Debt collection acts protect Texans against creditor harassment

April 30, 2013

Debt collection acts protect Texans against creditor harassment

Article provided by Mastriani Law Firm, PC
Visit us at http://www.texasdebtdefense.com

Living with more debt than you can afford can add a lot of strain to daily life. When struggling to make ends meet, harassing phone calls and letters from credit card companies, debt collectors and collection agencies can make it even worse. Sometimes debt collectors may make threats or take certain actions that are prohibited by law, though, and they should be stopped. The Texas Debt Collection Act and the Fair Debt Collection Practices Act regulate the behavior of debt collectors in Texas, and violators can be taken to court for their improper actions.

The Texas Debt Collection Act

The Texas Debt Collection Act prohibits debt collectors from using fraudulent or abusive tactics in order to obtain payment on an outstanding debt. The statute declares that debt collectors may not use improper threats or coercion such as:
-Using or threatening violence or criminal action to harm a person or property
-Falsely accusing or threatening to falsely accuse someone of fraud or another crime over the debt
-Threatening that the individual will be arrested for nonpayment of the debt without proper court proceedings

In addition, in their interaction with someone who owes the debt, debt collectors may not:
-Use profane or obscene language with the individual
-Make anonymous, repeated or continuous harassing phone calls
-Use a fake name or misrepresent themselves to the individual

The Fair Debt Collection Practices Act

The Fair Debt Collection Practices Act (FDCPA) also protects consumers against irresponsible and illegal debt collection tactics. This federal statute regulates the behavior of debt collection agencies and attorneys hired to collect a debt. Similar to the Texas Debt Collection Act, the FDCPA also prohibits debt collectors from:
-Using or threatening violence or harm
-Making false statements about the debt owed
-Threatening arrest if the debt is not paid

Some debt collectors may threaten to take your home or have your wages garnished for medical debt or credit card debt. If your home has been declared a homestead in Texas, however, debt collectors cannot take your home to pay a debt unless the debt was obtained to buy or improve the home (a mortgage) or to pay certain taxes. Further, your wages can only be garnished to pay debt owed for child support, student loans or taxes.

Under both debt collection acts, consumers who dispute the debt owed must write the collector or agency informing them of the dispute. Then the collector is required to stop making contact.

There are several ways to defend against creditor harassment, and contacting an attorney is a powerful first step. Don't let debt collectors harass or abuse you when it is illegal to do so. Contact an attorney with experience in creditor harassment defense to put a stop to their troublesome debt collection activity.