Bankruptcy rules ending creditor harassment in Oklahoma protect consumers from predatory lenders. Creditor harassment is a significant issue for the Federal Trade Commission and other federal agencies that safeguard people’s rights. They receive countless complaints about companies who are relentless in their calls, emails, and texts about collecting on debts. Due to these complaints and the continual harassment of some creditors’ calls and contacts, laws have been enacted to stop creditor harassment. Our bankruptcy professionals understand it can be challenging if you are dealing with excess debts, and we want to help ensure that you do not fall victim to harassing phone creditor behaviors.
Types Of Creditor Harassment
Many types of harassment that individuals have had to deal with and have filed complaints about are clearly above and beyond what would be considered normal professional behavior. The complaints which caused the legislature to enact legislation and rules in Oklahoma to prevent companies from harassing consumers include:
- Lying about the status of the debt
- Failing to provide documentation about the debt and the correct amount due
- Failing to tell the consumer their rights regarding the debt
- Continuous calls from creditors at all hours, even during the night, with threats
- Threatening wage garnishments
Many consumers experienced harassment for multiple months with little recourse before the Fair Debt Collection Practices Act was created.
Fair Debt Collection Practices Act
The Fair Debt Collection Practices Act (FDCPA) was written to help consumers who were victims of abusive debt collection tactics. The FDCPA applies to creditors, debt collection agencies and other third-party debt collectors hired by creditors. The FDCA specifically protects people before and after filing either chapter 7 or chapter 13 bankruptcy protection.
Under the FDCPA, a new agency was created to help address the complaints and enforce the penalties against creditors who violate the act. This agency is called the Consumer Financial Protection Bureau (CFPB). They now have the responsibility of enforcing the FDCPA and creating new rules.
What The FDCPA Prevents
The FDCPA has numerous guidelines that creditors who are collecting debts must follow. The act prevents creditors from calling before 8:00 am and after 9:00 pm. If they make calls outside these hours, they can be subject to a fine and penalty. The act also prevents them from using obscene, abusive, or profane language. They are also not allowed to threaten violence over the phone in any way.
Of the complaints before the FDCPA, misrepresentation of the debt was a large majority of the problem. The creditors would call and exaggerate the amount of debt and the amount that the debt was increasing to make the consumers more worried about trying to find a way to pay it. This resulted in increased stress for many and destroyed their chances of being able to pay the debt. In some cases, creditors were even trying to collect debts that had already been discharged in bankruptcy proceedings.
Finally, the FDCPA stops debt collectors from threatening negative consequences if individuals do not pay their debts. A creditor is not permitted to threaten an individual with the loss of their job or other drastic circumstances because of unpaid debt.
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Tulsa Bankruptcy Lawyers Near You
Bankruptcy rules ending creditor harassment protect citizens just like you. Don’t let demanding and harassing creditors rule your life. If you are experiencing harassing calls and messages, contact the Tulsa bankruptcy attorneys at Kania Law Office. We can help you stop these contacts so you can get back to living your life without unnecessary stress. Call our offices at 918-743-2233 or visit us online for more information.