collector’s complaint history with the Scam-O-Meter.
Dealing With Debt? Before you pay a collector, understand all your debt relief options — including ones the collector won’t tell you about. If the debt feels unmanageable, take the 2-minute bankruptcy quiz to see if the math favors a fresh start. Federal Reserve research shows filers recover faster than those who don’t file.
