Numerous phone calls from a debt collection agency made at all hours of the day have you on edge. However, you really start to sweat when you find out a third party debt collector like Monarch Recovery Management, Inc. called one of your friends to discuss an outstanding credit card or personal loan account. Bill collectors use the power of shame and embarrassment when they contact a friend, a neighbor, a family member, or a professional colleague regarding a consumer debt. Fortunately, a federal consumer protection law enacted in 1977 protects you against a debt collection agency that has contacted a third party.
Considered the most influential federal consumer protection law, the Fair Debt Collection Practices Act (FDCPA) outlaws overly aggressive debt collection tactics. A bill collector cannot threaten to seize your property to liquidate it to pay off a delinquent credit card or personal loan balance. The FDCPA also prohibits the use of deception to trick consumers into taking action when they do not have to take any action at all. You should know the FDCPA also makes it illegal for a debt collection agency to discuss your debt with a third party.
Exceptions to the Third Party Provision
Like many federal laws, the FDCPA makes a few exceptions for some of the provisions written into the groundbreaking consumer protection law. This is especially true for the third party provision of the FDCPA. If you grant permission for Monarch Recovery Management, Inc. to contact a third party regarding your debt, then the company is well within its legal right to make contact with the designated third party. The key term here is “designated third party.” If you gave a bill collector permission to contact one of your parents, but instead, the company calls one of your siblings, then the debt collection agency has violated the third party provision of the FDCPA.
Some third party debt collectors might claim they received permission to contact someone you know concerning a delinquent credit card or personal loan debt. If you experienced this type of deception, you should immediately contact a state licensed FDCPA attorney. Your attorney will ask the bill collector to prove you gave permission, as well collect evidence that demonstrates the debt collection agency contacted a third party, without you first giving the company the green light to reach out to someone you know.
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Cut and Dry Violations of the FDCPA
The FDCPA clearly outlaws the once accepted practice of a third party debt collector contacting a friend, a neighbor, a family member, or a professional peer in regard to a personal debt. When you have to deal with the demeaning debt collection practice, you should keep your focus on collecting evidence that will prove the bill collector violated the third party provision of the FDCPA. Convincing evidence that your FDCPA lawyer will want to obtain includes copies of phone records and copies of written and/or electronic correspondence. Without persuasive evidence, you cannot expect to win your FDCPA case.
Never allow a bill collector to shame you into paying off an outstanding credit car or personal loan balance. Schedule a free initial consultation with an experienced FDCPA attorney to learn more about how to proceed with your case.
*Disclaimer: The content of this article serves only to provide information and should not be construed as legal advice. If you file a claim against Monarch Recovery Management, Inc., or any other third-party collection agency, you may not be entitled to compensation.
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