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FDCPA

FDCPA - correct answer ✔✔Congress enacted the federal Fair Debt Collection Practices Act in 1977 to prohibit third-party collection agencies from harassing, threatening and inappropriately contacting someone who owes money. FDCPA - correct answer ✔✔The uses the FDCPA to block debt agencies from using abusive, unfair or deceptive practices to collect from consumers. Though the law is clear, many collectors don't play by the rules and complaints against them abound.FTC

• correct answer ✔✔The FDCPA covers personal, family and household debts including credit cards, home/auto loans, retail refinancing and medical bills. no collection calls are permitted between 9 p.m. and 8 a.m. and none can be made to your workplace, if you aren't allowed to take calls. - correct answer ✔✔Phone calls Misleading Threats - correct answer ✔✔Debt collectors aren't allowed to threaten consumers with legal actions that aren't permitted. They also can't threaten them with legal actions they intend to pursue. Wage Garnishment - correct answer ✔✔Debt collectors are not legally allowed to garnish wages or bank accounts without a court order. Such judgment directs a bank or employer to turn over funds or wages in order to pay the debt. Even then, many federal benefits are exempt from garnishment, including Social Security, student assistance and military annuities. Misleading Correspondence - correct answer ✔✔Debt collectors aren't allowed to give false information about you to anyone including a credit reporting agency- and they can't send you anything that looks like a court or government document if it isn't one. Conversely, they can't lead you to think that papers they send you aren't legal forms if they are. Right to Sue - correct answer ✔✔debt collectors break the law. Consumers can sue them individually or through a class action

FDCPA - correct answer ✔✔rules only apply to debt collectors, who either bought your debt from a lender or a third-party company that the lender hired to recoup owed money. Collecters - correct answer ✔✔may be collection agencies, attorneys that buy delinquent debt from creditors to collect.

• correct answer ✔✔and Creditors are know Rules for Contacting You - correct answer ✔✔Notifying debt collectors in writing to stop contacting you is your right, and creditors are still able to sue you if you fail to pay the debt. They can contact you to let you know a lawsuit is coming. Proving a Debt is Due - correct answer ✔✔Name of the creditor Amount owed Instructions on how to repay the debt This is called the validation notice and must be sent to the consumer within five days of initial contact. After that, you have 30 days to contact the debt collector-also by letter-and give reasons why you don't owe the debt or why the amount is incorrect. Sometimes a debtor owes money to several creditors, or more than one debt to a single creditor. Debts can also be resold multiple times, so the name of the creditor might Proving a debt is due - correct answer ✔✔Sometimes a debtor owes money to several creditors, or more than one debt to a single creditor. Debts can also be resold multiple times, so the name of the creditor might Proving the debt is due - correct answer ✔✔After valadation, you have 30 days to contact the debt collector-also by letter-and give reasons why you don't owe the debt or why the amount is incorrect. If the Debt Is Yours - correct answer ✔✔If you've already paid it, be sure to include a copy of the cancelled check or bank statement. If you contest the amount of the debt, verification should include information about payments made, and interest and fees charged and/or waived. If the Debt Stems from Identity Theft - correct answer ✔✔Include a copy of the police report regarding identity theft. If you fail to respond within 30 days (known as the validation period) to dispute the debt, it will be assumed to be valid.

