When do Debt Collector Calls turn Into Harassment?
Is it ever appropriate for a debt collector to make harassing phone calls?
When a debt collector phones you too often, outside of normal business hours, or while you are at work, the calls are considered harassment by the law.
Has your phone been ringing off the hook or at inconvenient hours because a debt collector is calling you? Contrary to popular belief, there are restrictions governing when and where a debt collector may contact you, as well as how often they can do so.
When a debt collector breaches these standards, it may be considered harassment, and you may be able to file a lawsuit against the debt collector.
The Fair Debt Collection Practices Act (FDCPA) was created in 1978 to protect customers like you from unfair, abusive, or deceptive collection practices.
This doesn’t only mean that debt collectors can’t go about breaking people’s legs for money; it also means that they can’t use violence against people (although that would certainly violate the FDCPA and other laws).
A debt collector is prohibited from using the telephone to “annoy, abuse, or harass any individual at the phoned number,” according to the provisions of this legislation.
It is not necessary to owe a debt to a debt collector to be protected by the legislation since the statute states that “any individual at the phoned number” may be protected.
The Fair Debt Collection Practices Act (FDCPA) protects everyone who gets a phone call from a debt collector. Many individuals may be irritated by even a single phone contact from a debt collector, but it is certainly not enough to justify filing a lawsuit against them. So, when do the phone calls from a debt collector cross the line into harassment?
What is the maximum number of times a debt collector may contact you?
By making an excessive number of phone calls, a debt collector might seek to irritate, abuse, or harass a debtor in the most evident manner possible. A debt collector was allowed to phone an individual an unlimited number of times before the legislation was changed.
A judge or jury would assess if the number of calls was excessive before the law was changed. Fortunately, as of November 30th, 2021, we finally have a definitive answer.
The Consumer Financial Protection Bureau is a federal body that was established to safeguard people like you from financial harm. The Federal Communications Commission recently enacted a new regulation that specifies how many phone calls a debt collector may make before it becomes excessive.
A debt collector is not allowed to phone more than seven times in a seven-day period under the new law, which takes effect immediately. The goal of a debt collector who phones you more than seven times in a week is believed to be to harass you, according to the law.
If a debt collector contacts you fewer than seven times in a week, it is thought that their purpose is not to harass you with a large number of calls to your home or workplace.
If your debt collector contacts you more than seven times in a week, you may have a claim under the Fair Debt Collection Practices Act (FDCPA) and may be entitled to sue your debt collector. Remember that this rule presupposes that receiving more than seven calls in a week constitutes harassment, and receiving fewer than seven calls does not constitute harassment.
However, this does not always imply that this is the case in every instance. There may be exceptional situations in which more than seven instances of harassment are not considered harassment, or when fewer than seven instances of harassment are considered harassment. There are several different methods by which a debt collector might bother you.
It is always preferable to talk with an attorney about your situation, and Starks Law provides free first consultations.
When is the best time of day for a debt collector to contact you?
Instead of calling you too many times, a debt collector may phone you during unusual hours of the day to bother you, rather than calling you at all. In the United States, the law specifies precise hours during which a debt collector is permitted to contact you.
They are not allowed to phone you before 8 a.m. or after 9 p.m. on weekdays or weekends. This is between the hours of 8 a.m. and 9 p.m. local time. If a debt collector is located in a different time zone than you, their calls to you must be made between the hours of 8 a.m. and 9 p.m. in your time zone.
This implies that a debt collector cannot get out with phoning you at 3am by saying that they were calling you from a different time zone and that it was only 12pm their time when they phoned you.
They cannot phone you at 7 a.m. and say that they forgot it was daylight savings time or that their state observes daylight savings time in a different way than your state.
The times they are permitted to phone you are determined by your local time, not the time they are currently at. It is possible that you have a valid FDCPA claim against your debt collector, even if they have only phoned you once, if your debt collector calls you outside of the proper hours.
Is it possible for a debt collector to contact you at your place of employment?
You may have noticed that your debt collector has followed the most of the rules and has only phoned you a few of times at the acceptable periods. An debt collector may continue to harass you even if they phone you while you are at your place of employment.
Debt collectors are not mind readers, and they will not always be aware of your whereabouts, including when you are at work and when you are not. It is also not instantly deemed harassment if they phone you at your place of employment.
In order for a phone call at work to be deemed harassment, the debt collector must be aware that you are at work and must have been informed by you that you are not permitted to speak while at the workplace.
This may be more difficult to demonstrate for some individuals than it is for others. If your debt collector calls you on your mobile phone and has no clue what time you are at work, it will be difficult to prove that they were aware that they were phoning you at work.
If you give them your working hours and inform them that they are not allowed to contact you when you are at work, this would be sufficient evidence to prove harassment if they subsequently phoned you at work. If the phone number they are phoning is a work phone number, this is more easy to show.
