Debt collectors are strictly regulated in how they collect debts from consumers. One common consumer complaint is that debt collectors are calling a consumer at their workplace, harassing a consumer and/or co-workers, or revealing the debt to co-workers.

If debt collectors have contacted someone else about your debt, here is what you need to know about your rights under the Fair Debt Collection Practices Act (FDCPA).

Does your employer prohibit collection calls at work?

If a debt collector knows, or has reason to know, that a consumer’s employer prohibits calls from a debt collector, or personal calls, they cannot contact the consumer at work.

Debt collectors usually learn this one of two ways. One, if a consumer tells a debt collector they are not allowed to take collection calls at work, that puts them on notice. Two, if a debt collector talks to a co-worker, and the co-worker informs the debt collector that the employer prohibits collection calls at work, that also puts them on notice.

Did you tell the debt collector to stop calling your workplace?

As noted above, if you tell a debt collector to stop calling you at work, they have to stop. This is actually covered by two separate provisions of the FDCPA: prohibited calls to the workplace and calls at an inconvenient or unusual time or place.

If you told a debt collector to stop calling your workplace, make a note of it. If they continue to call you, you will want to know when you first told them to stop calling.

Did you consent to receive collection calls at work?

A debt collector may only contact a consumer at their workplace if the consumer gives them consent, or with the express permission of a court of a competent jurisdiction.

In other words, if you tell them to stop calling you at work, that should be the end of it. Subsequent phone calls to your workplace may be violations of the FDCPA.

What did the debt collector tell your co-workers?

If someone else at your workplace was contacted by a debt collector about your alleged debt, the debt collector may have violated other provisions of the FDPCA. For example, debt collectors cannot reveal a consumer’s indebtedness to a third-party.

If one of your co-workers is receiving collection calls about your alleged debt, find out everything the debt collector told them. If the debt collector revealed the debt, they may have violated the FDCPA.

If you think your rights have been violated, please contact me.

(photo:http://www.flickr.com/photos/dennissylvesterhurd/126701929/)

Debt collectors are strictly regulated in how they collect debts from consumers. One common consumer complaint is that debt collectors have been harassing family, friends, or co-workers in an attempt to collect a debt.

If debt collectors have contacted someone else about your debt, here is what you need to know about your rights under the Fair Debt Collection Practices Act (FDCPA).

Debt collectors can only acquire location information

Location information is defined as a consumer’s home address and home phone number or workplace and workplace address. A debt collector must identify themselves, but should only reveal their employer (the name of the debt collector) if a third-party asks for the information.

In other words, if a debt collector already knows how to contact a consumer (they have location information), then there is no reason to call a family member, friend, or co-worker. The collector cannot ask the third-party to pass on a message, ask for other information, or harass the third-party.

In fact, third-parties have standing to bring claims under the FDCPA if they are harassed. That means a person who has been harassed—regardless of whether the debt is theirs—can bring a claim under the FDCPA.

Debt collectors can only call third-parties once

A debt collector is not allowed to contact a third-party more than once unless requested to do so by the third party. In other words, if a debt collector calls a consumer’s parents, or sister, or co-worker, they cannot call again unless that person asks them to call them again. There’s a pretty slim chance of that happening.

If a debt collector has called someone else about your debt, ask that person how many times the debt collector called. There’s a decent chance it happened more than once.

Debt collectors cannot reveal a consumer’s debt to a third-party

If a debt collector contacts a third party, they cannot reveal the consumers debt. Congress was specifically concerned with debt collectors harassing other people to pressure a consumer to repay a debt.

In reality, revelation of the debt happens often. A collector may not reveal the specific debt and dollar amount, but they sometimes mention “they owe money” or “they owe a debt.” That is not allowed under the FDCPA.

Debt collector contacts to third parties are a frequent source of FDCPA violations. Although debt collectors are tightly regulated in what they can say, they frequently stray from the script. If you think your rights have been violated, please contact me.

(photo:http://www.flickr.com/photos/didmyself/6173148336/)

For most people, the decision to file bankruptcy is a difficult one. While bankruptcy makes financial sense for many individuals, the social stigma can feel overwhelming. At the same time, many individuals feel the need to file bankruptcy to stop repeated calls from debt collectors.

Filing bankruptcy should stop debt collection. Unfortunately, it’s not always that simple. Here is what you need to know.

Upon filing, the automatic stay goes into effect

Once a bankruptcy petition is filed, all debt collection efforts must cease. It is that simple. Creditors and debt collectors listed on your bankruptcy petition should receive notice directly from the bankruptcy court—and should stop any and all collection efforts.

It does not matter if your bankruptcy has been discharged. Once you file your petition, the automatic stay goes into effect. During the period between when you file and when your petition is discharged you are protected.

If you have been contacted by a debt collector after filing bankruptcy, there is a chance the creditor or debt collector has violated the bankruptcy code and the Fair Debt Collection Practices Act (FDCPA). If this happens to you, immediately contact your bankruptcy attorney or a consumer rights attorney.

