How To Stop Debt Collection Harassment

In this struggling economy, many Americans today are having difficulty paying bills and are suffering under a crushing load of debt, whether it be credit card debt, student loans, overdue utility bills, car payments, rent or mortgage, or any combination of the above. For many, the stress is compounded by constant harassing phone calls from debt collectors pressuring them for the money.

But what many people don’t realize is that they have legal recourse against unfair and abusive creditor harassment practices. In 1978, the Fair Debt Collection Practices Act (FDCPA) was established by the U.S. Congress in order to protect consumers by specifically prohibiting creditors and third party debt collectors from harassing consumers.

Violations of the FDCPA

Creditors and third party debt collection agencies are in violation of the FDCPA if they commit any of the following debt collection harassment actions against consumers:

• Calling consumers constantly and repeatedly
• Calling consumers at “unreasonable” times (defined under the legislation as before 8:00 in the morning or after 9:00 at night)
• Continuing to call even after the consumer has sent a written order to cease communication
• Contacting the consumer’s employer, siblings, parents, or other third parties (other than a spouse), and revealing information about the consumer’s debt to them
• Threatening that the consumer will arrested if the debt isn’t paid
• Using abusive language or profanity
• Continuing to contact a consumer who has filed bankruptcy
• Directly contacting a consumer who is represented by a debt collection lawyer
• Trying to collect additional money that is not related to the debt

What to do first

If you are being hounded by creditors and debt collectors, you have recourse. First, if the amount of the debt is incorrect, you can dispute it by sending the creditor a written notice explaining that you don’t owe the amount specified and requesting verifiable proof of the amount of the debt. This should be done immediately, because you only have 30 days after first receiving notice of the debt to dispute it. After receiving your letter disputing the debt, creditors are not allowed to contact you again without providing proof that the debt is legitimate and that the amount is accurate.

If the debt amount is accurate, send a written notification to the creditor or debt collector telling them that all contact must cease. By law, once this notice is received, the debt collector is allowed to contact you only one more time to inform you of what action will be taken. If any more phone calls ensue, they are in violation of harassment laws under the FDCPA. Be sure to document all violations and then file a report against the company with the Federal Trade Commission.

Debt collection lawsuits

If you are experiencing creditor harassment, you may be eligible to file a debt collection lawsuit against the offending parties. If you win your case, you may receive financial compensation for any economic losses you suffered as a result of the harassment, such as medical bills or lost wages. You may also receive compensation for your attorney fees and court costs, in addition to statutory damages of up to $1,000.

“Our attorneys are committed to protecting consumers from malicious collection offenders who commit FDCPA violations”, says, David Barshay, a New York attorney at The Sanders Firm. He goes on to say, “We understand the emotional toll that debt collector harassment can take on you and your family. Just because you owe money, it does not mean you forfeit your basic legal rights.“ Learn more about debt collection lawsuits at sanderslitigation.com.