debt

FDCPA

The Fair Debt Collection Practices Act — federal law limiting what debt collectors can do, when they can call, and what they can say.

Example

Under the FDCPA collectors cannot call before 8am or after 9pm or use threatening language.

Memory Tip

FDCPA — your legal shield against abusive collection tactics.

Why It Matters

Understanding the FDCPA protects you from harassment and abusive collection practices. Knowing your rights under this law helps you recognize illegal debt collection tactics and take action if collectors violate the rules, potentially saving you money through legal remedies.

Common Misconception

Many people believe that debt collectors can call them anytime of day or night, but the FDCPA actually restricts calls to between 8 AM and 9 PM in your local time zone. Collectors also cannot call you at work if your employer prohibits it, even if they have your work number.

In Practice

Imagine a debt collector calls you repeatedly multiple times per day about a $3,000 credit card debt. Under the FDCPA, you can send a written request to stop all communication, and the collector must honor it within 30 days. If they continue calling after receiving your cease and desist letter, you could sue them for damages up to $1,000 plus actual harm you suffered.

Etymology

Enacted in 1977 to protect consumers from abusive debt collection tactics.

Common Misspellings

F.D.C.P.Afdcpafair debt collection
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Related Terms

debt collectorcollectionsdebtcredit

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