Suing with Collectors

25 Apr 2018

As mediators between debtors and creditors, collection agencies aim to ease the payment process and reduce problems that arise during that process. However, their engagement brings even more issues as both creditors and debtors often complain about collectors.

Receiving a call from a debt collector isn’t fun, and it may be followed by a false debt accusation, harassment, or false statements (such as arrest for a debt).

There are particular cases when debtors can dispute prosecutions in court, but they should take into account every single detail before suing with collectors as the process is difficult and may not guarantee a victory.   

Handling a Lawsuit with Debt Collectors

Investigate the enemy

Before beginning a lawsuit with a collection agency, consumers can request for a debt validation. Many consumers complain that collectors often try charging them for a debt their never owned. Additionally, some agencies scam consumers by playing on their fear and demanding significant compensation for nothing. Find out a collection agency registered address or ask for license number if there is any.

Know your rights

Before admitting a debt or suing with a collection agency, consumers should check on their rights attentively. According to The Fair Debt Collection Practices Act (FDCPA), collectors are restricted to harass debtors, contact them between 9 p.m. and 8 a.m., use offensive expressions or profane language, contact their families or discuss a debt with anyone, except a lawyer. They are also obliged stop calling if a debtor asked for communications in writing.

Be prepared

Consumers can experience difficulties proving a violation of their rights by collectors. It’s important to be prepared before applying to a court and to record all correspondence with an agent. Tape the dates when they contacted, write down their name and phone number. These materials can be used in court to prove a collector’s guilt.

ChargaCard Helps Life

ChargaCard, a B2C payment system, proposes a revolutionary decision for consumers and merchants, called flexible installment plans. Now debtors can divide payments in parts and pay in installments, with zero percent interest and no service fees.

An installment plan can be set up once and used to manage payments automatically every month. No calls from collectors, no harassments, no prosecutions. Borrow safely, pay step by step and get relief – with ChargaCard.