Asking for information about your bankruptcy attorney

Once a debt collector knows you are represented by an attorney and they have contact information for your attorney, they cannot contact you. The debt collector is not allowed to ask details about your bankruptcy attorney—like whether you have paid them, when you are filing, etc. All they need to know is the attorney’s name and contact information.

If a debt collector continues to ask questions about your bankruptcy attorney, or if they continue collecting on a debt after learning you have an attorney, they may have violated the FDCPA.

Once your debts are discharged, they cannot be collected

Certain debt collectors are notorious for trying to get one last bite at the apple—trying to collect a discharged debt one last time. That is a big no-no. Once the debt is discharged in bankruptcy, it is not be collected and you do not owe it. In rare situations, a creditor may not have received notice of the bankruptcy, and may have a justified reason for attempting to collect—but that excuse only works once. Once they have notice, they cannot collect.

In many cases, however, the creditor or collector received notice of the bankruptcy is simply making one last attempt to collect. Many consumers are caught off guard and not only feel harassed, but they agree to make a payment. If a debt collector is trying to collect on a debt that you have discharged in bankruptcy, they may have violated the bankruptcy code and the Fair Debt Collection Practices Act.

If you have discharged a debt in bankruptcy and you are still being contacted by debt collectors or if you have questions about your rights against debt collectors, please contact me.

(photo:http://consumerlawyer.mn/wp-content/uploads/bankruptcy-debt-collector-debt-collection.jpg)

When most people think of consumer debt, they think of credit card debt. Recently, however, student loan debt surpassed the total amount of consumer credit debt—totaling more than $ 1 trillion dollars.

Depending on the type of loans, consumers have a variety of repayment options and rights during the collection process. Randall Ryder, along with another local consumer attorney, recently discussed student loan repayment options during a CLE presentation at the University of St. Thomas Law School.

Student loan repayment options

Depending on the what type of student loans you have—government or private loans—there are usually more than one way to repay your loans. A good starting point for information is the student debt repayment assistant on the consumer financial protection bureau’s website. The assistant provides a quick and easy way to learn what repayment options might be available to you.

In addition to a variety of repayment options, there are also ways to defer payments, request a forbearance, and even potentially have your loans discharged. By researching online, you can get a good idea of what repayment options you have, and which options might be best for you. At the same time, it is also a good idea to consult with a a tax adviser, tax attorney, and even a consumer rights attorney that handles student loans before making a decision.

Rights during the collection process

According to one source, there are currently $33 billion dollars in loans that are in default and in collections. This reportedly includes approximately 3 million borrowers. The bad news is that if your government loans are in default, you lose a number of governmentally-provided rights on those loans. For example, if your loans are in default, you cannot select a different payment plan and you are ineligible for additional government student loans.

The good news is that the collection companies that contract with the Department of Education still have to follow federal law—the Fair Debt Collection Practices Act (FDCPA). The FDCPA protects consumers against unfair, abusive, and harassing debt collectors. Some common violations include calling your family members about your debt, calling your workplace, and providing misleading information during a collection call.

Bottom line: you have options and you have rights

Student loan debt can be overwhelming, but depending on the type of loans, and the status of your loans, you should have more than one repayment option.

If you need help understanding and choosing a repayment plan or if your student loans are in collections, please contact me.

(photo:http://www.flickr.com/photos/58687716@N05/6207566816)

Midland Funding, LLC, one of the largest debt buyers in the country, recently dismissed a debt collection lawsuit in excess of $22,000 against one of the firm’s clients.

The client was thrilled with the result, to put it mildly.

The lawsuit alleged that Midland Funding had purchased a line of credit debt that was allegedly opened by the client and their ex-spouse. The client, however, had a paper trail showing that they were not responsible for the debt and had been disputing it’s validity for years.

Upon learning that the client was represented by The Ryder Law Firm, LLC, opposing counsel reached out in an attempt to amicably resolve the matter. Bringing the proverbial bazooka to a gunfight, we produced a 5 page affidavit with 70 pages of exhibits to prove the client was not liable.

Not long after that, Midland Funding agreed to dismiss the case with prejudice against the client. If you are involved in a debt collection lawsuit, please contact me to see how I can help.

Randall Ryder got a local debt collection law firm to dismiss a debt collection lawsuit after one phone call.

A local small business owner met with Randall Ryder to discuss a Summons and Complaint he received. After reviewing the documents, along with a collection letter, it was apparent that the lawsuit was outside the statute of limitations. In particular, the alleged unpaid services were last performed in 2004.

In Minnesota, depending on the claim, the statute of limitations is either 4 or 6 years. Either way, it was apparent this case was beyond either one.

Within a half-hour of Ryder explaining the problem to the local debt collection law firm, the firm called back and agreed to dismiss the case with prejudice—agreeing that it appeared the case was outside the statute of limitations.

