Federal Debt Collection Act

Prohibited Communication With Debtor

(1) Can't call before 8 am or after 9 pm (2) unless the consumer's attorney consents, cant' communicate with a consumer represented by an attorney; (3) Once the debt collector knows the employer prohibits calls by a collector, cannot call the consumer's place of employment; (4) A debt collector may not communicate with parties other than the consumer, except to get location information about the consumer;

Liability

(1) Private enforcement: one year statute of limitations (2) Liability (a) Debt collector who fails to comply with the FDCPA is liable to any person in an amount equal to any actual damages sustained by such person. (b) Statutory damages are available, even if there were not actual damages. (c) Attorneys' Fees: for the consumer, it is the same as DTPA; for the defendant the court may award if finds bad faith and harassment. (3) Relation to state laws: conduct that violates the FDCPA may also violate the Texas Debt Collection Act

Prohibited Conduct

(1) harassment or abuse; (2) false or misleading representations; (3) unfair or unconscionable practices.

Debt Collector

Any person who uses an instrumentality of interstate commerce or the mails in any business, the principal purpose of which is the collection of any debts, or who regularly collects or attempts to collect, directly or indirectly, debts owed or due or asserted to be owed or due another. A lawyer who regularly collects consumer debt is subject to the FDCPA.

Application

Application of the FDCPA is limited to conduct engaged in by a Debt Collector.

Validation of Debts

In his initial communication, or within 5 days, collector must tell the consumer she has 30 days to dispute the debt. If the consumer disputes the debt, the debt collector must stop collection efforts until debt is verified.

State and Law Difference

The federal law that regulated debt collection is known as the Fair Debt Collection Practices Act (FDCPA). There are state and federal debt collection laws, know the difference.

Debt Collector Not Using Own Name

The term debt collector includes any entity that in the process of collecting its own debt, uses a name other than its own, which would indicate that a third person is collecting the debt. A creditor is usually not subject to the FDCPA, but if it uses a different name, it is.

Consumer Debt

The term debt includes only consumer debts, which are debts for personal, family, or household purposes.