After receiving your letter, - correct answer ✔✔debt collector may not renew attempts to reclaim the debt until it is verified, and proof of its legitimacy is sent to you. The verification must include: - correct answer ✔✔The amount of the debt The date it was supposedly incurred The name and address of the original creditor if different from the current one Proof that your account has been sold or assigned to the gollection agency Verification - correct answer ✔✔If the required information is not forthcoming, all attempts at collection must immediately cease. In-House Collectors Follow Different Rules - correct answer ✔✔there are loopholes for so-called in- house collections. An in-house collector is a branch of the bank, retailer or credit-card firm that originally made the loan or offered the credit line. Lenders often try to collect debts themselves in the early stages of a default, using their own collection agencies. The mini-Miranda clarification - correct answer ✔✔comes in updating protocol for legal pleadings and other communications, such as IRS 1099-C (cancellation of debt) forms. One of the new amendments states, "A communication in the form of a formal pleading in a civil action shalli not be treated as an initial communication." Also, communications that do not seek the payment of a debt, like 1099-C forms or Gramm-Leach-Bliley Act privacy notices, be considered an initial communication and will not require mini-Mirandas. What If a Debt Collector Sues Me? - correct answer ✔✔make sure you, or your lawyer, appear in court on the scheduled date. If you don't make an appearance, the judgment automatically goes against you and the collection agency will have a legal recourse to continue trying to collect. If a Debt Collector Sues Me? - correct answer ✔✔If you feel like the collection agency has violated the law, respond with your own lawsuit by the date specified in the court papers. This is important to preserve your rights. How to File a Complaint - correct answer ✔✔If a debt collector hasn't followed the FDCPA law, you can complain Complaints can be made to you state attorney general's office, the Federal Bureau.

How to File a Complaint - correct answer ✔✔If vou talk to one on the phone, write a note after the call describing what you discussed. If you write a letter, send it certified mail with a retum receipt. Keeping thorough records is the best way to document a violation. How to File a Complaint Actions Consumers Can Take Under the FDCPA - correct answer ✔✔You reserve the right to sue a collector in a state or federal court within one year from the date the law was alleged to be violated. How to File a Complaint - correct answer ✔✔If you prove that you suffered damages like lost wages or medical bills as a result of illegal collection practices, a judge can order the collector to pay to cover the damages. Actions Consumers Can Take Under the FDCPA - correct answer ✔✔Even if you can't prove actual damages, the judge can order the debt collector to pay you as much as $1,000. A group of people can sue as a class and potentially recover as much as $500,000, or 1% of the collector's net worth, whichever is lower. Actions Consumers Can Take Under the FDCPA - correct answer ✔✔keep records. A log of phone calls, voicemails, text messages and letters can be persuasive evidence to a judge or jury. Taken together, the records can show a pattern of behavior. The FTC advocates - correct answer ✔✔for consumers to prevent deceptive and unfair business practices. Many states have their own debt collection laws that may differ from and strengthen the federal Fair Debt Collection Practices Act FAIR CREDIT REPORTING ACT (furnisher steps) - correct answer ✔✔Conduct a reasonable investigation with respect to the disputed information Review all relevant supplementary documentation provided to the CRA by the consumer Complete the investigation and respond to the CRA within the time frame permitted for such investigations when initiated by a consumer through a consumer-reporting agency under § 611 of the FCRA (generally 30 days, unless a consumer provides additional relevant information after the start of an investigation (45 days in the latter Instance)

f the investigation determines that the disputed item of information is inaccurate, the data furnisher must correct the inaccuracy with each CRA to which the data furnisher has provided the inaccurate information 1f an item is determined to be inaccurate, incomplete, or unverifiable, the furnisher shall modify or delete the item in consumer report, or permanently block the reporting of that item. Two Important Duties of Data Furnishers under FCRA - correct answer ✔✔Duty to provide accurate information IS 1681s-2(a)] Duty to undertake an investigation upon receipt of notice of dispute from a consumer reporting agency (S 1681s-2(b))" FAIR DEBT COLLECTION PRACTICES ACT - correct answer ✔✔Under the FDCPA, a communication is defined as "the conveying of information regarding a debt directly or indirectly to any person through any medium." The communication involves the collection of a "debl" and must be between a "consumer" and a "debt collector" in order for the FDCPA to apply. (FDCPA) Congressional Purpose - correct answer ✔✔The Fair Debt Collection Practices Act (FDCPA) was enacted by Congress in 1977 to satisfy Congressional findings that there is "abundant evidence of the use of abusive, deceptive and unfair debt collection practices by many debt collectors which contributes to the number of personal bankruptcies, martial instability, loss of jobs and invasion of individual privacy."1 The FDCPA seeks to "eliminate abusive debt collection practices by debt collectors" and to promote consistent state action to protect consumers against debt collection