- PRACTICE CATEGORIES Bankruptcy, General Litigation
ABOUT THIS SERVICE
A recent report by the Consumer Financial Protection Bureau revealed that more than 25% of consumers feel intimidated when debt collectors contact them. This national survey indicated that consumers received calls in close proximity of timing, at strange hours of the day and night and some threatened arrest and other frightening threats. In some cases, the consumers didn’t own the debts that they were being contacted about. Many reported that collectors continued to contact them, even when they told them to stop calling.
Make your best to limit your everyday spending, find savings like higher insurance deductables, etc.
Compose a list of outstanding debts ordered by interest rate and payment due date
Get all your card interest rates then transfer your debts to the card with the lowest interest rate.
Rich Cordray, CFPB Director said the details of the report shed a “troubling light” on the collections industry, and that the bureau is looking for ways to end the abuse. Do you understand and know your rights when contacted by debt collectors?
Here are a few things you should know:
THERE ARE MILLIONS OF OTHERS LIKE YOU
The CFPB reports that debt collection affects more than 65 million consumers. Medical and credit card debt are the primary reasons that most people are contacted. More consumers issue complaints about the aggressiveness of debt collectors than they do any other product or service in the financial industry.
The Federal Trade Commission, responsible for the enforcement of Fair Debt Collection Practices Act, agree that most of the complaints that its office receives are regarding debt collection practices. Although some debt collectors are sure to stay within the guidelines of collecting, many pursue illegal measures to collect on a debt.
YOU HAVE SOLID PROTECTION
The fair Debt Collection Practices Act grants protection for consumers being approached for personal debts, such as auto loans or mortgages, past due credit card accounts and other debts. It does not protect any debts acquired to operate a business.
KNOW YOUR RIGHTS
Debt collectors can communicate with or try to contact you via letter, email, text message or phone, but they must remain within the rules and disclose that they are attempting to collect a debt. It’s against the law for them to assume the role of or pretend to be someone other than a debt collector in an attempt to deceive the consumer.
YOU HAVE THE RIGHT TO TAKE ACTION
The Attorney General’s office, the Consumer Financial Protection Bureau, and the Federal Trade Commission are there for you to report any issues or problems that you encounter with a debt collector. Debt collection laws will vary by state, so contact your state’s office for direct answers.
Average Credit Card Debt Month to Month
Average Household Credit Card Debt
Americans Keeping a Balance on Credit Card
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