US Congress passed Fair Debt Collection Practices Act or FDCPA for the first time in 1977 in order to protect consumers from the unethical and unfair debt collection practices used by many debt collectors.The idea behind this act was to prevent the debt collectors (lawyers, collection agencies, repossession companies, etc) from harassing the debtors.
The types of debts covered under FDCPA are household debts, car loans, credit card debt, medical bills, etc.
The 7 rules and regulations of FDCPA that you must know are given below:-
1. Time: The debtor cannot be contacted before 8am and after 9 pm in a day without his prior permission. According to this act, the collectors cannot call the consumers repeatedly
2. Place: According to this act the debtor cannot be contacted at his or her workplace without his prior permission. Also, the collectors cannot contact the debtors at his workplace when the employer disapproves of such contact.
3. Language: This act forbids the collectors from using vulgar or obscene languages while dealing with the debtors. The collectors cannot harass the debtors if they fail to pay back the unpaid debts.
4. Information: This act prohibits the collectors from publishing or advertising the debt information of the consumers.
5. Letter: The debtors have the right to demand a letter from the collectors within 5 days of a telephone call. The letter must specify the total amount of debt that the consumer owes, the name of the creditor to whom the debtor owes the money, and the actions that the debtor can take if he realizes that he does not owe the money.
6. Third party: The collectors can contact the third parties only once. However, they can contact the third parties only when they are not being able to contact the consumer.
7. False implication: A debt collector cannot pretend that he is an attorney or government agent when he is not. He cannot also accuse the debtor that he has committed a crime by not paying back the debt.
These are the 7 rules and regulations of FDCPA that the consumers must know so that they cannot be harassed by the debt collectors.
By: Layla Joseph
