The life of the people in US has been contaminated by the very presence of a creditor. Increasing expenditure makes us go weak in our knees and instigate us to borrow money from creditors. And when we lag behind on payments the creditor’s threat uproots our peace of life. Thereon we become a puppet in the hands of the creditors. The collector’s keep on calling at inconvenient time and even embarrass you in front of your office colleagues. And when you decide to talk to them, they are intolerable, arrogant, and vulgar in their manner and speech. Even with laws prevailing on the creditors and collection companies they feel that due to lack of time and awareness the debtor won’t knock the door of the court for help.
Are you aware of your rights?
The Federal Trade Commission (FTC) has been established to protect the rights of the consumer and regulate the harmful business practices. FTC has enforced the Fair Debt Collection Practice Act (FDCPA) which forbids the debt collectors from using abusive language and deceptive practice of collection. Attorney General’s office (www.naag.org) and the Federal Trade Commission (www.ftc.gov) where you can lodge your complain against the violation of FDCP Act by your creditor.
The 10 useful tips to stop the creditor harassment:
- The consumer needs to be aware of the rights bestowed by the FTC in order to protect them from the cruel practice of the debtors. The debtor must be conscious of the prohibited conduct of the creditor which goes as follows:
- Alleging to take legal action or terrorizing of arrest of the debtor on failure of payment. Under Section 806(1)
- Abusive and impudent language and behavior of the lenders towards the debtors. This is under Section 806(2)
- Contacting the debtors through phone calls under Section806 (5) before or after the hours between 8am to 8pm
- On the request of the debtor if the creditor fails to cease the communication
- Violating the FDCPA can create impediment in the path of the creditor. The consumer can sue the creditor on violating the guidelines laid by the FDCPA. The creditor is subjected to legal action if the debtor files a report against him. You can get compensation about $1000, even if you fail to produce the cause of damage. The court and lawyer charges can be reimbursed by the creditor. If the damage is prominent then you can retrieve up to $500,000 from the money lender.
- Try to keep a written record of every of the transactions and dealings with your creditor. When the collection companies call you ask them their full name, the company’s name and the employee identification number. The record would help you to trace the collector if complain is lodged against him at FTC’s office. Attach a recorder to your phone that would record the threatening calls you keep receiving from the creditor. But do make the caller aware that call is being recorded.
- Try to give a full and final payment to the debt collection companies. Ask them to provide with receipt of the payment with written full and final payment accepted prior to the transaction of the said amount.
- Go for an attorney who will provide you with able guidance. They know the law to deliver you from the labyrinth of the creditor harassment . The tools of Law provide to be useful while interacting with the creditors.
- You can ask your creditor to cease the communication under FDCP Act, 15 U.S.C.S. Section 1692. Send your creditor a CERTIFIED letter. Then he would give some credence to the letter. It would be a proof that you have corresponded with creditor. In return the phone calls and letters from his side would be blocked.
- Try to verify the documents provided by the creditor are forged or not. The lender in order to threaten you can deceive you with false court papers. In this way he can dissuade you to take action against him.
- If you get a hint of the lender engaging into any forgery and violence then you can call for the assistance of the police. Keep a record of such documents or conversations.
- Negotiate with your creditor that would help in the reduction of the interest rate while paying off your debts.
- Never neglect the calls of the creditor whenever they try to contact you. This might help to resolve the tension between both of you.
Creditor harassment is one of the most unpleasant experiences that a man might ever come across in his life. But this might help you to boost your confidence to declare a war against the merciless creditors.
Author Bio: Kevin Craig is the contemporary writer of this article.He came across many similar situations and where debtor has been harassed by debt collector and based on that he has given us the 10 killer tips to stop creditor harassment. Kevin is not endorsed or affiliated with LPL Financial.
The opinions voiced in this material are for general information only and not intended to provide specific advice or recommendations for any individual.
