Updated on
Author: Sergei Lemberg
Can a Debt Collector Harass Me Regarding Student Loans?
![Debt Collector Harass Student Loans]()
General Rule: No, if a third-party debt collector harasses you this is a violation of the Fair Debt Collection Practices Act (FDCPA).
Student loans, for many reasons, are the subject of much discussion and controversy lately. For a well-paying job, you will likely need a college degree. However, college is extremely expensive and the cost of tuition is rising faster than inflation.
As a result, many individuals have difficulty in paying their student loans. When they fail to make a payment they are likely to receive phone calls and other reminders of the past due debt.
However, when does a request for payment on your student loan turn to harassment? Also, are there any restrictions on companies harassing me to pay my student loan?
As you will learn in the following section, the answer is it depends. For some, harassment is not explicitly prohibited. However, the Fair Debt Collection Practices Act (FDCPA) restricts harassment for certain student loan debt collectors.
Who is Harassing You About Your Student Loans?
The answer to this question will determine if there is anything you can do about a company harassing you for a student loan payment. What type of company is managing your debt may depend on the type and status of the student loan.
Generally speaking, there is no protection from harassment if you are dealing with the original creditor. The broad protections of the FDCPA do not apply to the original creditor. The same is true for a loan servicer. A loan servicer is a company that does not own the debt but simply manages it for the creditor.
However, if your student loan is past due, the original creditor may no longer handle it. They may have handed it over to a collection agency or other third-party debt collector. In this scenario, you have protection from harassment under the FDCPA.
The FDCPA Prohibits Harassment From Third-Party Debt Collectors
If a collection agency is harassing you for a student loan payment, they are violating your rights under the FDCPA. There are several ways they may be harassing you. Some examples include:
- Calling you before 8:00 AM or after 9:00 PM
- Repeatedly calling you
- Using profane or obscene language
- Making various types of threats regarding the following: violence, illegal actions or legal actions they do not intend to take
These are just a few examples. The FDCPA provides broad protection against harassment and other forms of debt collection abuse. If a student loan collection agency is violating your rights, make sure to keep any evidence. This also includes documenting any communications you have with the collection agency.
How Can I Stop These Threats?
If a collection agency is harassing you about student loan payments, you have options. Consider taking the following action to address a third-party debt collector that is violating your rights.
- Write to the Collection Agency. You can send a demand letter outlining the harassment and demanding it stop. You can also demand all communication stop by sending a cease-and-desist letter.
- File a Complaint with a Federal Agency. You can send a complaint to the Federal Trade Commission (FTC). This federal agency enforces the FDCPA. You may also submit a general consumer complaint to the Consumer Financial Protection Bureau (CFPB).
- Sue the Collection Agency. You can sue the collection agency for harassment under the FDCPA. You can stop the illegal behavior and even receive compensation if you win. For this option, consider at least discussing your case with an attorney.
- Propose a Settlement of Your Debt. This option may only work in certain situations. However, if you have a large debt, it may be worth it if the collection agency agrees to a significant discount. A collection agency may provide this type of discount to avoid a lawsuit.
Note: It’s also important to understand the difference between federal and private student loans. If you are dealing with a federal loan, you may have additional options. These include different types of repayment options and rehabilitation that private companies do not provide.
Conclusion
If you are being harassed about a student loan from the original creditor or loan servicer, there is not much you can do. You can work to pay off the debt or maybe see if there are any consolidation options.
However, if you are dealing with a third-party debt collector you have rights under the FDCPA. Contact a consumer rights attorney to see what action you should take to put a stop to any harassment.
About the author:
Sergei Lemberg is a consumer rights attorney, practicing since 2006, whose practice focuses on consumer law, class actions and personal injury litigation. He is known for a United States Supreme Court case (Facebook v. Duguid) defending consumers from autodialers under the Telephone Consumer Protection Act of 1991 to send unsolicited text messages. He is also the author of Defanging Debt Collectors, a book that teaches consumers how to battle debt collectors and win.
See more posts from Sergei Lemberg