Collection is the process by which creditors attempt to get payment from nonpaying debtors. This process can be performed by the creditor or by a collection agency that the creditor has hired. A collection agency is a company that aggressively pursues debtors to collect money for the creditor.
There are several debt collection practices that you can use to try to persuade your debtor to pay the debt:
Collection agencies tend to use aggressive tactics to collect money owed. These tactics, however, must not violate the Fair Debt Collection Practices Act (FDCPA). This act limits what actions a collection agency can take in its effort to collect payments.
For example, a collection agency cannot:
There are also several things a collection agency must do once it has contacted a debtor. The collection agency must disclose:
There are several things a debtor can do if a collection agency has done anything illegal in violation of the Fair Debt Collection Practices Act (FDCPA).
An adept attorney can help send demand letters to debtors who owe you money, or determine whether a creditor is violating the FDCPA. If you are forced to go to court, an attorney can guide you through the complicated legal process. Whether you are the debtor or the creditor, a lawyer will know all the ins-and-outs of debt collection and help get the results you want.
Last Modified: 05-21-2018 08:50 PM PDTLaw Library Disclaimer
We've helped more than 4 million clients find the right lawyer – for free. Present your case online in minutes. LegalMatch matches you to pre-screened lawyers in your city or county based on the specifics of your case. Within 24 hours experienced local lawyers review it and evaluate if you have a solid case. If so, attorneys respond with an offer to represent you that includes a full attorney profile with details on their fee structure, background, and ratings by other LegalMatch users so you can decide if they're the right lawyer for you.