Fair Debt Collection Practices Act Discussion Assignment

Rights and responsibilities of creditors
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Consumers are protected by the Fair Debt Collection Practices Act which was made law by the Congress in 1977. The activities regarding the collection of debts have to meet the Act as to be declared legal. This means when creditors decide to collect their debts they have to align their activities with the law as they exercise their rights. (Harris, S. L. 1987).
When a debtor fails to pay, the creditor is allowed to use remedies that do not involve the court first. The first attempt is the self-help remedy. The creditor will have to contact the debtor openly demanding the payments. The law does not allow the creditors to reach family members of the borrowers requiring the payments. When the attempt fails, the lender can assign the account of the debtor to an agency that is involved in debt collection. FDCPA regulates these activities to ...