The Federal Trade Commission has settled a ruling for collectors who intend to recover the debts of the deceased, giving them permission to contact the friends and family of the deceased.
Under the Fair Debt Collection Practices Act, contact with the attorney, spouse, parent or guardian of the deceased are permitted. The other relatives and friends are not obligated to help settle the debt of the deceased person.
Collectors are also given the permission to call the debtor’s estate executor or administrate to collect dues. The Federal Trade Commission said that there are some states that are less lenient in naming an executor which has posed a challenge for debt collectors to contact with the person in charge for debts.
According to the FTC commissioner Julie Brill, “A consumer in this vulnerable condition may mistakenly identify himself as the person with whom the debt collector should be speaking. Worse still, he may end up feeling as if he has an obligation -- legal, moral or otherwise -- to pay the debt from personal funds, even though debt collectors cannot legally ask him to do so. Without a reasonable and narrowly defined safe harbor, a debt collector's alternative may be to force the appointment of an executor or administrator, which could be costly and time consuming for decedent's relatives and the estate.”
The FTC has imposed that the debt collectors should follow such restrictions on the ruling most especially on the proper ways to connect with the friends and family of the deceased to collect debts.
Tags: act contact, debt collectors, Collection agency, collection practices act, proper ways
What didn't happen? I somehow got $120 in overdraft charges (which is less than I originally thought) that will not be reversed, and then a debt collector I'm paying back took $100 out. That leaves me with a total of $40. Annnnd I'm not getting scheduled anymore than 24/hrs a week which means I'm making a whole lot of nothing and I have a vacation in two weeks and I'm just kind of freaking out about money and my life sucks.
Sorry to be emo
Although debt collection agencies resort to a number of unsavory tactics when attempting to collect debts, they aren’t above the law. In fact, the federal Fair Debt Collection Practices Act (FDCPA) specifically outlines behaviors that are prohibited. These include embarrassing you by sending you postcards, calling your friends and family members and disclosing that they’re trying to collect a debt, and calling you late at night or early in the morning.
As the FTC gathers comments on its proposed privacy rules, including a “Do Not Track” proposal, FTC Commissioner Julie Brill told a crowd of privacy researchers and policy wonks gathered at UC Berkeley that her agency was willing to go to Congress if online advertisers and analytics companies don’t clean up their act.
What's the answer to debt collection?
It's not a valid debt without valid service. Valid service = hand delivery of ticket.
If they send you to collection without establishing valid service and they continue to try to collect the debt after you dispute it, not only should you win the dispute, but you may have a claim for violation(s) of the fair debt collection act.
It is a very stressful time for any Homeowner who is under the pressure of Mortgage Foreclosure. The uncertainty surrounding the storm of unwanted phone calls, junk mail, debt collectors, and unannounced visits from intrusive strangers is overwhelming. Who can you trust?Below I have left some helpful blogs and other resources available to Homeowners on the