Debt collectors are forbidden from being dishonest with you in the process of trying to collect on a debt. There is a federal law known as the Fair Debt Collection Practices Act (FDCPA) which expressly prohibits debt collectors from engaging in any deceptive, misleading, or untruthful practices.

What is considered a false statement?

A debt collector may not falsely claim, or imply, any of the following:

“I am calling on behalf of the government”
Debt collectors may not dishonestly claim that they are government representatives. They are also forbidden from untruthfully representing themselves as attorneys.
“By failing to pay your debt, you have committed a criminal act”
A debt collector cannot claim that the act of not paying your debt is criminal.
“I work for one of the credit reporting companies.”
A credit reporting company is also known a credit bureau or a consumer reporting agency. These are companies that compile and sell credit reports. A debt collector may not indicate that he works for such a company.
“You will go to prison if you don’t pay”
A debt collector is not allowed to claim that you will be arrested or sent to prison if the debt is not paid.
“I am going to seize your property if you don’t pay”
A debt collector is only allowed to seize your property under specific legal conditions. A debt collector can not claim that they are going to garnish or seize your wages, bank account, or property under circumstances where they are not, in fact, legally allowed to do so.
“I sent you a legal document demanding payment”
If a document is not a legal document, a debt collector may not indicate that it is one.

What are additional lies, or deceptive practices, from which debt collectors are prohibited?

A debt collector is prohibited from falsifying the amount that you owe, or the status of your debt.
A debt collector may not indicate that they are going to take any action which would be prohibited by law.
A debt collector is not allowed to claim that they will take any action that is not actually intended to be taken.
Debt collectors can not send you a document that resembles an official court document, if it is not in fact an official court document.
Debt collectors can not send you a document that resembles an official government agency document, if it is not in fact an official government agency document.
A debt collector may not represent herself using a company name other than the real name of her debt collection company.

If you’re being contacted by debt collectors, and you feel the debt collector is saying or doing anything untrue, misleading, or deceptive, please contact us to discuss the situation further. If we agree to handle your case, you only pay us when you win your case or from your negotiated settlement. For a better understanding of the damages you may be entitled to and a Free Case Evaluation, please contact our attorneys now at 952-295-3935 or fill out the Free Case Evaluation Form.

Tagged as: Consumer Protection Law, Debt Collector Lies, FDCPA