Understanding Creditor Call Limits and Harassment

The Fair Debt Collection Practices Act (FDCPA) in the United States provides important guidelines for creditors and debt collectors when it comes to contacting debtors. Understanding these regulations and how they apply to your situation can help prevent harassment and ensure your rights are protected.

Guidelines for Creditor and Debt Collector Calls

Under the FDCPA, creditors or debt collectors are generally prohibited from calling with the intent to annoy, abuse, or harass. However, there is no specific limit on the number of calls a creditor can make in a single day. The guidelines suggest that exceeding a reasonable number of calls, particularly if they become excessive, may be considered harassment. It is crucial to know that the number of allowable calls can vary based on the type of contact, the specific creditor, and local laws.

Call Limits and Timing

Creditors and debt collectors can call you twice a day but with a gap of at least two hours in between. This rule applies to all types of contacts, including calls to your home, cell phone, or workplace. However, it is important to note that different laws apply to each type of contact and can vary by state.

Allowed Contact Times

Debt collectors are allowed to contact you at any time during the day or night, though this varies by state and typically implies between the hours of 8 a.m. and 9 p.m. in your local time zone. If you are employed during these hours, a debt collector can call you unless you have taken steps to stop them. Debt collectors can also call during this period if you request it.

The Federal Trade Commission (FTC) considers multiple calls as harassment, and therefore, it is expressly forbidden. If you feel that a creditor is calling you too often, you have the right to request that they stop contacting you. Additionally, if credit collection agents persist in contacting you multiple times a day, you can report this behavior to the Consumer Financial Protection Bureau (CFPB) or seek legal advice.

Licensed Creditors and Debt Collectors

Understanding the distinction between licensed creditors and debt collectors is crucial for protecting your rights. There are essentially two types of creditors: the original creditor (OC) and the collection agency (CA), with the latter being specifically regulated by the FDCPA. A third entity, the junk debt buyer (JDB), can be considered as a type of OC.

Regulations for Original Creditors and JDBs

According to the FDCPA, an original creditor (OC) and a junk debt buyer (JDB) are not subject to the same regulations as a collection agency (CA). As such, an OC can call you as often as desired and at any time of the day or night. This is often the case in the absence of specific state legislation to the contrary, such as in California, where an OC can contact you as frequently as they wish.

Your Rights and Protections

If you are dealing with a collection agency (CA) and feel harassed or if calls are excessively frequent, you have the right to instruct the agency to stop contacting you. In writing, you can also dispute the amount you owe, and if you do so, the collection agency must cease contacting you until the debt is validated.

Conclusion

Understanding creditor call limits, timing, and harassment laws is essential for protecting your rights. These guidelines are designed to help prevent harassment and ensure fair and legal collection practices. If you find yourself dealing with excessive or harassing calls, know that you have options, including legal recourse and the ability to report violations to the appropriate authorities.