Understandably, the client was thrilled. The client said “I heard he [Ryder] sticks up for the little guy and I was impressed at how fast he resolved my case.”

Randall Ryder met with Minnesota residents to discuss consumer rights against debt collectors. As part of a program offered by the Washington County Law Library, Randall met with consumers at a Washington County Library branch to discuss consumer debt relief.

Randall discussed consumer rights against debt collectors and answered questions on the Fair Debt Collection Practices Act, how to find the appropriate debt collection resources, and when to contact a consumer rights lawyer.

By all accounts, the presentation was well received and attendees were thankful to learn about their rights under the Fair Debt Collection Practices Act.

In a down economy, many individuals turn to public resources like libraries for information and guidance.

In Minnesota public librarians, non-profits, and consumer rights attorneys are working together to provide the general public with the resources they need.

Because of the success of the efforts here in Minnesota, Randall Ryder was one of several panelists who presented to an audience of nationwide librarians. The presentation was directed at how the current economy is affecting the public and how librarians can assist the public in finding the resources they need.

Randall spoke at length on how the debt collection industry effects consumers in the current economic client. Specifically, Randall provided an overview of the Fair Debt Collection Practices Act (FDCPA) and how consumers can protect themselves from abusive, unfair, and deceptive debt collectors.

The audience was directed to a number of resources to help individuals understand the FDCPA and seek legal assistance from a variety of sources if necessary. Randall also discussed the prevalence of debt collection lawsuits, the evidentiary issues involved, and how consumers can access resources to defend against debt collection lawsuits.

(photo:http://www.flickr.com/photos/bisgovuk/3919446619/)

Are you tired of being harassed by consumers? According to recent article in the New York Times, debt collectors are tired of consumers mistreating them. You read that right.

The Fair Debt Collection Practices Act (FDCPA) protects consumers from abusive, unfair, and deceptive debt collectors, not vice-versa.

If the debt collectors have it their way, collectors may get their own bill of rights, against consumers.

Debt collectors feel harassed

According to at least one debt collector, consumers want debt collectors ” . . . to feel as small and insignificant as possible.” Interestingly enough, this same debt collector openly admitted to using an alias in her collection efforts—a name that she “pulled from the phonebook.” I’m sure the person who actually has that name is thrilled that a debt collector is using her name.

This same debt collector, who is licensed to collect debts in Minnesota, has not registered her alias with Minnesota Department of Commerce. The Minnesota Department of Commerce regulates debt collectors and fines them for abusive behavior and violating the FDCPA. In Minnesota, debt collectors are required to register for an individual license. If they use an alias, that should be part of their registered information.

But it’s not just individual debt collectors that feel they are being mistreated. The incoming president of the debt collector’s trade association also thinks that collectors should have rights against consumers.

Perhaps there is an easier solution than a bill of rights. Many times, when debt collectors harass consumers and consumers call them out on their behavior, the collector tells the consumer to “hang up if you feel you are being harassed.” Debt collectors can also exercise that right at any time.

Debt collectors are ramping up lobbying efforts

ACA International, perhaps the largest debt collector organization, is increasingly their lobbying efforts and simultaneously trying to spiffy the image of debt collectors.

Among other changes, the ACA wants to be able to contact consumers via text message, cell phones, e-mail, and lawful use of autodialers. Can you imagine getting a text that says “OMG! Call me right now, totally important! TTYL!” only to find out it is a debt collector?

Congress provided consumers with rights against debt collectors

The FDCPA provides consumers with rights against debt collectors. Congress passed the FDCPA because it was concerned about abusive, unfair, and deceptive debt collection practices.  There is no provision providing debt collectors with rights against consumers.

There is no provision in the FDCPA that requires a consumer to be pleasant to a debt collector that calls them ten times a day, calls them at work after they request them not to, or verbally abuses them over the phone.

There are, however, provisions under the FDCPA that allow you to sue a debt collector for doing any of those things, along with other nasty things that debt collectors do.

If you think your rights have been violated, contact me for a free case evaluation. If I can take your case, you pay me nothing unless I recover for you.

(photo: http://www.flickr.com/photos/james__clayton/5531866236)

Randall Ryder, along with fellow consumer rights attorney Chris Wheaton, presented a CLE on Spotting FDCPA Violations: A Primer for Bankruptcy Attorneys.

The CLE was a live webcast presented to approximately 90 viewers. The CLE included a basic introduction to the Fair Debt Collection Practices Act (FDCPA), including the Congressional intent behind the FDCPA and basic elements of a FDCPA claim.

The CLE also covered frequent FDCPA violations, how bankruptcy attorneys can spot FDCPA violations within their practice, and how FDCPA claims interact with bankruptcy. By all accounts, the CLE was a great success!

In a few weeks, Randall will be a presenting a webcast to a nationwide audience on the FDCPA and defending debt collection lawsuits.