We know debt collectors for being rude, annoying, and sometimes downright scary when talking to debtors. They can use any technique or even threaten the debtor into paying up. To protect consumers against such atrocities, the government created several federal laws. These laws forbid debt collectors from using certain methods on debtors to make them pay.
Here are five things debt collectors are forbidden to do under the law.
Pretend to work for a government agency
If a debt collector claims they work for the government or even a consumer reporting agency to make you pay, you can sue them. Some laws prevent debt collectors from claiming to be a government entity, and if they do, it is a punishable offense.
Threaten to send you to jail
Sometimes, a debt collector can say you will land up in jail if you don’t pay the money. Don’t believe them. Even if you don’t pay the money, the debt collection agency or the agency doesn’t have the power to issue a warrant or land you in jail. However, that doesn’t mean you are free to do as you plan. The creditor and the agency can call for legal action against you, which can lead to a lot of trouble.
Publicly shame you
Are you worried about a debt collector appearing in the front yard and making a scene for you to pay up or calling your workplace, again and again, embarrassing you? You don’t have to worry about such things at all.
Debt collectors cannot shame you publicly or even contact anyone except your spouse or legal adviser regarding your debts or share your debt information. However, they can call your workplace or friends to confirm your workplace and whereabouts.
Try to collect the payment you don’t owe
It is rare, but it happens when you get a call from a debt collector asking you to pay something you don’t owe. There are two situations in such a case. First is that the person calling is a fraud, and the second is that there are some misunderstandings.
In both cases, you must not pay for anything you don’t owe. Ask the debt collector to provide proof of debt. It should include the original invoice, creditor’s information, and other details related to the debt they claim you owe. If you find the documents satisfactory, you can pay. Otherwise, you can dispute the debt.
There are certain things that debt collectors cannot say or do to get money from you. They cannot do anything that mentally or physically harasses you. It includes:
- Use profane language.
- Threaten you with physical harm.
- Call you repeatedly even after telling them you don’t want to be contacted through calls.
- Contact you at all if you have forbidden that in writing.
Debt collectors must be polite to you and use only legal means to collect unpaid debts.
DebtCo is the only all-service digital collection company you need for payment collection woes. We have developed an innovative digital debt collection platform that can take care of all your collection problems, regardless of your industry. You can reach out to us at 01376 800 592 or request a meeting to learn more about small business debt collection.