What Debt do Debt Consolidation Companies do about creditor harassment?
Many individuals out there struggling to deal with their debt have had the unfortunate pleasure of having to
deal with collection phone calls. Many debt consolidation companies will tell you they can get all the calls to
stop. That statement is not true.
What many people do not realize is that there are federal laws in place to protect their rights and that
collection companies are required to follow these laws or risk the possibility of being sued.
Possible Violations for the Fair Debt and Collections Practices Act:
- Calling the customer's place of employment after the debt collector knows the consumer's employer prohibits
calls or the consumer asks the debt collector not to call at work anymore.
- Threatening that nonpayment will result in imprisonment, garnishment, and/or liens if the debt collector is
not an attorney
- Contacting the consumer's neighbors, friends, family members, etc. when the debt collector all ready knows
how to contact the client. (they are only allowed to contact third parties to get the consumer's contact
- Disclosing to friends, family members, etc. that the consumer owes a debt.
- Harassing, oppressing, insulting or verbally abusing the consumer(this is VERY broad.)
- Threatening to sue when the debt collector is not an attorney/law firm.
In addition you can send written notice to the 3rd party collector telling them to stop all
telecommunication contact to you. If while in the program any collection agencies start to harass you, or
violates the Fair Debt and Collection Practices Act, then you can sue them.
If you are falling behind on your bills and are receiving phone calls from the creditors, I would suggest
speaking to someone to see if the debt consolidation company can assist you in finding a solution to
To speak to someone about this