5 Things a Debt Collector Should Never Say

Getting a call from a debt collector is something most consumers dread. It can be scary at times, but if a debt collector doesnโ€™t play by the rules, chances are theyโ€™re banking on you not knowing your rights. Donโ€™t let a debt collection agency bully you into anything โ€” learn your legal rights under the Fair Debt Collection Practices Act, and defend yourself against predatory collectors. If you hear anything like these lines, know that theyโ€™re out of bounds and you can lodge a complaint:

1. โ€œLetโ€™s see what your boss has to say about this.โ€

Debt collectors cannot legally tell or threaten to tell anyone about your debt. They may contact your friends, neighbors, workplace, etc., once in order to locate you, but cannot reveal details about your debt to any third party, and they canโ€™t contact anyone other than you more than once (unless that person gives permission). When it comes to your job, debt collectors are not allowed to threaten your employment, nor garnish your wages without permission of a court.

2. โ€œWeโ€™re going to have you arrested if you donโ€™t pay.โ€

Debt collection agencies canโ€™t threaten to do anything to you that they have no legal right to doโ€”and that may even include lawsuits if they donโ€™t have the legal standing to sue you. They canโ€™t threaten to arrest you or haul you into court because you canโ€™t pay your debts. Similarly, threats to have you arrested for โ€œcheck fraudโ€ are a tip-off that you are dealing with a rogue collector or scammer.

3. โ€œPay us now, or weโ€™re going to ruin your credit score.โ€

Debt collectors cannot say that your credit report or credit score will be negatively affected if you donโ€™t pay them immediately, and similarly, they cannot misrepresent themselves as working for a credit reporting agency in order to scare you.

4. โ€œI donโ€™t have to tell you that.โ€

As soon as a debt collector contacts you the very first time, ask for written notice of the debt. Under the law, a collector must provide this notice with the amount of the debt, name of the creditor and statement of your right to dispute the debt, within five days of initial contact. Donโ€™t do anything until you receive confirmation that your debt is real, and theyโ€™re not trying to scam you. Debt collectors are also legally required to reveal what company they work for, should you ask. And if you dispute a debt in writing, the collection agency must stop contacting you until it provides written verification of the debt.

5. โ€œIโ€™ll keep calling.โ€

Collection agencies canโ€™t call you before 8 A.M. or after 9 P.M., and if you ask that they stop calling you at work (orally or through written request), theyโ€™re legally required to stop. You also have a right to tell the collector to cease contact altogether (or to work through your attorney, if you hire one). Your request to stop contact must be in writing, so make a copy of your letter and send the original via certified mail, to know when theyโ€™ve received it. Once they have, your debt isnโ€™t gone, but they cannot contact you unless the creditor is taking specific legal action, like filing a lawsuit.

Threats of violence or profanity and abusive language are also all strictly forbidden in these exchanges. If any of the above happens to you, donโ€™t hesitate to take action. You can contact the Federal Trade Commission to file a complaint, or call 1-877-FTC-HELP. You can also file a complaint with your stateโ€™s office of the Attorney General, as well as the Consumer Financial Protection Bureau, online or by phone at (855)-411-CFPB. You also have the right to sue a collector in Federal or State court within one year of the violation. In some cases, your best recourse may be to contact a consumer law attorney.

The bottom line: If youโ€™re not sure a debt collectorโ€™s threats are legal, speak up. Document whatโ€™s happening and get help from a consumer law attorney or consumer protection agency.

(If youโ€™re worried about how a collection could be impacting your credit, you can check your credit score using a free tool like Credit.comโ€™s Credit Report Card, which gives you your score plus a breakdown of the major components of your credit score โ€“ payment history, credit usage, length of credit history, mix of credit and new credit โ€“ to see what areas you need to work on. You can then do a deeper dive by checking your three major credit reports, which you can get for free every year.

Image: Wavebreak Media

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