Fight for your rights

24 December 2010

When your financial seasons change from summer to fall and your credit statements start to turn pretty colors like the autumn leaves... you know it's about to get nasty. Of course, you knew before your creditors that things were getting tight but now you're behind on your payments. You know they'll be coming for you soon enough, they aren't called "Chase Bank" for nothing. The first way banks and collectors let you know is by mail and the calls come next. Caller ID, which was originally invented to duck out on pesky in-laws...can't save you either. How bad can it get? What are they allowed to do? And what should you do?

First question, how bad can it get? According to recent surveys, the case for up to 16 million Americans isn't pretty. Due to the concerns over paying bills and just staying afloat financially, there's an actual problem called "Debt Stress Syndrome". It's like a bad blues song, many of you already know the tune and the words...it goes a little something like this;

You're making a little less, life is costing a little more, maybe it was a medical expense, job loss, or just overspending and now times are getting tighter. Then maybe an offer comes for a new card at a lower rate so you transfer balances and open up some credit to stay in the game. Of course you didn't close out the other card, racked the first one back up and now you have double the debt AND, to make matters worse, the amazingly low introductory rate on the new card they offered you is gone so that payment just went up. Now you're starting to get nervous, anxious, and a little fearful. Your body begins to release the stress chemicals it uses to deal with danger and the damage begins. Your sleep is starting to get sporadic, maybe eating poorly or drinking a bit more. The collection calls start to come. The might be pleasant at first, they might even be in English! Then they get nasty, threatening, coming at all hours, maybe they even call your jobs or friends and family.

Aside from a total annoyance all of this stress can be have a real affect on your health. If you stay in that increased state of 'alert' and nervousness for an extended period of time the hormones and brain chemicals being released can start to create problems with your blood pressure, heart rate, memory, mood, and immune system. Great, now you're getting cranky and sick more often. That's what you need when you can't pay your bills, time off from work and more bills from medical expenses! Get help.

Before we get in to the rights of bill collectors, I have a brief proclamation to make. Collectors are scum. That might be a pretty broad brush to paint with but they are to the greatest extent one of the lowest forms of life. I know times are tough and jobs are in short supply, but bill collector, seriously? You are the heartless, commissioned wing of what is an already evil empire. Worse yet, if you are not making a commission on what you collect, you are stupid and have no soul. I could go on for hours on this subject but let's get down to your rights as a borrower when this scum harasses you. (Apparently I wasn't done yet)

Due to the passing of the Fair Debt Collections Practices Act (FDCPA) the vermin (now I'm done) hoping to collect your debts, are bound by a code of rules. First, it's important to know what kind of debts are covered by the FDCPA; personal, family, and household debts, including money you owe on a personal credit card account, an auto loan, a medical bill, and your mortgage, are covered. The FDCPA doesn't cover debts you incurred to run a business. It is also important to know that many times it doesn't cover calls and collection efforts by original creditors, only the collection agencies that take on that debt. They are governed by the collection laws of your state.

Collectors are not allowed to:

• Call before 8am or after 9pm
• Can't publish your name
• Can't call your work, friends, or relatives
• Can't call once you've gotten an attorney
• Can't use profanity or threaten you
• Can't threaten to sue you or garnish your wages
• Have to stop calling when you notify them by mail to do so