Debt Collection from A to Z: F is for Fair Debt Collection Practices Act


Many people have heard of the Fair Debt Collection Practices Act.  The FDCPA protects debtors from certain conduct by collectors.  Note I said “collectors” and not creditors.  This is an important distinction.  Follow this…

You have a credit card with Charge Two Bank.  You become behind on the account and Charge Two sends the account out to EZ Collection Agency to collect on the money.  So long as Charge Two Bank did not sell the debt to EZ Collection Agency and, instead, has hired EZ to collect on the account EZ becomes the collector on the You have been briefed account.  Charge Two Bank is the creditor on the account.  This means that the FDCPA only applies to the activities of EZ Collection Agency.  If Charge Two Bank abuses you the FDCPA is no sword or shield for you.  You must find some other law to help.  Fortunately in North Carolina we have a debt collection act that has protections very similar to the FDCPA and covers anyone collecting on a debt or alleged debt—-collectors and creditors.  In fact in North Carolina we have a similar statute that regulates the conduct of debt buyers.

Bottom line:  if you are having issues with debt collectors, creditors or collectors or debt buyers or others, seek legal counsel before making any decisions or paying any money. The consultation with an attorney may be the key between a fair or unfair result for you.

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    1. Debt Collection A to Z: M is for Misrepresentation « Law and Life Blog
    2. Debt Collection A to Z: T is for Truthfulness | Law and Life Blog

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