As long as you have instructed them not to contact you while you are at work, and they are aware that a certain number is a work number, dialing that number might be used to demonstrate that they attempted to contact you while you were at work.
In the event if your debt collector contacts you while you are at work, when they are aware that you are at work, and you have informed them that you are unable to talk while at work, you may have a valid FDCPA claim and be able to sue your debt collector, even if they have only phoned you once.
Conclusion
Can a debt collector phone you more than a certain number of times before it becomes harassment? Seven times a week is a lot.
When is it permissible for a debt collector to contact you? They can reach you between the hours of 8 a.m. and 9 p.m.
If someone calls you outside of specified hours, it may be considered harassment. Is it possible for a debt collector to contact you at work?
No, as long as they are aware of your working hours and are informed that they are not permitted to contact you while you are on the job.
Remember that even a single phone call made outside of normal business hours or while you are at work might be seen as harassment. It is not necessary for the debt collector to contact you 10 times a day in order to file a claim.
Bringing an FDCPA action against your debt collector may subject you to damages, including $1,000 for each violation as well as attorney’s costs and expenses.
You may find out more about the value of an FDCPA claim by visiting this page. With an attorney handling your case, you may be certain of receiving the most compensation possible while also being relieved of the burden of worrying about the legal nuances of a lawsuit.
You may find out more about filing an FDCPA claim by visiting this page. If you believe any of these concerns apply to you, or whether you are unsure if they do, or if you believe a debt collector may be harassing you in another manner, please contact us.
Starks Law always provides free consultations so that we can determine whether or not you have a claim and, if so, how much that claim could be worth.
With the exception of the time it takes to make the phone call, there is nothing to lose by scheduling a free consultation.
How to Avoid Debtor Harassment Legally
Debt collection harassment may be prevented in nine ways.
1. Look into the collector’s background and qualifications.
Telephone calls from con artists posing as debt collectors may be received by you. If you are not certain that the collector is authentic, do not send any money to him or her.
Check to see whether the person who is phoning you is authentic by requesting the caller’s name, company, phone number, and business address from him or her.
A bogus debt collector may be discouraged from calling you in the future if you just inquire about their services.
Also, check to determine whether debt collectors are permitted to operate in your state, and if the firm that is contacting you is permitted to operate in your country.
Consult the debt collector licensing register of a nearby state if your state does not provide licenses to debt collectors. The Nationwide Multistate Licensing System, which may be found at www.nmlsconsumeraccess.org, also receives information from certain states about licenses. The information on that website will thus include a few additional states where the debt collector may be permitted to do business in the future.
Second, the letter of “cease and desist” or “stop communication.”
Writing a “stop contact” letter to the collector, also known as a “cease” letter, is one approach for putting an end to collecting harassing calls.
The collector’s sole recourse at that point is to confirm receipt of the letter and warn you of any legal action the collection could pursue. In most cases, this protection extends only to collection firms employed by the creditor or debt purchasers who have acquired debts from the creditor, however creditors who are collecting their own debts may be able to get protection under certain circumstances.
The fact that you have stopped receiving collection mailings does not mean that you no longer owe the amount. Important:
Here’s an example letter that you may change at www.nclc.org/survivingdebt:
[Your name here]
[Your address for correspondence]
[Date]
[Name of the debt collector]
[Address of the debt collector]
Re: [Debt account number, if you have one]
Dear [Name of Debt Collector],
I’m replying to your inquiry regarding a supposedly unpaid bill that you’re seeking to collect. On [date], you contacted me through [phone/email].
The purported debt was designated as [whatever information they supplied you regarding the debt].
Please discontinue any contact with me and my address over this supposed debt.
Thank you for your assistance.
Sincerely,
[Your name here]
Keep a copy of the letter and transmit the original, return receipt requested, via mail. Consumers will also be able to submit stop letters online using whatever sort of electronic communication that the debt collector employs to contact them under new federal guidelines set to take effect on November 30, 2021.
If the debt collector continues to approach you, write another letter and retain a copy of it. Let them know that you are aware that their further communication with you is a violation of federal law. Keep track of any letters or phone calls you get after mailing the letter, as this can come in handy if you decide to sue the debt collector for breaching your federal rights.
A stop letter does not need the assistance of an attorney. A letter from a lawyer, on the other hand, frequently stops collection calls if a cease letter does not. As long as the lawyer replies to the collection agency’s questions, collection agencies must cease contacting a customer who is known to be represented by a lawyer.
Even though this obligation does not apply to creditors who collect their own debts, such requests from a lawyer are frequently honored. If you are represented by a lawyer, a collector’s lawyer is obligated by professional ethics not to approach you.
