I’ve been asked by a few clients whether or not it was a violation of the FDCPA for debt collectors to contact them on Thanksgiving.  The general answer is, “Yes, if you tell them not to call you on Thanksgiving.” The FDCPA prohibits debt collectors from collecting debts at any unusual time known or should be known to be inconvenient to the consumer.  Because America is full of many diverse religions, it might be a stretch to say the debt collectors should have known a certain religious holiday was inconvenient for a particular consumer.  As such, if you don’t want to receive collection calls on a particular day for religious or any other reasons, its safest to request, in advance, that the debt collectors not call you on that day.  The same goes for Sundays.  Debt collectors are allowed to contact you on Sundays unless you tell them it is inconvenient for you to receive calls from them on Sundays.  If you receive a call from a debt collector on a certain day where you’ve informed them not to contact you, call us at 866-339-1156.  We will go after the debt collector and make their harassment inconvenient for them.

Jeffrey Hyslip

I engage in a lot of dicussion with the folks on the other side of the aisle (Collection Attorneys).  During these discussions its often brought up that Collection Agencies are currently struggling to turn a profit.  With the recent downturn of our Country’s economic stability people often assume that Collection Agencies are making a killing since there are so many accounts these days that are going unpaid.  However, the exact opposite is actually taking place.  Although there are more accounts in collections, the average consumer has less money to actually pay off these accounts.  If collectors can’t get paid, then they don’t make anything on that account.  If they don’t make money, they eventually have to close their doors.

I’m finding that many of my FDCPA settlements are currently going unpaid.  I settle the case with XYZ agency and the money never arrives.  When I check up on the agency (using my former debt collection tactics) I find that the agency has either closed their doors or has filed Bankruptcy.  The economic crunch is hitting everyone; even those that collect debts.

I’m also finding that Collection Agencies are getting more aggressive when collecting debts.  I don’t know if the pressure is coming from the top of the organizations or if it is the individual collectors feeling the pressure due to their inability to collect debt like they used to.  Regardless, its apparent that these debt collectors know that if they are unable to collect, eventually they will be fired (either as a result of their lack of performance, or because their company closes its doors).

The next time you are getting harassed by a collection agent, tell them that you read the Fairdebthelpers.com blog and it stated that many collection agencies are closing their doors.  Tell the collector that they better start treating you with respect.  After all, what goes around comes around and if the last few weeks are any indicator, its extremely possible that the debt collector that is currently harassing you will eventually be unemployed and on the receiving end of debt collection calls.

Oh, and by the way, I am not a debt collector attempting to collect a debt.

Jeffrey Hyslip

As I’ve covered already, it is a violation of the FDCPA for Debt Collectors to disclose to other people that a consumer owes a debt. Although Debt Collectors are prohibited from disclosing the call is regarding a debt when communicating with third parties, when communicating with the consumer, they must disclose their identity, state that they are a Debt Collector attempting to collect a debt and that any information obtained will be used for that purpose. An interesting situation arises where a Debt Collector leaves a message on a voice mail or answering machine. If they disclose that they are a debt collector and a third party overhears the recording they have violated the FDCPA. If they don’t disclose they are a debt collector, then they violate the FDCPA. Attorneys for Debt Collectors often argue that this is a “Catch-22″. However, Consumer Attorneys are troubled at the possibility of a Debt Collector leaving a message on a consumer’s home answering machine and the message later being heard by a third party.

A recent Order Denying a Debt Collector’s Motion to Dismiss in a FDCPA lawsuit explains how this plays out in a situation where a Debt Collector leaves a message on a consumer’s answering machine. In Berg v. Merchants Association Collection Division, the Court denied the Debt Collector’s Motion to dismiss the law suit. The Debt Collectors argued that the message they were currently using didn’t violate the FDCPA because it demanded that if it was being listened to by someone other than the consumer that the person listening terminate the telephone call. After a brief pause, the debt collectors disclosed that they were a debt collector as required by the FDCPA. The plaintiffs in this lawsuit claimed that this message was overheard by a third party and therefore the Defendant violated the FDCPA.

In explaining its refusal to dismiss the law suit, the Court stated that although a “Catch-22″ might be present, Debt Collectors could solve the problem by not leaving messages on answering machines. The Court, citing Russell v. Equifax A.R.S., stated that “Debt Collectors have no entitlement to use automated messages to reach debtors, and courts have no obligation to harmonize different provisions of the FDCPA so that debt collectors may use an inherently risky method of communication.” The Court went on to conclude that, “Debt Collectors have other methods to reach debtors including postal mail, in-person contact, and speaking directly by telephone.”

So, as it stands now, there is an available cause of action if Debt Collectors have called you and left a message on your answering machine disclosing that you owe a debt if the message is overheard by another person. If this has happened to you, please contact us at 866-339-1156. We may be able to represent you and help you get the Justice you deserve.

Jeffrey Hyslip

Happy Thanksgiving from Fairdebthelpers.com!