It is a really helpless feeling. When the collector calls, you feel angry, frustrated, and scared. The calls seem to come in constantly! All day, from 8:00 in the morning until 9:00 at night, the phone will ring.
I felt nervous every time I heard that ring tone. Looking at the caller ID, it was an 800 number or an ‘Unknown ID’. I knew who it was. And I chose not to answer.
Finally, I got smart. There is a law, Called the Fair Debt Collection Practices Act, or FDCPA, that regulates how debt collectors are allowed to contact you, including how often, where they can call, and what they can say.
If you are getting calls and want them to stop, you can do that easily. Answer the phone. I know, you don’t want to, but answer it. Get the following information from the person you talk to:
- The collection company name.
- The mailing address of the collection agency.
- A supervisors name.
- The name of the person calling you.
Also, write down the time and date of the call, and anything you can recall being said. You don’t need the peoples names, or the time and date, unless they don;t stop calling you. In that case, if you pursue legal action for a violation of your rights, that information will be critical.
Write a letter to the collection agency. In your letter, be nice but firm. Have it say something like this:
To whom it may concern,
You are causing me undue stress by continuing to call me regarding a supposed debt.
Do not contact me by phone any longer at the following number: (713) 555-2167.
If you wish to contact me, you may write me at the address you have on file.
If you continue to try to contact me by phone, I will be forced to take legal action under the FDCPA.
You have 5 business days to comply with this letter.
Sincerely,
Me
Now, a couple of key points. It is a ‘supposed’ debt. Never admit it is your debt. They can use that to sue you.
If you aren’t allowed to be called at work, say so.
They can’t cause you to feel nervous, so tell them your calls are causing stress.
Send your letter certified mail, return receipt requested, and make sure it is there in at most 3 days. That way they can set up their auto dialers to stop calling you.
Keep a copy of the letter, and your receipt from the mailing. If they continue to call, contact your state’s attorney generals office.
I’d like to know, have you had problems with a collector continuing to call? What do you think of collections in general? Leave me a comment and let me know.
I really liked this post. Can I copy it to my site? Thank you in advance.
I’m getting hooked on your blog! Your topic is relevant and of interest.
The best thing for a consumer to do about collection calls is to realize that the collectors have no power whatsoever to collect money that the consumer doesn’t have. One should never speak to a telephone collector. They call for 3 reasons: 1) To scare you into paying a debt you don’t have to pay, 2) To get information about you that they don’t already have, which translates to power or ability to actually find something to take from you, 3) To earn bonuses by collecting debts that for the most part do not at all have to be paid. Anyone who pays a collector as opposed to the original creditor is merely icing someone’s cake. And that someone is likely a filthy scumbag.
If a debtor qualifies for bankruptcy, he simply does not have to pay the debt, and usually never has to file bankruptcy. Some collectors will sue for a debt that doesn’t seem to be enough to sue for. I’m not sure, but that seems a bit scare tactic-ish as well. Going to court because you are being sued for a debt does not suddenly line your pockets with cash to pay that debt. But if you are uninformed, you might be terrified to step foot into a court of law. That might motivate some to create the money out of thin air, think the collectors.
Wages aren’t garnished if your source of income is not known. Don’t talk to collectors. Don’t go to court unless you are required by law to do so. Being sued does not necessarily mean you are required by law to attend. If you are sued and cannot pay, find out if not appearing is a crime. A lawsuit isn’t a subpoena, but find out beforehand if yours is an exception. It IS a crime to behave improperly toward a judge, so you might be forced to reveal damning information (like where you work) if you do appear.
Don’t be afraid of your phone ringing. Screen your calls, keep records, and report violators, but don’t talk to them.
Hey wait a minute, this is your blog, not mine!
Maybe you should be writing this stuff instead of me! Very well said.
I have an article, vcalled ‘The Top Ten Questions A Debt Collector Might Ask You’, that goes over what to say, or more importantly not say, if you do end up talking to a collector. However, your comments make me think an article is in order to discuss how to avoid them all together. Something to write!
