Your bank, lender or loan is probably a violation of the Fair Debt Collection Practices Act, every day and every time their employees or representatives to contact you about your loan during the loan modification or foreclosure efforts . Have you ever thought?
The FDCPA was developed in response to abusive conduct by collection agencies and the concern that the abuses were causing an increase in personal appearancesfailures. The purpose of the Act is to provide strict guidelines for collection agencies that are trying to collect debts expectations - while providing protection and remedies for debtors who may be subject to unlawful conduct.
The law applies to all personal, family and household debts, including but not limited to the first and second mortgages, auto loans, medical expenses, and credit card accounts. In addition to the FDCPA, most states have laws parallel tonormally prohibit the same kind of abusive debt collection (which can also cover a wide range of debt that the federal law.
Under the FDCPA, a debt collector "means any natural or legal person who regularly collects debts for others. This definition includes lawyers who represent the banks in foreclosure proceedings and the provision of debt recovery on a regular basis. Even if a debt is fully legitimate debtcollection behavior remains limited by this law.
Normally, the house collection agents are not covered by law. For example, if a consumer has a credit card, shop, shop and own collection department contacts the consumer, the FDCPA does not apply (however, if the store uses the same third party collection agency with the consumer about the debt itself, the realization of the third is limited by the FDCPA). Similarly, when aloan goes into default, the lender or holder of the original loan, may be exempted from the law if the lender is: (1) debt collection, (2) under the trade name, (3) not primarily engaged debt collection activities.
However, in the case of mortgage loans in the last decade, the vast majority (although almost all) of the loans are sold once shall be in default. Therefore, this law applies any time a mortgage is sold ortransferred to another provider and start looking for debt recovery is before or after the commencement of foreclosure. Once a supplier or service "changes" after a loan goes into default, the new "company" that buys the debt is considered a "collection agency" and must comply with all provisions of law. And as we have said, any law firm hired by a lender to recover the debt or starting a procedure foreclosure must also comply withFDCPA and is responsible for any failure.
Examples of conduct specifically prohibited by the FDCPA are:
or contact a third party is not liable for the debt, such as a relative, neighbor, or employer (co-signers, however, can be contacted by the debt collector);
Threaten or to refer a bill to a lawyer, an impairment of a consumer, or to initiate a seizure or embargo - without any real intention tothe threat. (However, a collector may warn of an impending real intention to refer a case to a lawyer or to report a debt to a credit bureau to pay consumers. I can not use a false threat to try to intimidate a;
or make repeated telephone calls, sometimes excessive. - The law defines unreasonable "time" because the contact before 8:00 am or after 9:00 pm unless the consumer has given permission to make calls collectors hours
or make phone calls to an inconvenient place (This includes calling a consumer at work, in violation of a policy by an employer who is known by the debt collector or at the request of a consumer who are not called the consumer in the work;
O When you make a phone call to a consumer at work, inform the employer of the purpose of the call, unless first asked by the employer;
or use of profanity, racial slurs or insults;
or collecting taxes or Wantedfinancial expenses not specifically allowed by the contract or state law;
O Request for post-dated checks with the intention to prosecute if the rebound;
Sued in the courts or from the place of residence of the consumer;
The creation of fraudulent representations or falsely that the debt collector is an attorney, falsely claiming that it has filed a lawsuit, using a false name, or using stationery that is designed to give a false impression of a communication aCourt or public officers;
o The use of deception to obtain information on topics such claims to be conducting a survey and
or threatening consumers with arrest if the debt remains unpaid.
Moreover, once the collector is informed that a consumer is represented by a law firm or individual lawyers, the debt collector must cease immediately all communications with the consumer. (Note: This particular section isoften violated by many creditors and the operator with which our office is busy. Typically, the lender or servicer has confirmed receipt of our correspondence, but he remains in contact with you and demand repayment of lending. Our office is responsible for these practices aggressively in the current one).
Violations of these and other sectors of FDCPA a debt collector may refer to monetary damages and an obligation to pay the consumerattorney fees. In addition, the Federal Trade Commission can enforce the FDCPA through "administrative measures", including the issuance of "cease and desist orders and commands.
Surprise may be a victim of a lender or is violating the FDCPA in its efforts to loan modification and the defense of exclusion. Review your matches, do you think I was calling and defend their rights.
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