Debt collectors could cause you serious embarassment a times. If you have the misfortune of suddenly finding yourself in a cash strap situation and you default on your debt payment, the debt collector could come calling. These cash strap situations could be caused by loss of job, a medical emergency or events that make you have to spend a lot of your savings. If you are a victim of such circumstancies and you have missed one or two payments, then you should know how to stop the debt collectors from harassing you and causing major embarassment.
Receiving calls from debt collectors can be unsettling at times. Persistent calls could even make your life a misery. You may find yourself screening your calls and refusing to answer when you realise a call is from a debt collector.
It is one thing to default in payment once or twice and have the debt collector come calling and another to be a perpetual or cronic debtor. However, the debt collector ,especially the hardened type who has heard many a sympathetic story from debtors is not likely to deal with you softly even if you have defaulted just once. Moreover, debt collectors work based on commisions. So the higher amount recovered the higher their commission. This is why you are likely to be treated same as a cronic debtor.
Debt collectors : What are their limits.
1. They can make contact with you by phone,mail,fax,telegram or in person. At home or at your place of work unless your employer does not allow it.
2. They may not contact you before 8.am and after 9 pm. unless there was a prior agreement to do so.
3. While doing their job they must contact your attorney. However, if you don't have an attorney they may contact other people to get your phone number or address. But they cannot tell them that you are in default.
4. If you don't want to be contacted, write the collector. They may then inform you of what action they are going to take next. Stopping contact will not clear the debt where the authenticity of the debt is not in doubt.
Know your rights.
Some debt collectors might resort to the tactics of harassment. And they might succeed if the debtor does not know his or her rights under the FTC (Federal Trade Commission ) Fair Debt Collection Policy. This policy is meant to protect customers. Since the debt collector knows this policy, the harassment tactic will not work if they are aware that you also know the law concerning it. According to the policy;
1. Harassment is not allowed. No debt collector is allowed to abuse, oppress or harass you. This may include threats, repetitive phone calls, which is a form of harassment in it itself, obscene language.
2.Debt collectors cannot misrepresent themselves as government agents, attorneys or representing a credit bureau if they are not. They cannot imply they are sending legal documents if they aren't or that you've committed a crime, if you haven't.
3.They cannot imply legal action, including seizing property or garnishing wages unless they are legally allowed and intend to do so.
The best place to learn more of your rights is from the FTC. You can also report an agent by contacting the FTC or your Attorney General. If they are breaking the law you have the right to sue.
About the Author:
The author, Salihu Ibrahim, has written many prolific debt improvement articles at his mobile home loan site that will save you a some headaches www.loans-n-debts.com and www.home-improvement-tipsonline.com
