People fail to meet their credit obligations for a variety
of reasons. These range from over-extension of finances to
unemployment and illness. Whatever the reason, every person
is protected by the federal Fair Debt Collection Practices
Act. Congress passed this act to protect consumers from harassment
by debt collectors. Personal, family, and household debts
are covered under the act. This includes money owed for the
purchase of an automobile, for medical care, or for charge
accounts.
Limitations on Contacting the Consumer
A debt collector may only contact a person between the hours
of 8 a.m. and 9 p.m. Debt collectors may not contact the
consumer at his job if the debt collector is aware that
the employer prohibits personal calls.
A person may notify a debt collector in writing if he or
she does not want any further contact with the collector.
Once this notice has been received, the debt collector must
stop all communications, except to notify the person that
a specific action will be taken.
Can Debt Collectors Tell Someone Else About Your Debt?
No! A debt collector can discuss your debt only with your
attorney, a credit bureau, the creditor, and the creditor's
lawyer. However, the debt collector can contact other people
to find out where the debtor lives or works.
What Debt Collection Practices are Forbidden?
Debt collectors may not harass, intimidate, threaten, or
embarrass you.
Debt collectors may not make false or misleading statements,
such as falsely associating themselves with a government
office or credit bureau. They may not use misleading or false
threats of imprisonment or criminal charges.
What to do if a Debt Collector Violates the Act:
Keep detailed records of any communication you have with
the debt collector. Include time, date, and the name of the
person with whom you spoke.
Keep a copy of all written correspondence between you and
the debt collector.
Report the company in writing. Send the report to:
Federal Trade Commission
Correspondence Branch
600 Pennsylvania, NW
Washington, D.C. 20580
or
Arkansas Debt Collection Board
523 S. Louisiana, Suite 460
Little Rock, AR 72201
Depending on the conduct of the debt collector, you may
have a private cause of action. You may want to consider
talking with a private attorney to discuss your options.
Contact Us
Consumer Protection Division
501-682-2341
800-482-8982 (statewide)
501-682-8118 (fax)
consumer@ag.state.ar.us
|
