The rule explains how FDCPA protections apply to digital communications and gives consumers the option to unsubscribe from electronic messages from collection agencies. Even worse, you can also lose the ability to deny that you owe the debt. The collection agency can file a collection claim in court, which may result in the seizure of wages, the confiscation of personal property, or funds from your bank accounts. Whether you’re sending a letter to collection agencies asking for more information about the debt, or having a collection agency stop contacting you, you know how to exercise your consumer rights and don’t be afraid to do so.
How long can you ignore collections?
Ignoring or avoiding the collection agency may result in the collection agency using other methods to collect the debt, including filing a lawsuit against you. If the debtor continues to ignore collection activities after the verdict is handed down, one of two things usually happens. However, you can be fairly certain that creditors and collection agencies won’t give you a break if you ignore them. Even if a collection agency no longer calls, your credit rating may still be affected, which will limit your credit capacity in the future.
Do
debt collection agencies ever give up?
It is important to know your rights as you, as a consumer, are protected by the Fair Debt Collection Practices Act (FDCPA). When you pay off the debt, some collectors report this on your credit report to show that you haven’t paid the full amount. For this reason, it is important to know what to do when a collection agency takes action and what rights you have as a consumer. Just as a creditor initially sold the debt to one collection agency, one collection agency may have sold the debt to another.
References:
- What Happens if You Ignore Creditors? – Law Zebra
- https://upsolve.org/learn/ignore-debt-collectors-consequences/
Barry Ritholtz is a renowned finance expert, author and blogger. With over 30 years of experience in the financial industry he has gained a reputation as a thought leader and influencer in the investment community.