Q: What are the most common FDCPA violations?
The most common FDCPA violations by debt collectors include harassing or abusive tactics, misrepresenting debts, and failing to validate debts. Other common violations include calling outside allowed hours and pursuing time-barred debts (filing a lawsuit for a debt past the statute of limitations).
Q: What is a statute of limitations on debt?
A “statute of limitations” refers to the limited timeframe during which creditors or debt collectors can legally file a lawsuit to recover an unpaid debt. Many statutes of limitations fall within three to ten years, though the exact timeframe varies. Written contracts, oral contracts, promissory notes, and open-ended accounts can all have different statutes of limitations. Once the statute of limitations expires, the debt becomes “time-barred”, meaning creditors lose the right to sue—however, they may still attempt to collect through other means.
Q: Is hiring a debt collection lawyer worth it?
Yes. Hiring a debt collection lawyer increases the likelihood of settling a debt or getting a collection lawsuit dismissed due to their legal expertise, negotiation skills, and ability to enforce the law. Lawyers use their knowledge of laws like the FDCPA to negotiate favorable settlements, halt harassment, and defend against lawsuits, which many debtors can’t handle on their own. Without legal representation, you might inadvertently make decisions that hurt your case, such as admitting to the debt, agreeing to unreasonable terms, or missing crucial deadlines. Having a lawyer handle the legal aspects of your case can give you peace of mind and ensure that you are following the proper procedures to protect yourself.
Q: Should I file for bankruptcy?
Bankruptcy is one way to stop debt collector harassment. Filing for bankruptcy provides immediate relief from debt collector harassment through the automatic stay, an injunction that halts nearly all collection activities upon filing. This legal protection stops creditors from making harassing calls, sending letters, pursuing lawsuits, garnishing wages, or repossessing property. In addition, many debts can be eliminated through the bankruptcy process.Whether filing for bankruptcy is the best way to deal with your debts depends on your specific circumstances. If your debt situation is severe, a lawyer can help you determine whether bankruptcy is a viable option to eliminate or restructure your debt.