The Fair Debt Collection Practices Act or the FDCPA was passed by the US Congress in 1977.
To avoid any kind of abuse and deceit in debt collections. It wants to outlaw those that practice biased methods of debt collection. Law supporters are protected and kept safe by this act.
To create sets of suggestions that are applicable to all the US states.
The Fair Debt Collection Practices Act is applicable only to 3rd parties which sets are needed by a creditor, and not by a bunch of creditors that collect their own debts. Let me give you an example: If a company named US Credit Card Agency collects payments from their Visa card holders by phone calls and introduces itself as the US Debt Collection Agency, it might need to accept the guidelines and laws discussed in the Fair Debt Collection Practices Act. however, if it collects them from their Visa card holders by calling them up and introducing itself as the US Credit Card Agency, the company is not bound by the conditions of the FDCPA.
They may be doing their own debt collections, but they’re nevertheless giving out threats and causing harassment to their debtors. Any one of these incidents might rule to a serious case. Any company which does this may be charged with crime. Debtors who will experience these violations could file a complaint when any of those would happen to them.
The creditors might not straight away believe the debtor when he would try to explain. A number of these creditors would already continue to bullying the debtor until they may be able to make them pay their debts. All of these are against the guidelines of the FPCDA.
If one day you end up in a situation that places you in the task of a debtor who is receiving threats and harassment from your creditors, don’t forget about the FPCDA. You could work out what you would do to corporations which say that they’d have you arrested if you would not send them money as fast as possible. Your understanding about this act certainly would be useful and helpful.