Debt Collection Abuse
Has a debt collector violated your rights?
If you have been contacted by a debt collector who is using abusive tactics, making harassing phone calls or threatening you in any way, you may be entitled to compensation. Debt collectors have the right to collect debts, but must abide by the Fair Debt Collection Practices Act, 
which prohibits debt collectors from using abusive, unfair or deceptive practices. Take our quiz now to test your knowledge about debt collection.
Here are some FAQs about the FDCPA:
What types of debts are covered?
The act covers personal, family and household debts, money owed on personal credit card accounts, auto loans, medical bills and mortgages. The FDCPA does not cover debts you incurred to run a business.
Can a debt collector contact me any time or any place?
No. A debt collector may not contact you at inconvenient times or places, such as before 8 a.m. or after 9 p.m., unless you agree. Collectors may not contact you at work if you tell them they’re not allowed to call you there.
How can I stop a debt collector from contacting me?
You may want to talk to a debt collector at least once to see if you can resolve the matter. If you decide you don’t want the collector to contact you, tell them in writing to stop contacting you. Make a copy of the letter and send the original by certified mail and pay for a return receipt to document what the collector received. Once the collector receives the letter, they may not contact you again with two exceptions: to tell you there will be no further contact, or to tell you about a specific action such as filing a lawsuit.
Can a debt collector contact anyone else about my debt?
If an attorney is representing you, the debt collector must contact the attorney, rather than you. If you don’t have an attorney, a collector may contact other people, but only to find out your address, home phone number and where you work. A debt collector generally is not permitted to discuss your debt with anyone other than you, your spouse, or your attorney.
Can a debt collector keep contacting me if I don’t think I owe any money?
If you send a letter stating that you don’t owe any or all of the money to the collector, or ask for a denial or verification of the debt, the collector must stop contacting you.
You have the right to request a verification of the amount of debt, the name of the creditor to whom the debt is owed, and a statement that unless you dispute the debt or any portion of it within 30 days of receipt of the notice, the debt will be assumed to be valid by the debt collector. If you request a verification, we recommend you send the letter by certified mail. You will receive a validation notice of the debt.
If you deny or dispute all or a portion of the debt, we recommend you send a letter by certified mail.
You also may request a statement within the 30-day period the name and address of the original creditor if it is different from the current creditor.
What practices are off limits for debt collectors?
- Harassment: Debt collectors may not harass, oppress or abuse you or any third parties they contact. They may not:
- use threats of violence or har
- publish the names of people who refuse to pay their debt
- use obscene or profane languag
- use the phone to annoy someone
- False statements: Debt collectors may not lie when trying to collect a debt.
- falsely claim they are attorneys or government representatives
- falsely claim you have committed a crime
- falsely represent they operate or work for a credit reporting company
- misrepresent the amount you owe
- indicate papers they send you are legal forms if they aren’t
- indicate papers they send you aren’t legal forms if they are
- Debt collectors are prohibited from saying:
- you will be arrested if you don’t pay your debt
- they’ll seize, garnish, attach, or sell your property or wages unless they are permitted by law to take the action and intend to do so
- legal action will be taken against you, if doing so would be illegal or if they don’t intend to take the action
- Debt collectors may not:
- give false credit information about you to anyone
- send you anything that looks like an official court or government document if it isn’t
- use a false company name
- Unfair practices: Debt collectors may not engage in unfair practices when trying to collect a debt.
- try to collect any interest, fee or other charge on top of the amount you owe unless the contract that created your debt, or state law, allow the charge
- deposit a post-dated check early
- take or threaten to take your property unless it can be done legally
- contact you by postcard
Can I control which debts my payments apply to?
Yes. The collector must apply any payment you make to the debt you select.
Can a debt collector garnish my bank account or my wages?
If you don’t pay a debt, a creditor or debt collector generally can sue you to collect. If they win, the court will enter a judgment against you. The judgment states the amount you owe, allows the creditor or collector to get a garnishment order against you, and directs a third party, like a bank, to turn over funds from your account to pay the debt. Wage garnishment allows your employer to withhold part of your compensation to pay your debts.
Can federal benefits be garnished?
Many federal benefits are exempt from garnishment, including:
- Social Security benefits
- Supplemental Security Income (SSI) benefits
- Veterans’ benefits
- Civil Service, Federal Employees Retirement System and disability benefits
- Service members’ pay
- Military annuities and survivor’s benefits
- Student assistance
- Railroad Retirement Benefits
- Merchant seaman wages
- Longshoremen and harbor workers’ death and disability benefits
- Foreign service retirement and disability benefits
- Compensation for injury, death, or detention of employees of U.S. contractors outside the U.S.
- Federal Emergency Management Agency Federal Disaster Assistance
Do I have any recourse if I think a debt collector has violated the law?
You have the right to sue a collector in a state or federal court within one year from the date the law was violated. If you win, the collector can be required to pay you for damages you can prove you suffered, such as lost wages and medical bills. The collector also can be required to pay attorney’s fees and court costs.
If you believe you have been subjected to abusive or harassing debt collection practices, contact us for a free consultation by filling out the case evaluation box, or call 800-366-1609.
For more information visit www.ftc.gov/credit or www.mymoney.gov
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