Fair Debt Collection Practices Act (FDCPA)

Fair Debt Collection Practices Act (“FDCPA”)

The Fair Debt Collection Practices Act, or “FDCPA” was enacted by Congress, and is enforced by the Federal Trade Commission (“FTC”). The FDCPA is designed to protect consumers from being subjected to unfair, abusive, or deceptive methods of debt collection by creditors.

It should be noted that since the Court’s Henson v. Santander opinion, the FDCPA does not apply to third-party entities who purchase a consumer’s debt, and then attempt to collect that debt. While this opinion does not make great sense, the consensus in the legal community is that the decision was based on the specific facts of the case – as debt purchasers engage in worse collection attempts, the Courts will likely punish them as well.

What Types of Debts Does the FDCPA Apply to?

Pursuant to the FDCPA, a “debt collector” is an entity that “regularly collects debts owed to others.” The FDCPA regulates personal debts, such as: (1) car loans, (2) credit card debts, (3) medical debts, (4) mortgages; and (5) any family or household debts. This a non-exhaustive list, the easiest way to remember what is covered is “if it’s not a business debt, it’s probably covered.”

There are strict rules on who a debt collector may contact about your debts, and you should know your rights — learn more here

You can also find more information about the Telephone Consumer Protection Act (TCPA) here, and more information about the Fair Credit Reporting Act here.

If you, or someone you know, has had their rights violated under the FDCPA, we urge you to contact us today for a free initial consultation.

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