The debt collection industry has never been busier than it has in the past few years. Whether they are actually making money is a different story. However, CBS news reports that the number of consumers complaining about debt collector abuse has been growing. The Federal Trade Commission, the government watch dog agency overseeing consumer affairs and matters, has been fining collection agencies right and left. It has levied over 100,000 fines last year, alone.
Lawsuits against debt collectors has risen as well. More than 8,200 lawsuits were filed against debt collectors last year, up over 60% from the previous year, reports CBS News. This trend is growing.
There are laws that prohibit such harassment such as the federal Fair Debt Collection Practices Act (“FDCPA”). In my experience as a consumer lawyer, as soon as a client hires us, we send out a cease and desist letter by fax and email to the collection agency and the harassment stop immediately. It’s almost funny because you can actually sense the debt collector’s fear that he is going to be sued pretty quickly.
Debt collectors hate getting sued not just because it is going to cost them money and not just because they are usually made to pay the debtor money, but because many times, their client gets brought into the lawsuit either by way of discovery or as a party. Its embarrassing to the debt collector and the collection agency to be sued while working for a client.
If you have been harassed or bullied by a debt collector, or if your credit report is inaccurate and the credit reporting agency will not fix it, email Attorney Gary Nitzkin or call toll free (888) 293-2882. For more information about our firm, visit our website, Michigan Consumer Credit Lawyers. We have a lot of good information including short “how to” videos that you will find useful.