Sword and Shield for the Consumer: The North Carolina Debt Collection Act

North Carolina residents and consumers have the benefit of a statute that provides protection against debt collectors gone awry.  The North Carolina Debt Collection Act applies to all persons and entities collecting a debt incurred for personal, family, household, or agricultural purposes.  This means a company collecting on it’s own debt is subject to the NCDCA.  Contrast this with the Fair Debt Collection Practices Act which only applies to persons or entities collecting on a debt owed to another (ex:  collection agency).  The NCDCA’s expanded scope makes it a bit more consumer-friendly than the FDCPA.

The NCDCA has a lengthy listing of conduct that debt collectors cannot engage in when collecting a debt.  Examples include:
  • making threats of bodily injury or damage to property
  • threatening legal action or other action which cannot be taken
  • excessive or harassing phone calls
  • notifying third parties about certain details of a person’s debt
  • masking the true name of the person or entity who is collecting on the debt
  • falsely representing the debt can be increased by interest, fees, or legal fees
A person who has been damaged by a violation of the NCDCA can recover her actual damages in addition to statutory damages of anywhere from $500.00 to $4,000.00 per violation.   In addition the NCDCA allows for the recovery of the costs of pursuing a legal action and payment of reasonable attorney fees. 
If you are suffering harassment by a debt collector or otherwise believe your NCDCA rights have been violated contact an experienced debt collection defense attorney for a consultation. 



    1. Debt Collection A to Z: E is for Emotional Distress | Law and Life Blog
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    3. Debt Collection A to Z: M is for Misrepresentation « Law and Life Blog
    4. Debt Collection A to Z: T is for Truthfulness | Law and Life Blog

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