Speak for your rights, and do not fall under the trap of faulty debt collectors!

Do not panic and divulge any personal details over the phone or online when you receive any inquiry from a debt collector company. However, it can get overwhelming when you get a call from a debt collector – but it is imperative to understand that every state has unique laws that protect the consumer’s rights to ensure that debt collection is fair. 

The Fair Debt Collection Practices Act (FDCPA) is a body to protect the consumer’s rights. If you think that a debt collector is exploiting you at any point in time, file a complaint against the body with the Federal Trade Commission (FTC). The FDCPA supports the consumers from harassing and misleading debt collectors. Every state in the USA has a unique set of regulations, and it is crucial to understand and abide by the same. 

Vital federal laws – Michigan debt collection

When you are living in Michigan, you must abide by both federal and local laws. It is difficult to understand all the legal formalities, and therefore, hiring a professional team of attorneys can sort this for you. You do not want to violate any state or federal law and end up in legal complications. Some of the significant Michigan laws are:

• The Worker’s Disability Compensation Act of 1969.
• The Regulation of Collection Practices Act of 1981.
• The Uniform Commercial Code of Michigan.
• The Occupational Code – Act 299 of 1980.
• The Revised Judicature Act of 1961.

All the above laws are either related to Michigan state law or debt collection. It is imperative to know that the collection agency may not be aware of all the regulations but, you can always seek help from the debt collection lawyers.

FDCPA is always there to protect you

• You can limit the time of contact by the debt collectors.
• You can limit the place of contact by the debt collection agency.
• The debt collectors cannot contact you or your solicitor without seeking permission from the court. 
• The court forbids the debt collector from harassing language, obscene remarks, threatening behavior, and repeated calls.
• You can altogether remove the debt collectors from your contact list.
• Debt collection agencies cannot portray you as an attorney or legal bodies to get money from you. No false representation is legit.
• You can see written notice from the debt collectors before receiving any legal lawsuit.

Seek for statute of limitations on debts

A statute of limitations is the time a debtor gets to pay off the loan amount. It is a time limit both creditors and debt collectors can use to file a legal case for debt recovery. Most of the statute of limitations are for three to six years; however, some states in the USA have extensions also depending on the type of debts. The factors that determine the extension period are:

• State laws.
• Type of debt.
• Mention of state law in the credit agreement.

You do not have to experience harassment or pressure from any debt collection agency. Always hire legal experts to deal with the complications of federal or state laws.