You can handle creditors by staying calm, knowing your rights under the FDCPA, and following a debt payoff plan.
Dealing With Creditors
Creditors can be persistent and difficult to deal with. They are trained to use emotional pressure to get paid. When you react emotionally, creditors may get paid before your mortgage or utility bills.
Stay calm and in control during every call. If a call becomes disrespectful, end it politely. Ask them to call back when they can speak to you respectfully.
Know Your Rights: The FDCPA
The Fair Debt Collection Practices Act (FDCPA) is a federal law. It protects you from abusive or unfair debt collection practices.
Under the FDCPA, debt collectors must follow these rules:
- Collectors must call between 8 a.m. and 9 p.m. your local time.
- They cannot call more than once every two weeks.
- They cannot harass, insult, or intimidate you.
- If they do, remind them of their obligations under the FDCPA.
- You can stop calls to your workplace by sending a certified letter with return receipt requested.
- In extreme cases, you can send a cease-and-desist letter.
- This asks them to stop all contact except for legal notices.
- Collectors cannot garnish your wages without first suing you and winning.
- They cannot take your bank account without a court judgment either.
- Note: Student loans in default are an exception to this rule.
How to Get Creditors Off Your Back
The best way to stop collector calls is to pay off your debt. Get on a plan and take control of your money. Pay off your debt on your own terms.