Additionally, if the collection agency includes language demanding that the debt be paid immediately, you may be entitled to a claim under the FDCPA. The collection agency is also required to provide language in their written correspondence regarding your 30 day time frame to dispute the debt. If you believe you have received a collection letter that is missing essential information concerning the debt or if there is language that appears to demand money sooner than or in contradiction to your 30 day period to dispute the validity of the debt, please contact us at 866-339-1156 to find out if you have grounds for a claim.

-Jonathan H.

Smith Dean & Associates, a collection agency located in Florida, has filed a Chapter 11 Bankruptcy.

Fairdebthelpers has recovered several judgments against this collection agency and apparently they would rather go out of business than pay THEIR debts.

Shame on you, Debt Collector!

Consumer complaints against debt collection agencies accounted for over 11% of the total complaints filed with the Federal Trade Commission (FTC) in 2010. With this sharp rise in the level of debt collection harassment complaints, the federal government created the Consumer Financial Protection Bureau (CFPB) to oversee the regulation of third party debt collection agencies, their practices, and the law that governs their interactions with consumers. That law is called the Fair Debt Collection Practices Act (FDCPA). In the past, the FTC has been unwilling or unable to adequately enforce the provisions of the FDCPA and this task of standing up for consumers now passes to the CFPB. However, an aggressive lobbying effort on behalf of debt collection corporations and creditors has sought to limit the power of the CFPB to strengthen and enforce consumer protection laws such as the FDCPA. If the government fails to protect consumers, to whom can they turn?

Due to the FDCPA’s inclusion of private rights of action by consumers against harassing third-party debt collectors, the consumers themselves can stand up for their own rights. If you are threatened with lawsuit, garnishment, or arrest, you may have been subject to illegal debt collection activity. If you receive calls from a collection agency at work after a request to stop you may have a case against that agency. If you’ve retained an attorney to file bankruptcy, explained this to the debt collector and continue to receive calls, the debt collector is violating the law. If your friends, relatives, or co-workers are receiving calls from a collection agency looking for you, you can get these calls to cease.

The first step a consumer should take when being harassed by a debt collector is to keep a record of everything. Names, dates, telephone numbers, account numbers, and any threats received should be written down. All mailings, court documents, and voicemails should be saved. The next step is to contact a competent consumer rights attorney who specializes in Fair Debt Collection Practices Act cases. Fill out the free case evaluation on this website and you can find out if you have been subject to illegal debt collection activity. You may recover damages from these collection agencies as a result of their illegal activity.

You can also contact the CFPB at www.consumerfinance.gov and let them know you want the protections under the FDCPA to be strengthened to include higher damage awards for consumers and application of the FDCPA to include original creditors.

-Nicholas Prola, Esq.

Have you received a call from a company alleging that you owe a debt that you don’t?

Have you been threatened with lawsuits, warrants, garnishments, etc. from a company that you can’t find online?

Has a company called you with “official words” in their company name? (Affidavit Processing, Federal Investigative Unit, National Collection Security Department, etc.)

Something rather interesting has been taking place in the last few months.  Somehow, companies are obtaining information about consumers and are using that information to convince the consumer that the company is a debt collector and the consumer owes the company money.  I’m still uncertain how they are stealing this data but I’ve spoken to endless consumers that inform me that they’ve paid a certain “bill” and later realize that the company they paid wasn’t even hired by the creditor. 

Bottom Line:  Please ensure that the company that you pay is actually the company you owe.  Ask for verification of debt and for verification that they were hired by the creditor to collect the debt.