I’ve been contacted many times by a collection agency regarding an outstanding debt. I get calls from the debt collection agency all the time, and they refuse to leave me alone. Aren’t there laws that protect debts from overzealous debt collectors?
Yes. Both federal and state law govern the conduct of debt collectors and are intended to eliminate abusive debt collection practices and ensure fair treatment of all persons owing monies.
The Federal Debt Collection Practices Act, the federal law regulating debt collection, is only applicable in certain situations. First, the debt collector must be in the business of collecting debts owed to a third party. This means that the FDCPA does not apply to a store that tries to get you to repay a debt owed directly to the store. Second, the collector must use an instrumentality of interstate commerce (usually the mail or the telephone). Third, the unpaid debt must relate to a consumer debt; the FDCPA does not apply to business debts.
When applicable, the FDCPA provides a debtor numerous protections from unwanted communications with the debt collector. A debt collector cannot communicate with a debtor at unusual times or places, which usually means a debtor cannot be contacted before 8 a.m. or after 9 p.m. The FDCPA limits communication with the debtor at the debtor’s workplace and requires the collector to contact the debtor’s attorney if the collector knows that the debtor has an attorney. The FDCPA also prohibits harassing or abusive forms of conduct, including making repeated calls with the intent to harass the debtor, using obscene language, or threatening violence.
The Texas Debt Collection Act is the state law designed to protect debtors from harassing and abusive debt collectors. The TDCA specifically prohibits a debt collector from making threats or from using deceptive or misleading representations to try to recover the unpaid debt. It also protects the debtor from harassing or abusive conduct, such as excessive and annoying phone calls or the use of abusive language or profanity.
Ultimately, your failure to repay a debt does not mean that a debt collector has the right to harass you. The next time the debt collector calls, be sure to let him know that you are aware of your rights under federal and state law. Also, be sure to read next week’s column for more specific questions regarding debt collection.
This article appears in January 9 • 2004.