A Professional Corporation
The fair debt collection laws broadly prohibit abusive, harassing, deceptive and unfair conduct in connection with the collection of an alleged debt. Some of the more common violations of these laws include:
HARASSMENT: The collector cannot call too early or too late, or call repeatedly.
ABUSIVE STATEMENTS: The collector cannot say, "you are a deadbeat," "you are a disgrace," or make other embarrassing statements. The collector cannot use profanity or abusive language (e.g., racial slurs), shout or become angry.
LYING: The collector cannot lie or mislead the consumer in an attempt to collect. Some common misrepresentations include that the consumer has committed a crime and is going to be arrested or deported; that social services will be contacted and take away the consumer’s children; that the collector is an attorney; that the collector is going to garnish the consumer’s wages without stating that a suit must first be filed and a judgment entered; and that the collector works for the government.
THREATS: The collector cannot threaten any type of physical harm. It cannot threaten to sue or repossess property unless it intends to do so and the action is legal.
DISCLOSURE OF DEBT: The collector cannot tell anyone about the debt or imply that the consumer owes a debt, even to family, friends or co-workers.
REPRESENTED BY ATTORNEY: If the consumer has an attorney and has disclosed this to the collector, it can no longer contact the consumer directly.
REQUEST TO STOP: If the consumer tells the collector in writing that he or she does not want to be contacted anymore or that the consumer disputes the debt, the collector generally must cease all contacts.
NOTICES: Within 5 days after the collector's first contact, it must provide the consumer with a written notice setting the consumer's rights, including the amount of the debt, the name of the creditor, the right to dispute and/or seek validation of the debt, and the consumer's rights to be free from harassment and other abusive conduct.
CHARGES: The collector cannot add interest, late fees or collection charges to the debt unless the original agreement has authorized such charges.
What Should I Do If I Have Been Subject To A Violation Of The Debt Collection Laws?
You should immediately contact us. In order to make our analysis of your situation most effective, you should gather all written communications from the debt collector. Make sure to include the envelopes in which the letters were sent. You also should put together a written log of all verbal contacts by the collector, by date, time, mode of communication, substance of the communication. It is extremely helpful if you generally describe the collector's conduct and your reaction to his or her conduct in your log. Finally, you should gather any written agreements underlying the alleged debt and credit reports that you may have. These documents can prove invaluable in fighting the debt collector and resolving your matter.In fact, it is really big business. Profits in the U.S. debt collection industry often increase ever year and amount to billions of dollars on an annual basis.
Debt collectors often make their money through unlawful business practices.
Every year also generally sees an increase in formal complaints about abusive debt collectors. No doubt, these complaints represent only a fraction of violations, as most consumers are unaware of their rights.
Why do debt collectors violate the law? The answer is simple and unfortunately reflects the operation of many corporations in America. Businesses analyze risk, and budget for that risk. If a company stands to make millions of dollars based on an unfair business practice that may ultimately cost it only a fraction of those gains, the company will commit the unfair business practice because, in the end, it is profitable. This business philosophy pervades the debt collection industry.
We can help you.
We understand your rights and are committed to ending debt collection abuse. We adhere to the philosophy that if we no longer can bring debt collection lawsuits because the industry has changed, we have done our job as attorneys.