Work is stressful enough without dealing with harassment from a collection agency. Although creditors are allowed to use the services of collection agencies to resolve legitimate debts, the Federal Trade Commission (FTC) has limits on the tactics that collectors may use. Whether the debt is legitimate or not, it is illegal for a repo man to relentlessly stalk and harass you at work.
Fair Debt Collection Practices Act
The Fair Debt Collection Practices Act (FDCPA) regulates the types of contact that collection agencies and repo men can make in attempting to collect a debt. Specifically, the law prohibits collection attempts before 8 a.m. or after 9 p.m. unless you give permission. If you do not believe that you owe the debt, contact the collector within 30 days of receiving a validation notice. Send the letter by certified mail with return receipt and keep a copy of the letter for your files. After you send the letter, the collector must provide proof of the debt, such as a copy of the original bill, or stop contacting you about that particular debt. The collector may not contact you again except to inform you of further actions the agency intends to take, such as filing a lawsuit.
Improper Contact by Collectors at Your Job
The FDCPA states that collectors may not contact you at work after you provide notice, either orally or in writing, that you cannot take calls at work or that you do not wish to receive calls at work. You can provide this notice during the initial contact or afterward. If you inform the collector orally, keep a log of the date and time of your request. Take the name of the person who contacts you. Follow up any oral requests in writing.
Improper Contact of Third Parties by Collectors
The FDCPA prohibits collectors from contacting third parties more than once and only then to ask how to reach you at home and work. According to the FTC, anyone besides you, your spouse or your legal representative is a third party. This means that collectors are prohibited from embarrassing you or putting your job at risk by discussing your debt with your supervisor, co-workers or anyone else at your place of business or work. Collectors may only send paperwork to your employer that is related to collecting the debt, such as a garnishment order.
Remedies
If collectors engage in illegal or improper collection practices, you can file a lawsuit in state or federal court for up to a year after the date of the improper contact or collection attempt, according to the FTC. If the judge rules in your favor, you may collect up to $1,000 from the collector, even without providing evidence that you suffered any actual damages.
Legal Repossession Action
Once you have gone into default on a secured loan, the lender may repossess the property without notice -- even from a private home or office with a court order. A repo man may legally seize your car from the street or company parking lot. Some states also allow repossession from a closed garage. If you have added rims or other aftermarket modifications, you are usually out of luck. However, the lender may not retain personal property found in the car.
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