 The Federal Trade Commission (FTC) defines a debtor as someone who “uses credit cards, owes money on a personal loan, or is paying a home mortgage.” A debtor who falls behind on loans or bills may be contacted by a debt collector. A debt collector is “any person who regularly collects debts owed to others. This includes attorneys who collect debts on a regular basis.”
The Fair Debt Collection Practices Act (or FDCPA) protects consumers and requires that debt collectors treat consumers “fairly and prohibits certain methods of debt collection.” The law does not erase any legitimate debt the consumer owes.
Prohibited Practices
The Fair Debt Collection Practices Act protects your rights as a consumer by outlawing certain practices by debt collectors. Those practices are detailed below.
Harassment
Debt collectors may not “harass, oppress, or abuse” a consumer or any “third parties they contact.” Debt collectors may not:
- Threaten violence or harm.
- Use “obscene or profane” language.
- Call the debtor before 8 am or after 9 pm.
- Use the phone to “annoy” a debtor.
False Statements
Debt collectors may not make any “false or misleading statements” when collecting a debt. Debt collectors may not:
- Make false statements implying they are government officials or attorneys.
- Misrepresent the amount the debtor owes.
- Make false statements implying that the debtor has committed a crime or will be arrested if they don't repay the debt.
- Make false statements implying they operate or work for a credit bureau.
- Make false statements about the legality or illegality of papers being sent.
Unfair Practices
Debt collectors may not use “unfair practices” when trying to collect a debt, and in particular they may not:
- Collect any amount larger than the amount owed unless the debtor's state law allows such a charge.
- Deposit a post-dated check early.
- Take or threaten to take the debtor's property unless this can be done legally.
 Violations
If a debtor believes a collector has violated the law, they have the ability to seek legal recourse for the violation.
- Debtors may sue a collector in a state or federal court to seek relief and compensation if the collector has violated the law.
- The lawsuit must be filed within one year of the date of the violation.
- Debtors may recover money for damages they suffered plus any additional amount up to $1,000. Court costs and attorney's fees also can be recovered.
File a Complaint
A debtor can report any problems they encounter with a debt collector. Here are the best state and federal government sources to contact:
- Ohio Attorney General's Office – Contact the Consumer Protection Section at 800-282-0515 or visit their website at: www.ag.state.oh.us
- The Federal Trade Commission – Contact the FTC at 877-FTC-HELP (877-382-4357) or visit their website at: www.ftc.gov
For more information, please visit www.ohiotreasurer.gov or call 1-800-228-1102.
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