What is the Fair Debt Collection Practices Act?

The Fair Debt Collection Practices Act (FDCPA) is a consumer protection law that was enacted by Congress in 1977 to protect consumers from predatory debt collection practices. The law is enforced by the Federal Trade Commission (FTC), and it applies to debt collectors, not the initial creditors. The FDCPA prohibits debt collectors from using deceptive and harassing tactics when collecting debts. This includes sending deceptive letters and making phone calls at unreasonable times and places. In addition, debt collectors are prohibited from using offensive language or threatening to take legal action unless they can be lawfully taken. The FDCPA also requires debt collectors to provide debtors with written notice of the amount of debt, the name of the original creditor, and their rights to dispute the debt and request validation of the debt. Debtors should be given 30 days to dispute the debt and can request that the debt collector validates the debt within this time frame. The FDCPA also prohibits debt collectors from using unfair or unconscionable practices in connection with the collection of debts. This includes collecting fees and charges not authorized by the original creditor, threatening to garnish wages without a court order, or attempting to collect debts that have been or will soon be discharged in bankruptcy. Overall, the FDCPA is a powerful consumer protection law, which provides important rights to consumers and protects them from unfair debt collection practices.

Related FAQs

Can a debt collector send me a post-dated check?
Can a debt collector call me after 9 p.m.?
What is a debt collector’s duty to disclose?
What should I do if a creditor refuses to negotiate?
What is a debt collection mediation?
Can a creditor report a debt after it is discharged in bankruptcy?
What should I do if I am being sued for a debt?
Can a debt collector charge interest or late fees on my debt?
How do I dispute a debt collection on my credit report?
How do I get a judgment removed from my credit report?

What is the Fair Debt Collection Practices Act?

Related FAQs

Related Blog Posts