According to my understanding of current court law and laws, it is perfectly legitimate for debt collectors to block their phone numbers.
The court stated in Glover v. Client Services 2007 WL 2902209 that a collector might phone a blocked number.
In sum, the Court finds that simply “blocking” a telephone number, as alleged in this case, cannot be considered unfair or unconscionable under the FDCPA as a matter of law, given the admittedly non-exclusive examples of “unfair” or “unconscionable” conduct identified in the statute, as well as the purposes underlying Congress’ passage of the FDCPA.
Collectors do it because it’s not illegal, and it’s more frightening to get a call from a blocked number.
The Debt Collector Is Harassing You
Debt collectors are prohibited from phoning you frequently, using vulgar language, making threats, or otherwise harassing you under the FDCPA. Sending a cease and desist letter to a debt collector who is continually calling you and causing you stress can stop the collector from pestering you.
Keep in mind, however, that if the debt collector continues to act in this manner, you have a number of additional choices, including:
The Statute of Limitations Has Expired
When you default on a loan, the creditor has a certain period of time to launch a lawsuit to recover the obligation. The “statute of limitations” is the legal term for this time constraint. The length of the statute of limitations is usually determined by state legislation. The creditor cannot sue you to collect the debt once the statute of limitations has passed.
However, some activities, such as making a partial payment or promising to pay, may cause the statute of limitations clock to restart. You also owe the bill even though the statue of limitations has expired. So, even though it can’t sue you, a debt collector can nonetheless approach you to collect the debt.
If you’re certain the statute of limitations has run out, it could be a good idea to submit a cease and desist letter to the collection agency.
Some states, like California, require debt collectors to notify debtors when the statue of limitations for a particular debt has expired.
Do debt collectors use no caller ID?
It is a form of harassment or abuse, according to the FDCPA (15 U.S.C. 1692d(6)), when a debt collector fails to divulge their identity in a phone call. When calling debt collectors, courts have ruled that they must reveal their name and the company for which they work. It’s not enough for a debt collector to leave a note indicating they’re from if you’ve never dealt with one before “The American Chemical Society.” They have to mention anything “Aardvark Collection Service is a company that collects aardvarks.
We’re all used to getting phone calls that say one of two things: “There is no Caller ID.” When a debt collector blocks their phone number so it doesn’t show up on Caller ID, it’s not a violation of the FDCPA. This provision of legislation, however, is violated if a debt collector uses a false name on their Caller ID.
A debt collector may choose to use a false name so that consumers will not be able to trace them down. The use of aliases by collectors has been the subject of inconsistent judgements from the courts and the Federal Trade Commission. A debt collector who uses the same alias on a regular basis appears to be more in compliance with the law than one who employs a range of aliases.
A different portion of the FDCPA (15 U.S.C. 1692e(14)) bans a debt collector from misrepresenting their affiliation with one corporation or group while actually working for another. If the debt collector works for Aardvark Collection Service, for example, they can’t claim to be phoning from Acme Debt Relief Organization. Another clause (15 U.S.C. 1692e(16)) makes it illegal for a debt collector to say they’re phoning from a consumer reporting agency or a credit bureau, or to use the terms “Credit Bureau” should not be used in the name of a debt collection business since it may deceive you.
Common Scenarios:
A consumer owing a debt and is unable to repay it at the present moment. He or she receives a call from a creditor or debt collector requesting payment. The consumer informs the collection agency’s collection representative that he or she does not have the funds and will be unable to pay for the following month. The collection agency informs the consumer that it will contact them again in a month to request payment. At that time, the consumer believes they are no longer being harassed by collection agencies. However, two hours later, he or she receives a call from the same collection agency demanding payment once more. The customer tells the collection agent that he or she just got a call that day and told the previous collection agent that a payment couldn’t be made right now, but that it would be possible next month. The debt collector claims it will contact you next month. Now the customer is convinced that he or she will not receive any calls for the next month. However, the same collection agency makes another call to the consumer a few hours later. This time, the customer is irritated and refuses to pick up the phone. The next day, the customer receives three or more calls from a creditor or debt collector attempting to collect a debt, and this pattern repeats itself each day.
This, in my opinion, is the type of aggressive and frequent collection calls that the FDCPA and RFDCPA are designed to prevent.
What debt collectors Cannot do?
