5 Debt Collection Laws you have to know

If you are not making payments for your bills since lot of months, then your creditors may forward your details to the collection agencies to collect get their money from your side.
The 5 debt collection laws : –
1. Harassment : While collecting debts from you debt collectors are not permitted to harass you in calling or they are not allowed to give you abusive calls to collect their debts.
2. Calling at inappropriate time : According to the law the collectors are not authorized to call you in an inappropriate time. They are only allowed to call you before 9.00 p.m or after 8.00 a.m . This is the most important debt collection law that you must know.
5 Debt Collection Laws you have to know
3. Making false claims : They are not allowed to claim false payments to you while collecting their debts.They are not allowed to make any false statements to you.
4. Divulge information : According to the law debt collectors are not authorized to share show your detailed information of debt to any other person apart from your lawyer.
5. Validation letter of debt : First of all they will initially communicate with you for 5 days then after they will send you the debt validation letter in which the total debt amount and the name of your creditor will be mentioned according to the law.
So, if the collectors violate these debt collection laws, then you have the legal right to file case against them.

Denny Jones

Hey there, I'm Denny Jones, a seasoned financial writer with over a decade of experience. I'm passionate about simplifying finance and empowering readers to achieve financial freedom. My articles offer practical advice and insights to help you navigate investing, budgeting, and personal finance with confidence. Let's unlock your financial potential together!

3 thoughts on “5 Debt Collection Laws you have to know

  1. Unfortunately the laws only pertain to third party debt collectors. The creditors have a little more leeway although many do choose to follow the same laws in order to avoid a lawsuit. This provides stress relief for those who are faced with custody and moving during and after divorce

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