You can get a copy of that article here: http://www.mycreded.com/whatadebtcollectormightaskyou.html
What happens when you request the collection agency to stop contacting you via phone but you are unable to pay the amount they want and they continue to have a manager to call?
Hi Kristen,
Telling them to stop calling you on the phone never works.
You will need to send them a letter, telling them that they are in violation of the FDCPA and are harassing you. Send it certified, and get a receipt.
Then, start recording the calls. If they still bug you, you can sue them.
If you have broken a promise to pay, they may choose to come after you in court. In that case, a lawyer may be your best bet.
My book, Credit Cleanup, has more information about this, and it may help you out.
Good luck!
Brent
Information I really appreciate it!!
Is the FDCPA Law for Collection Agency (3rd party) only or does it cover the actual credit card company that is calling you direct?
Really appreciate you sharing this blog post.Really thank you! Really Cool.
Is the FDCPA Law for Collection Agency (3rd party) only or does it cover the actual credit card company that is calling you direct?
Hi Bruce,
The FDCPA only covers collection agency, although most credit card companies abide by it.
Brent
First, thanks for the blog; really helpful. I have recently filed for disability (2nd try- !st time I gave up, tried going back to work and now lost another job due to same mental issues (narcolepsy, sleep apnea related symptoms) which they said wasn’t severe enough for me to be considered disabled. I have a lot of debt, some of which is from the time before my first job loss, much of which is medical. One in particular is a disputed debt which has been sold to a debt collector; I have been receiving calls again on this wanting to know why it was unpaid, “we’re willing to work with you to get this paid,” etc. What is my best response? I’ve tried saying I’m not able to work, have no income; their response was “you were working, why didn’t you pay it then? to the point I got upset and cussed since she wasn’t taking I have no money” as an answer and while remaining polite (tone was ugly but words polite) would not leave me alone, same questions and repeating answers over and over not effective. Have I made more problems for myself by answering her? This debt is from 2004 (TN)
Hi Vicki,
Sorry to hear about your situation.
First, the SOL in Tennessee is 6 years, so unless a payment was made after 2004 they likely will not be able to sue you. I am assuming you still live there and so the SOL for Tennessee still applies.
You don’t have to take harassment over the phone. Write down all conversations with a collector. You also don’t have to answer any of their questions. Politely tell them to have a nice day and hang up the phone if they start repeating themselves. If they call more than once a day and have a conversation with you, or if they are abusive over the phone, then you can file suit against them for violation of the FDCPA.
You can also choose to stop the phone calls very simply by telling them not to call you again by sending a ‘Do Not Call’ letter.
You can use the wizard at the Credit Cleanup Club to create a Do Not Call letter. Just send it registered mail with a receipt request to the collector, and they will have to stop calling you. The Do Not Call letter is free, and available right now.
However, please understand that this debt will continue to be sold, and they will try to pursue it however possible.
When you can, offering a settlement might be the best way to get rid of a debt, although a settlement could affect your credit score. However, you stated in your description of the situation that this debt was disputed. If you have documentation showing that the debt is invalid, you should get a copy of that to the original creditor as well as the collector and try to get the debt removed completely.
Good luck with your situation.
Brent
I also have problems with judgement due to my illnesses which as a nurse I don’t feel safe working- would you want a nurse with those issues taking care of you? I wouldn’t- I might go 4 months without making an error but never know when problem will arise; I could go to work at MickeyD’s or somewhere similar but wouldn’t stay there long either for same reasons. I need a keeper to tell me when bills are due and make sure they’re paid- that’s one of the reasons bills didn’t get paid on time when I did have money. The bills I had on autopay were paid but everything else would invariably be paid late or not at all since I forgot to pay them and now I can’t pay them. I even messed up my unemployment because I forgot to file my weekly certification, so now I’m even worse off. Any suggestions?