Your Rights: A Guide for Dealing with Bill Collectors

Who Is Covered by the FDCPA?

The FDCPA primarily governs third-party debt collectors—companies, law firms, or agencies hired by the original creditor to collect overdue debts. It does not usually cover the original creditor collecting their own debts, although many states have consumer protection laws that apply similar rules to original creditors as well.^[1]

What Debt Collectors Can Do

• Contact You During Reasonable Hours: Typically between 8 a.m. and 9 p.m. local time.
• Reach You in Various Ways: Calls, letters, emails, and texts are allowed if they respect your privacy.
• Seek Debt Payments: They can negotiate payment plans, settlements, or other arrangements to settle what you owe.

What Debt Collectors Cannot Do

• Harass or Abuse: They can’t use threats, profane language, or repeatedly call with the intention to annoy or harass you.
• Lie or Misrepresent: Falsely threatening arrest, inflating the amount owed, or pretending to be a government official is prohibited.^[1]
• Expose Your Debt to Others: They must not share details of your debt with unauthorized third parties, such as neighbors, coworkers, or family members.
• Keep Contacting You After a Cease-and-Desist Request:Once you send a written request asking them to stop, they can only contact you to confirm receipt or to inform you of legal action.

How to Handle Collection Calls

If you feel overwhelmed by frequent collection calls, here are some practical steps:

• Request Debt Validation: You have the right to ask collectors for written proof that you owe the debt. Until they verify it, they must stop pursuing payment.^[1]
• Document Everything: Note times, dates, and the content of each call. If they violate the FDCPA, this record can help you file a complaint.
• Set Boundaries on Calls: Inform them if certain call times are inconvenient (for example, at work). They must respect those limits.
• Seek Legal Assistance: If the calls become harassing, consider speaking with an attorney about your options under the FDCPA.

Common Collector Tactics

While many collectors follow the law, some use strategies intended to pressure you into quick payment:

• Aggressive Tone: Yelling or using strong language to intimidate you.
• Frequent Calls: Bombarding you with calls multiple times a day, which may cross into harassment territory.
• Threatening Lawsuits or Wage Garnishment: They might imply immediate legal action to scare you, even if they have no imminent plan to sue.
• Offering a Quick Settlement: Sometimes they claim a short-term settlement deal is your “only chance” to resolve the debt.

What to Do If You’re Harassed

• File a Complaint: Report FDCPA violations to the Federal Trade Commission (FTC), the Consumer Financial Protection Bureau (CFPB), or your state Attorney General.^[2]
• Consult a Lawyer: A consumer protection attorney can advise you on potential legal claims if a collector has crossed the line.
• Evaluate Debt Relief Options: Explore whether a debt management plan, settlement, or even bankruptcy might be the right path to long-term relief.

Disclaimer: This information serves educational purposes and does not constitute legal advice. Consult a licensed attorney for guidance specific to your financial situation.

References

[1] Federal Trade Commission, “Fair Debt Collection Practices Act,”
   https://www.ftc.gov/legal-library/browse/rules/fair-debt-collection-practices-act-text

[2] Consumer Financial Protection Bureau, “Submit a Complaint,”
   https://www.consumerfinance.gov/complaint/