Abusive Collection Practices

• Debt collection is a necessary industry in the United States, given that some who take out debts don't repay them as promised. Debt collectors are required to communicate with consumers under the provisions of the Fair Debt Collection Practices Act. Even with this law, some collection agencies go too far in trying to collect money, violating the rights of some who owe money.
  
  Some abusive practices include calling at hours prohibited by the FDCPA, calling employers, friends and family and threatening debtors.
  
  

End Debt Collector Abuse Act

• Two federal lawmakers----Senators George LeMieux, R-Florida and Al Franken, D-Minnesota----have collaborated on a bipartisan bill introduced in the United States Senate in October 2010 to add a series of amendments to the FDCPA. These amendments, known as the "End Debt Collector Abuse Act" restrict what debt collectors are able to do to collect debts as well as increasing "minimum" punitive damages that debt collectors would have to pay for violations. In addition, LeMieux and Franken have added language to their bill that would make it illegal for debt collectors to make use of the justice system to get money from consumers who are behind with their payments.
  
  

Consumers' Rights

• Consumers who owe debts have rights given to them by the FDCPA. Among these rights, collection agencies, creditors and debt collectors must provide a notice of consumer rights within five days of the first communication with the consumer. The consumer has the right to "demand" that debt collectors and collection agencies stop all communication. He also has the right to notify the debt collector that he refuses to pay the debt----this notice also serves as a demand to cease communications.
  
  Consumers are also protected from debt collectors who attempt to collect debts that are not owed. In these cases, debt collectors are required to prove the consumer owes money, according to the Federal Trade Commission.
  
  If a consumer is represented by an attorney, the debt collector is not allowed to contact the consumer directly. Instead, he should communicate with the consumer's attorney. If the debt collector violates the "cease communication" provision of the law, the consumer has the right to file a lawsuit, asking the court to order the debt collector to stop all contact, states the Neighborhood Economic Development Advocacy Project, Inc.
  
  

Consumers Can Protect Themselves

• Consumers can document all contact with the debt collector ---- this includes threatening letters, taped conversations or any other kinds of communication that violate the FDCPA. If the consumer is thinking of recording phone conversations, he needs to verify whether he lives in a state that allows him to record phone conversations. If he violates this law, he could face criminal charges.
  
  Every time the consumer is contacted by a debt collector, he needs to make note of the date and time of the contact, the name of the debt collector and the content of the phone call. This includes threats, slurs and abusive language. If anyone has witnessed the abusive collection practices, the consumer should get a written statement from that person, advises the FTC.
  
  Consumers who send a written cease communication letter should keep a copy of that letter and send it by certified mail, return receipt requested. This shows proof that they are working within the FDCPA guidelines and that the debt collector is violating this law, writes the NEDAP.