You cannot be harassed or abused by debt collectors. They are not allowed to swear, threaten you or your property with illegal harm, threaten you with illegal activities, or falsely threaten you with actions they do not intend to take. They also can’t phone you repeatedly in a short amount of time to annoy or harass you.
Debt collectors are not allowed to make false or misleading claims. They can’t, for example, lie about the debt they’re trying to collect or the fact that they’re trying to collect it, and they can’t use phrases or symbols in their communications to you that make them appear to be from an attorney, court, or government agency.
Debt collectors are not permitted to contact you at inconvenient or odd times or locations. They may call between the hours of 8 a.m. and 9 p.m., but you may request that they call at a different time if those hours are difficult for you.
Debt collectors are permitted to send you notices or letters, but the envelopes must not contain information about your debt or any information meant to embarrass you.
You can ask a debt collector to only contact you by mail or through your attorney, or you can put other restrictions in place. Make sure your request is in writing, that it is sent certified mail with a return receipt, and that you preserve a copy of the letter and receipt. You also have the right to request that a debt collector cease all communication with you. If you do this, the debt collector can only contact you to affirm that it will stop contacting you and to warn you that it may file a lawsuit or take other legal action against you. Remember that even if you urge a debt collector to cease contacting you, the debt collector may still sue you and disclose your debt to credit reporting agencies, damaging your credit.
See Debt Collector Contacting Your Employer or Other People for information on when a debt collector can contact your employer or other people.
Can a debt collector contact anyone else about my debt?
Debt collectors are limited in what they can say or inquire about you. In most cases, a debt collector can only contact other people to find out:
Debt collectors aren’t allowed to contact you more than once, and they can’t claim to be trying to collect a debt. A debt collector is generally prohibited from discussing your debt with anyone other than:
If the debt collector is aware that you are being represented by an attorney over the debt, the debt collector must contact the attorney rather than you. If your attorney fails to respond to the collector within a reasonable time or if your attorney agrees to the collector’s communication, the debt collector may contact you.
Tip: The Consumer Financial Protection Bureau (CFPB) has created sample letters that a consumer can use to respond to a debt collector attempting to recover a debt. The letters come with instructions on how to utilize them. The sample letters may assist you in obtaining information, establishing boundaries or stopping further communication, or exercising some of your rights.
- If your company forbids you from receiving personal calls at work, you should inform the debt collector.
- If a debt collector knows that you are not permitted to receive calls from them at work, the debt collector is not permitted to call you there.
- If a debt collector contacts your place of business, you should speak with the person who answered the phone to find out what the debt collector said. A debt collector is not allowed to inform your employer that you owe money. If a debt collector has informed your employer that you owe a bill, you should see an attorney to learn more about your options.
If you’re encountering problems with debt collection, you can file a complaint with the Consumer Financial Protection Bureau (CFPB) online or by calling (855) 411-CFPB (2372).
What rights do debt collectors have?
Debt collectors do not have any specific legal authority. You may feel compelled to pay more than you can afford, but you are not in any danger. Debt collectors may be employed by your creditor or by a third-party debt collection firm. They’re also known as field agents or doorstep collectors.
What should you not say to debt collectors?
It’s also critical to keep track of what you shouldn’t discuss with debt collectors during the collection process. The following are three things you should never tell a debt collector:
Never Give Them Your Personal Information
The agent will request personal information in order to verify your identity and debt ownership.
You are not required to respond to these questions. Instead, request that the agent exclusively communicate with you by email.
Never Admit That The Debt Is Yours
There’s no reason to do this, and it could get you in hot water later if you try to dispute the amount as erroneous on your credit report.
Many old debts have bogus interest charges that you aren’t required to pay, but debt collectors will try to collect nevertheless.
It’s advisable to hang up after telling the collection agent to provide you the information in writing. You have the legal right to do so, and we’ll get to that in a moment.
Never Provide Bank Account Information
While you’re on the phone with a debt collector, they’ll try to persuade you to make a payment, even if it’s a tiny one. To complete the transaction, the agent will need your bank account or credit card details. It may appear to be a simple and quick way to end the call and get off the phone. However, this can lead to a number of serious issues:
- You Lose Leverage: Your payment is your leverage when it comes to dealing with debt collectors in the future. So don’t pay too soon and lose your most valuable bargaining chip. Save it for a time when you can get something in exchange, such as requesting that the creditor remove negative items from your credit report in exchange for a payment.