3. Only allowing specific sorts of collecting interactions to continue.
Instead of banning all forms of collection communication, you could wish to allow some while banning others.
If you’re receiving collection calls on your mobile phone, they’re most likely coming from an autodialer. You may stop getting such calls by saying to a live operator, “Stop receiving these calls.”
“Please do not contact me at this phone number.”
If you urge them to cease phoning your mobile phone using an autodialer, both collection firms and original creditors collecting their own debts must comply.
You may halt collection agency calls at inconvenient times or locations by alerting a live operator that the contacts are inconvenient, whether you are being reached on a mobile phone or a landline. For instance, you may say:
“At work, I’m not permitted to take this sort of call.” Please don’t phone me when I’m at work.”
“Do not call me before noon.” Calls in the morning are inconvenient.”
“Do not contact me at [phone number].”
This is an inconvenient site.”
Alternatively, you may choose when and how you want to be contacted by a collector. Consider the following scenario:
“Please call me just after [hour] at [phone number].” Calls at other hours or from other numbers are inconvenient.”
On November 30, 2021, new federal regulations will take effect. Any electronic contact from a debt collector after that date must contain instructions for opting out of receiving messages.
Furthermore, the laws provide that the collector must comply with a consumer’s request to discontinue utilizing a specific mode of contact, such as phoning or emailing. Requests for communications to a certain phone number, email address, or other electronic account must also be honored by the collector.
This, unlike a cease-and-desist letter, does not apply to all sorts of communications.
These demands do not need to be written down. If you choose, you may edit the final line of the letter above to inform the collector which types of contacts are inconvenient and (after November 30, 2021) designate when and how you want to be contacted.
4. The letter about “exempt income.” Your income may be “exempt,” or shielded from collection,
if your sole sources of income are state or federal government payments. (For further information on whether your income is excluded, see Chapter 21.)
If you tell the collector that government handouts are your sole source of income, the collector may cease contacting you about the supposed debt on your own will.
If all of your income is exempt, you may call collectors and write a letter like this one, which is also available for editing at www.nclc.org/survivingdebt:
[Your name here]
[Your address for correspondence]
[Date]
[Name of the debt collector]
[Address of the debt collector]
Re: [Debt account number, if you have one]
Dear [Name of Debt Collector],
I’m replying to your inquiry regarding a supposedly unpaid bill that you’re seeking to collect. On [date], you contacted me through [phone/email]. The purported debt was designated as [whatever information they supplied you regarding the debt].
I get by on each month from [name of government benefit(s)]. I think that all of my earnings are immune from collection, and creditors are not permitted to garnish my wages.
Sincerely,
[Your name here]
You may choose to request that the debt collector stop contacting you in the letter or in a separate letter—a example stop contact or “halt” letter may be found earlier in this chapter.
As described in item 3 above, you may also wish to designate which sorts of contacts you do not want to receive. Any letters you send should be copied. It is preferable to mail the letter with a return receipt requested.
5. The letter of “conflict.”
You should write the collector a dispute letter if you do not feel the debt is yours, believe the amount is inaccurate, or believe there is some other form of mistake. Collectors make several errors, and challenging the debt may assist in resolving the situation.
Debt collectors must offer “validation information” on the purported debt and your rights to challenge it under federal law. Collectors will be permitted to offer this information verbally, electronically, or in writing when new federal laws take effect on November 30, 2021. While it is doubtful that collectors would give the long notice verbally, they may opt to do it electronically. If a debt collector claims to have previously issued you a notification but you never got it, request another copy.
If you file a dispute within thirty days of obtaining this validation information from the third-party collector, the debt collector is required to cease collection efforts until you get further information validating the debt. Debt collectors will be required to indicate a response date when new federal laws take effect on November 30, 2021. Even if you miss the deadline, you may still file a complaint after the original dispute period expires.
Here is an example letter, which may also be accessed at www.nclc.org/survivingdebt and is ready to be edited:
[Your name here]
[Your address for correspondence]
[Date]
[Name of the debt collector]
[Address of the debt collector]
[If you know the account number for the debt, please provide it]
Dear [Name of Debt Collector],
I’m replying to your inquiry about the collection of a claimed debt. On [date], you called me by [phone/email] and listed the purported debt as [whatever information they provided regarding the debt]. [Explain what you’re arguing about.] “I am not responsible for the debt you are attempting to collect,” for example. Alternatively, “The amount you’re attempting to collect is wrong.”]
Please keep a note of this disagreement. If you cease collecting on this debt and send it to another firm, please tell them it’s contested. If you’re going to report it to a credit agency (or have already), be sure to include that the debt is contested.
Thank you for your assistance.
Sincerely,
[Your name here]
Any letters you send should be copied. It is preferable to mail the letter with a return receipt requested. Consumers will also be able to submit stop letters online using whatever sort of electronic communication that the debt collector employs to contact them under new federal guidelines set to take effect on November 30, 2021.
