Credit Card Lawsuit Defense: Facts About Collection Laws

The Fair Credit And Fair Debt Collection Practices Act provide protection against abusive debt collectors against dirty collection tactics including outright threats, intimidation, incessant phone calls, and other techniques formerly used to satisfy a debt. With this act, mean-spirited debt collectors can now be held responsible for their nasty collection efforts.

One example is the usual practice of debt collectors of asking a debtor's bank account or card details when collecting debts. A few years ago, consumers have no choice but to give the information but thanks to FDCPA, they can now refuse to take phone calls. When a debt agent gets in touch with you, you are given a month to question the debt as well as make the collector prove that you own the debt. During this time, they are forced to stop all collection efforts and present documented proof that the unpaid balance is indeed, yours. If they cannot present proof of the debt's ownership, the lack of evidence can e used for credit card lawsuit defense.

In addition, collection laws now prevent collectors from interacting with the debtors. Collection agencies are prohibited from using vulgarities, threats, and obscenities to repay a debt. They can no longer berate, belittle, or humiliate a person into paying the debt. They can no longer give empty threats to people around you once you are not able to repay the debt and they cannot threaten you that they will file a credit card lawsuit or take your income unless they obtain the right to legally do these. These laws make great credit card lawsuit defense against obnoxious collection agencies and agents.

Debtors no longer need be a victim of incessant phone calls by a collection agency. By filing a Cease and Desist letter, you will stop these unwanted phone calls. Just make sure you send the order by certified mail with no return receipt requested. If they ignored this, they are in violation of the mandated credit card collection laws in your state.

In the past, collection agencies and collection agents will not hesitate contacting a debtor's family, neighbors, friends and even employers in an effort to humiliate the debtor into paying the debt. Today, they can no longer contact any person close to you and instead, they are only allowed to send correspondence from a third party mediator to get in touch with you. They cannot discuss your situation with them. In addition, they are also prohibited from any contacts with your friends, family colleagues, neighbors or employer unless the mediator specifically asks a call back.

It's important to learn the right credit card lawsuit defense before and after a lawsuit. You cannot simply allow debt collectors into providing all the information they need because you have the right to pursue them legally if they violate the law. So don't be a victim. Learn more about consumer act, your local laws, and other credit card lawsuit defenses that will help your cause.