- You Share Account Information: The agent may claim that he or she will not keep your bank account or credit card information on file. You, on the other hand, have no way of knowing whether or not this is true. Additionally, debt collectors have charged you more than you committed to pay.
- The Statute of Limitations on the Obligation is Reset: Making a payment resets the statute of limitations on the debt. This provides the creditor additional time to file a lawsuit against you for losses.
It’s fine if you wish to pay off the debt or sign a payment plan, especially if it’s part of a larger debt management strategy. But first, acquire a written agreement.
How often can debt collectors call?
The Fair Debt Collection Methods Act (FDCPA) was passed to protect borrowers from unfair and abusive debt collection practices. The FDCPA does not set a limit on how many times a debt collector can contact you. It does, however, place some limitations on how a debt collector can engage with you.
A debt collector is presumed to be in violation of federal law if it places telephone calls to a specific person in connection with the collection of a specific debt in either of the following circumstances, according to a final rule that takes effect in late 2021 and amends Regulation F, which implements the FDCPA.
- The debt collector calls within seven days of speaking with you on the phone about the debt. The first day of the seven-day period is the date of the telephone discussion. (See 12 C.F.R. 1006.14)
This restriction applies to each individual loan, not to each individual customer. As a result, if you owe on multiple loans, a debt collector may contact you more frequently. There are three exceptions to this telephone call frequency limit:
- Calls made to certain professionals, such as your lawyer. 12 CFR 1006.14(b)(3)
Who Has to Comply With the FDCPA?
The FDCPA primarily applies to debt collectors, which are defined as third parties who collect debts owing to another person or corporation. In other situations, however, a debt buyer may be required to follow the law, such as when purchasing a home.
How long until debt collectors stop calling?
A statute of limitations is a legislation that specifies the time period during which a creditor or collector may sue debtors to collect debts in each jurisdiction. They usually endure between four and six years after the last payment on the obligation was made in most jurisdictions. This means that if you’ve made a payment in the recent four to six years, you may be able to collect on a debt that’s older than that.
Once a debt has passed the statute of limitations in several areas, a collection agency is prohibited from attempting to collect at all. They can’t sue you in other states, but they can still try to collect the debt through phone calls and written demands.
Some debt buyers—companies that buy and try to collect extremely old debts—continue to pursue borrowers and may even go to court. They may have broken the Fair Debt Collection Practices Act if they do this knowing the debt is past the statute of limitations. They also know that most borrowers who are sued for previous debts will fail to appear in court, resulting in a default judgment from the judge.
What’s considered harassment from creditors?
Creditor harassment is any sort of unwelcome and repetitive contact from a creditor or debt collection agency that irritates, frightens, or threatens you.
Can a debt collector call my family?
Debt collectors are permitted by law to contact your friends or family in an attempt to locate you. However, they are not permitted to contact these individuals in an attempt to collect the debt, and they are only permitted to contact them once unless they believe fresh information may be available. This, however, necessitates the individual answering and informing the collector that they are not the debtor.
You can tell the collector if the collector is calling about a friend or family member who has died away. If you have such information, you can also direct them to the estate executor, but you don’t have to.
File a Complaint With the FTC
While the FDCPA spells out a lot of what a debt collector can and can’t do, not all debt collectors adhere to the guidelines. If the collector has been advised that you are not the debtor and they continue to phone, you may need to file a complaint with the Federal Trade Commission and maybe your state attorney general’s office to get them to stop.
Get Legal Help
While reporting the Federal Trade Commission and the Attorney General’s Office is normally the last resort, extreme instances may necessitate legal action. If you’re unsure if you have legal basis for a harassment claim or can’t get the calls to stop, speaking with a consumer law attorney may be beneficial.
Avoid Common Mistakes
Never offer your personal information to a debt collector. Scammers may act as debt collectors, and providing them with this information might lead to crimes such as identity theft or credit card fraud. It’s also a bad idea to lose your cool or become enraged. These phone calls might be aggravating. However, bear in mind that the person on the other end of the line is only trying to perform their job, and losing your cool isn’t going to help.
Can you go to jail for debt?
Not being able to satisfy payment responsibilities can cause anxiety and stress, but in most situations, you will not be sentenced to prison if you are unable to repay your debts.
You cannot be jailed or imprisoned just because you owe money on a credit card or a student loan. However, if you haven’t paid your taxes or child support, you may have cause for concern.
