Rules Collection Agencies Must Follow
Collection agencies are hired by creditors to recover past due funds. In recovering funds, collection agencies typically send letters and telephone debtors in order to make payment arrangements. Some debtors ignore agencies and refuse to pay their debts. While this can be frustrating for a collection agency, these companies must refrain from certain abusive tactics.
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Communication
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Collection agencies can contact you about a past due balance. However, if you believe that you don't owe the agency or if you want the agency to stop calling your work or personal telephone, you can submit this request in writing. According to the Federal Trade Commission, once a collection agency receives notification that you want them to stop telephone communication, the agency must abide by your wishes. Further telephone contact by the agency justifies filing a complaint with the Federal Trade Commission.
Hours of Contact
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Even if you don't specifically tell a collection agency or debt collector to stop calling your home, these companies do not have the right to call your home at odd times of the day nor do they have the right to call you several times throughout the day. By law, collection agencies and collectors can only call you between 8 a.m. and 9 p.m.
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Discussion of Debt
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If a collection agency or debt collector calls your home or work and speaks with someone other than yourself, they cannot discuss your debt with this person -- unless the person is your spouse. It's not unlawful for a debt collector to speak with someone and inquire about your current whereabouts. For example, they may ask for your current home address, work number or updated telephone number. However, agencies cannot disclose how much you owe or the status of your debt.
Harassment by Collectors
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Some collectors use unprofessional tactics to scare debtors into paying a balance. It's against the law for collectors to abuse or harassment debtors. Abuse can take numerous forms, but might include violent threats, use of profanity, threatening arrest or threatening a lawsuit when they have no intentions of taking legal action. Collectors may leave threatening or harassing voice messages. Retain these messages as proof of abuse in the event that you decide to sue a collector.
What to Do?
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Debtors have options for dealing with abuse by collectors. If abused or harassed by a collector, debtors have up to one year from the offense to sue the creditor. But even if a debtor decides against taking legal action, he can report any violations to the Federal Trade Commission. Debtors can file complaints online at FTC.gov or file the complaint by telephone at 877-382-4357.
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