A quarrel and a request for further information could be a good combination. Take a look at item #6 for an example letter.
6. The letter of “verification.”
In many cases, it is unclear what debt a collector is contacting you about, and you should never pay the collector until you have additional information.
Federal law compels debt collectors to give “validation information” concerning the purported debt, as mentioned in item 5 above. As previously stated, it is recommended to make a verification request within 30 days after receiving the validation information.
This example letter illustrates some of the numerous sorts of extra information you may seek concerning the debt—you don’t necessarily need to request all of it. At www.nclc.org/survivingdebt, the letter is also available for editing:
[Your name here]
[Your address for correspondence]
[Date]
[Name of the debt collector]
[Address of the debt collector]
Re: [Debt account number, if you have one]
Dear [Name of Debt Collector]:
I’m replying to your inquiry regarding a supposedly unpaid bill you’re attempting to collect. On [date], you called me by [phone/email] and listed the purported debt as [whatever information they provided regarding the debt].
Please provide the following details so that I am fully aware about the claimed debt:
Why do you believe I owe the debt and to whom do you believe I owe it?
The name and address of the current creditor to whom the purported debt is owing, as well as the original creditor’s name and address and any additional names used.
a copy of the contract or other agreement in its original form.
Names of any additional people who are or were obligated to pay the purported debt.
The debt’s quantity and age, as well as:
Please provide me a copy of the most recent billing statement from the original creditor.
Give the amount of the purported debt and the date you got it.
Indicate the date on which you allegedly got the claimed debt.
Provide an itemized summary of all claimed interest, fees, or charges since the original creditor’s last billing statement.
Obtain a copy of any agreement that specifically authorizes such interest, fees, or other charges.
Provide an itemization of any payments made since the original creditor’s previous billing statement.
When did the creditor say this debt become due and when did it become delinquent?
Identify the date of the last payment made on this account, and explain how you decided when the statue of limitations for this debt expires.
Details concerning the authority you have to collect this debt, such as:
Give the number of any debt collection licenses you have in [enter the name of the state where you reside] as well as the name of the issuing agency.
Provide the number of any debt collection licenses you have in your state, as well as the name of the granting agency.
Please consider this debt contested until you supply the relevant information.
Thank you for your assistance.
Sincerely,
[Your name here]
Any letters you send should be copied. It is preferable to mail the letter with a return receipt requested. This might be used with a disagreement letter. See item #5, above, for an example letter.
Negotiating work-out agreements is number seven. Consumers who are harassed by debt collectors often agree to make payments to the collector. You should not pay even a little amount on a credit card, medical bill, or other unsecured obligation if doing so causes you to fall behind on high-priority debts like rent or vehicle payments, or if it causes you to run out of money for necessary family costs like food or medication.
Make partial payments on existing debts with caution. You can’t be sued for a debt that’s been unpaid for a particular amount of years (depending on your state). If you make even a little payment on an old bill, the courts may consider you to have restarted the time period, and you may be sued just for that payment.
Debt settlement businesses who offer to deal with your creditors on your behalf should be avoided. These firms often charge exorbitant fees and provide significantly less than promised.
7.Negotiate a lower payment plan on any payment plan you agree to
—ask them to lower the debt. Make sure you don’t commit to a payment that you can’t afford. If you’re not comfortable negotiating on your own, enlist the support of a social worker, a trustworthy friend, or a family. Any agreement should be written down. Negotiate with the creditor to have them assist you with your credit report.
Determine if you are judgment-proof after reading Chapter 21 below. If a creditor sues you, the creditor will be unable to confiscate your income or property since they are all exempt under your state’s laws. If you’re judgment-proof, make a low-ball offer and tell the creditor that it’s pointless to pursue you since you’re judgment-proof. Tell them to cease contacting you as well. See the example letters under items #2 and #4 above for further information.
8. Contacting the Consumer Financial Protection Bureau to file a complaint.
Complain to the Consumer Financial Protection Bureau at www.consumerfinance.gov/complaint about a debt collector. Your complaint will be sent to the debt collector, and the agency will attempt to get you a response, generally within fifteen days. You may also file a complaint with your state’s attorney general’s consumer protection division. Consumer issues may be resolved via mediation in several jurisdictions.
Bankruptcy is number nine on the list.
When you file for personal bankruptcy for the first time, the “automatic stay” kicks effect, putting a halt to any collection action against you. When your primary worry is debt harassment, a bankruptcy petition is usually unnecessary since you may end the harassment with a cease contact letter
(see item #2, above). Keep bankruptcy as a last resort if you’re having major financial difficulties. As a result, be skeptical of an attorney who offers to declare bankruptcy on your behalf if your sole issue is debt harassment.
