Debt collection rules tighten

[mfcorey1]

Last month, Hattie McKinney sued a collection agency that she said had been calling her Powder Springs home for nearly a year over a $300-plus cellphone bill that she disputes.“They kept calling me and calling me, about 20 times a day,” said McKinney. “It kept me a nervous wreck.”

Finally, the 69-year-old woman sued the Minnesota-based agency, alleging violations of a federal law that bars collection companies from using harassing calls and other bare-knuckled dunning practices.

http://www.ajc.com/business/debt-collection-rules-tighten-934455.html

[xchrom]

1. Recommend

[snappyturtle]

2. Good news! It's about time. nt

[ProgressiveProfessor]

3. There are all sort of ways to fight back at collection companies

You basically have to know the rules better than they do. Debtorboards.com is a good place to start.

Note: I have never had to fight debt collectors myself (other than tell them they have the wrong phone#. However, I have had repo guys arrested and their truck towed and impounded.

[CoffeeCat]

4. I'll tell you what should be illegal...

...and it makes me so angry!

Bill collectors who call the friends and relatives of person who is behind on payments.

When you fill out a car- or credit-card loan application, they always ask you to list personal references. Then, they
end up calling those people and completely embarrassing the debtor who is behind on payments.

I've had calls from a car-financing company. They identify themselves and then tell me that they're having trouble
contacting my brother. They ask me if I have any contact with him and would I mind letting him know that they're
calling. We've received these kinds of calls about one of my husband's siblings as well.

These companies are sly. They never mention that the person is behind in payments, because that would be illegal. However, it is
obvious to all parties involved what is happening.

I always respond with, "I will not answer your questions and I will never let my brother know that you called me. His financial
matters are none of my business and he will never know that you called me. Do you understand?"

This practice should be illegal!

[davsand]

5. I think that maybe could be illegal under the FDCP laws.

They need to walk a VERY fine line if they call anyone but the debtor regarding that debt...



According to the Federal Trade Commission's FAQ's:

Can a debt collector contact anyone else about my debt?


If an attorney is representing you about the debt, the debt collector must contact the attorney, rather than you. If you don’t have an attorney, a collector may contact other people – but only to find out your address, your home phone number, and where you work. Collectors usually are prohibited from contacting third parties more than once. Other than to obtain this location information about you, a debt collector generally is not permitted to discuss your debt with anyone other than you, your spouse, or your attorney.



Full FAQ's at: http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre18.shtm

[formercia]

6. I had one collector fired.

He represented himself as an attorney. I looked him up in the phone book so I could call him at home and give him an ear full. Turns out he picked a name out of the phone book that was the head attorney for the phone company. He was very interested in hearing my story.
The collector was gone the next day.