What Legal Action Can I Take Against Abusive Debt Collectors?

Dealing with debt is stressful enough without the added burden of harassment from debt collectors. Constant calls, aggressive language and false threats are not only unpleasant: they can also be illegal. Fortunately, federal laws exist to protect you from such abusive practices, and you have the right to take legal action. If you’re experiencing harassment, know that you have options. The Liblang Law Firm P.C. is dedicated to defending consumers and can help you understand and exercise your rights. Our attorney will walk you through the protections available, the steps you can take to stop the harassment and how you can hold abusive debt collectors accountable.

What Is the Fair Debt Collection Practices Act (FDCPA)?

The Fair Debt Collection Practices Act (FDCPA) is a federal law intended to shield consumers from abusive, unfair or deceptive debt collection tactics. It details the permissible and prohibited actions for debt collectors during the collection process. It’s important to note that the FDCPA generally applies to third-party collectors: agencies collecting debts on behalf of another company, not the original creditor. However, some states have laws that offer similar protections against original creditors.

Under the FDCPA, you have specific rights, including the right to dispute the debt, request that a collector stop contacting you and be treated with fairness and respect.

What Actions Are Prohibited Under the FDCPA?

The FDCPA explicitly forbids a wide range of misconduct. If a debt collector engages in any of the following, they are likely breaking the law.

• Harassment: This includes actions intended to annoy, abuse or intimidate you, such as repeated phone calls, using obscene language or calling before 8 a.m. or after 9 p.m. without your permission.
• Abuse: Collectors cannot threaten violence, harm or arrest. They also cannot publish lists of consumers who refuse to pay their debts.
• Unfair Practices: This includes collecting more than owed, prematurely depositing a post-dated check or illegally seizing property. They must not misrepresent the debt amount or falsely claim to be legal professionals or government representatives.

What Steps Should I Take If I’m Being Harassed?

If a debt collector is violating your rights, taking immediate and organized action is crucial. Proper documentation can strengthen your position and provide the evidence needed for legal recourse.

1. Document Everything: Keep a detailed log of all communications. Note the date, time and content of every phone call. Save all letters, emails and text messages. If you receive voicemails, save them as well.
2. Request Debt Validation: Within 30 days of the initial contact, you have the right to send a written request for the collector to validate the debt. Once they receive your request, they must stop collection efforts until they provide you with proof of the debt, such as the name of the original creditor and the amount owed.
3. Send a Cease and Desist Letter: You can formally request in writing that the debt collector stop contacting you. Upon receiving a cease and desist letter, they are only permitted to contact you to confirm they will stop or to inform you that they are taking specific legal action.

Can I Sue a Debt Collector for Harassment?

Yes, you have the right to sue a debt collector who violates the FDCPA. If you win, you may be entitled to compensation for any harm you suffered, such as lost wages or medical bills related to stress. You could also receive up to $1,000 in statutory damages, and the court may compel the debt collector to cover your attorney’s fees and court costs. It is important to act quickly, as you must file a lawsuit within one year of the FDCPA violation.

What Are Other Ways to Stop Harassment?

In addition to a lawsuit, you can report abusive debt collectors to government agencies that enforce consumer protection laws. Submitting a formal complaint can initiate an investigation into the collector’s practices. You can file complaints with the Federal Trade Commission (FTC) or the Consumer Financial Protection Bureau (CFPB). These agencies use consumer complaints to identify patterns of misconduct and take enforcement actions against offending companies.

How Can a Lawyer Help Me?

Navigating the legal system and standing up to an abusive debt collector can be intimidating. You do not have to face it alone. The Liblang Law Firm P.C. has a proven track record of fighting for consumers in Michigan. If you believe you are a victim of debt collector harassment, contact our office for a consultation.