Is a debt collector harassing you, threatening you or asking you to pay money you don't think you owe? You don't have to put up with it. You have rights under the federal Fair Debt Collection Practices Act (FDCPA), and you shouldn't hesitate to use them.
Here's what you need to know about how to confront a debt collector, your debt collection rights and your obligations when dealing with debt collectors.
How to Confront a Debt Collector
Debt collectors can be nasty. That doesn't mean you should respond in kind. But here's what you can do.
You have no obligation to answer their calls or talk to them on the phone. It's much harder for a debt collector to threaten or harass you if you refuse to engage with him or her.
The best way to communicate with a debt collector is in writing because otherwise you have no proof of what you've told the collector or what promises or threats were made to you. Using certified mail with a return receipt gives you proof that your letter was delivered and lets you know who signed for it.
If you don't want a debt collector to contact you any more, get the name and address the next time he or she calls you, then send a letter directing him or her to stop contacting you. If you have an attorney, you can tell the collector to direct all future contact to your attorney.
The collector will still be allowed to contact you to let you know he or she will stop contacting you and whether the collector or original creditor is suing you, but otherwise, they are supposed to leave you alone.
Your Debt Collection Rights
You have many rights when a collector wants you to repay a debt.
If you think a debt collector has violated your rights, you can report him or her to your state attorney general, the Federal Trade Commission and the Consumer Financial Protection Bureau. If enough consumers file complaints about the same collector, law enforcement might take action against the collector.
You can also file a lawsuit against an abusive collector, and the judge can award you damages for illegal debt-collection practices. However, even if a collector violates your rights and a judge rules in your favor, you will still owe the debt if it's legitimate.
Your Obligations When Dealing With Debt Collectors
While debt collectors' threats can be bogus, you can't just blow them off without verifying them because the consequences of ignoring legitimate collection actions can be serious. Here is what you need to do to protect yourself in the collections process and to comply with your responsibility to repay a debt you really owe.
The Bottom Line
When you interact with a debt collector, you need to understand your rights and obligations. If you don't, you could suffer unnecessary harassment or make an expensive mistake. For further reading, see 5 Things Debt Collectors Are Forbidden To Do and How The Debt Collection Agency Business Works.