Credit, debt collectors and scams
The collector won't stop, and some of it may be against the law
The calls start before work and come back at dinner. A voice says you will be arrested, or that they will tell your employer, or that the debt will double by Friday. Sometimes it's a debt you paid years ago, or one that belonged to someone else with your name.
Owing money doesn't take away your rights. The federal Fair Debt Collection Practices Act, and many state laws, limit what collectors can say and do, and some of them let you bring a claim when a collector crosses the line.
Who counts as a debt collector
The federal law mostly covers companies that collect debts owed to someone else: collection agencies, debt buyers that purchase old accounts, and some law firms that collect debts. The original lender collecting its own debt is often not covered by that federal law, though some state laws reach them too. You don't need to know which applies before you contact us.
What collectors are generally not allowed to do
The specific rules differ between federal and state law, but some common problems include:
- Threatening arrest, jail or action they can't or don't intend to take.
- Using abusive language or calling repeatedly to harass you.
- Telling your family, friends or employer about the debt, beyond limited contact to locate you.
- Lying about how much you owe, who they are, or whether they are a lawyer.
- Continuing to collect without checking, after you dispute the debt in writing.
- Suing, or threatening to sue, on a debt too old to be sued on in your state.
Ask for proof of the debt
Collectors generally have to send you a notice describing the debt, who it is owed to and how to dispute it. If you dispute the debt in writing within the window that notice gives you, the collector generally has to pause and send you verification before going on. Keep the envelope and the notice. Send your dispute in a way you can prove, and keep a copy.
Write things down as they happen
In these cases the details are the evidence. Keep a simple log: the date and time of each call, the number, the name the caller gave, and what was said. Save voicemails and screenshots of texts and emails. Before you record a phone call yourself, find out whether your state requires everyone on the call to agree, because recording rules differ from state to state.
What helps to have ready
- Every letter or notice from the collector, with the envelope if you have it.
- A call log with dates, times, numbers and what was said.
- Saved voicemails, texts and emails.
- Any dispute or cease-contact letter you sent, with proof it was delivered.
- Proof you already paid or settled the debt, if that is the issue.
- Any court papers, if you have been sued.
- What to have ready before you talk to a lawyer
A short, practical list you can use for any kind of problem.
Where we fit in
A lawyer at our firm looks at your case. If we take it and another firm is better placed to lead it day to day, we choose that firm from firms we have vetted for their expertise and track record, and we stay responsible for your case with them.
Questions people ask
Can I tell a collector to stop contacting me?
Under federal law you can generally tell a collector in writing to stop contacting you, and they must stop, except to tell you they're stopping or to tell you about specific steps they or the creditor may take, such as a lawsuit. Stopping the calls doesn't erase the debt, so it's worth getting advice before you send that letter.
The debt is really old. Can they still sue me?
Every state limits how long a creditor has to sue on a debt, and the limit varies. In some states, a small payment or a written promise can restart the clock. Don't pay anything on an old debt until a lawyer has looked at it.
Do I have to prove I lost money?
Not always. Some consumer protection laws allow a court to award a modest sum for a violation even without proof of a financial loss, along with lawyer fees. Whether that applies to your situation is for the lawyer reviewing your inquiry.
This may also apply
- Mistakes on your credit report
If the collector is also reporting the debt wrongly on your credit report.
More about credit, debt collectors and scams
This page explains things in general terms. It is not legal advice about your situation, and the law differs from state to state.