What Third Parties Can a Debt Collector Contact?
![Third Party Debt Collector Contact]()
General Rule: A debt collector can call several people to obtain limited information such as contact information and where you work. However, there are only limited third parties that a collection agency can discuss your debt with.
Your debt is a private matter and you have the right to keep it that way. As a result, a debt collector has to be careful with who they contact and what they say. This can be tricky since sometimes they need additional information they cannot obtain from the consumer.
In many situations, a debt collector completely disregards who they can contact and what they can say. For those in this situation, they can fight back with the protections provided in the Fair Debt Collection Practices Act (FDCPA). This federal law provides the consumer with safeguards against abusive and harassing behavior.
Below you will learn who a debt collector can contact and what they can say. If a debt collector violates your rights, you will learn what you can do to end the illegal conduct.
Note: The protections of the FDCPA outlined below apply to third-party debt collectors. An original creditor does not fall under the scope of this federal law.
When is it a Violation for a Debt Collector to Identify Themselves to a Third Party?
A debt collector may need to contact a third party (e.g., family member, friend, employer, etc.) for limited purposes. Primarily, a debt collector should only reach out to a third party if they need your contact information or verify where you work.
When they do so, they must not identify themselves as debt collectors. If asked, the person contacting the third party can provide their name and the company name as long as it does not reveal that they are a debt collector.
Sometimes a debt collector will intentionally identify themselves to others. They may do this to embarrass you or pressure you to make a payment. However, it is also illegal even if the violation was unintentional.
While there are restrictions on third-party identification there are also exceptions. These restrictions do not apply to a credit reporting agency, your attorney and the original creditor. A debt collector can also identify themselves to a spouse, parent (if the consumer is a minor), guardian or executor (for estates).
The FDCPA and Third-Party Identification
Congress passed the FDCPA to foster and encourage a fair and professional debt collection process. In some instances, identification with the consumer is essential. Otherwise, they may not know who they are speaking with and the nature of the call.
In other instances, such as communications with a third party, debt collectors must restrict what they say. The reason for this is that a consumer has a right to keep their debt private. As a result, a debt collector cannot identify themselves in such a way that would reveal that you owe a debt.
Note: These restrictions are specifically for third-party debt collectors. An original creditor is not regulated by the FDCPA.
What Are My Rights if a Debt Collector Identifies Themselves to Others?
If a debt collector discloses your debt by identifying themselves to others, they have violated the FDCPA. While you cannot undo this illegal disclosure, you can stop it from continuing. Take the below action to stop further violations:
- Communicate the Violation to the Debt Collector. The company may not know that one of its employees is identifying themselves to third parties. If you put the collection agency on notice they may take action to stop this from continuing.
- Send the Collection Agency a Cease-and-desist Letter. One way to stop this type of continued disclosure is to stop all communication. A cease-and-desist letter forces a debt collector to end all communication.
- Notify Federal Agencies That Oversee Collection Agencies. Generally, this includes the Consumer Financial Protection Bureau (CFPB). For FDCPA violations, you can also submit a complaint to the Federal Trade Commission (FTC). This federal agency handles the enforcement of the FDCPA.
- Take the Collection Agency to Court. Another option is for the court, under the authority of the FDCPA, to force the debt collector to stop. A court can also issue statutory damages (up to $1,000) and other payments if your case is successful.
- Request a Debt Settlement. This is a great option if you have a larger debt and proof of the violation. A debt collector may prefer to settle your debt rather than deal with the issue in court.
Conclusion
You have a right to keep information about your debt private. As a result, debt collectors have a responsibility to limit what they say to certain third parties. This includes how they identify themselves.
If a debt collector’s identification to a third party has unlawfully disclosed your debt, you have rights. Request a consultation with a consumer rights attorney today to discuss your next steps.
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