Why do so many debt collection agencies cross the legal line when it comes to collecting outstanding consumer debts? The answer is an incredible amount of money for taking over the responsibility of collecting delinquent credit card and personal loan accounts. Original creditors like Visa and British Petroleum either pay companies a commission for collecting debts or sell consumer debts for a fraction of what was initially owed.
It is the second method that gets some third party debt collectors in legal hot water.
For example, let’s assume a company bought your consumer debt for 50% of what was actually owed on the account. The bill collector will be motivated by an incredible profit margin to do whatever it takes to motivate you to pay off the outstanding credit card or personal loan balance.
Your best defense to fight off the overly aggressive debt collection techniques used by a third party debt collector involves taking advantage of a federal consumer protection law that has withstood the test of time for more than 40 years.
Accredited by the Better Business Bureau (BBB) since 2016, Medicredit does not purchase outstanding consumer debts. Instead, hospitals and physicians refer clients to Medicredit to settle unpaid accounts. Consumers have 30 days to respond to the communications sent by the Earth City, Missouri company. Medicredit follows federal consumer protection law by giving consumers 30 days to respond and if the company does not receive a response, it has the right to report the consumer to the three primary credit reporting agencies. Because of its commitment to following the law, Medicredit has not receive a consumer complaint over the past three years.
Deceptive Debt Collection Tactics are against the Law
You should know that a debt collection agency is not allowed to deceive you in any way. One common method of deception for third party debt collectors involves the technique of impersonating the IRS. Because of the fear most consumer have for falling in bad graces with the IRS, some bill collectors leverage the fear to coerce consumers into taking care of their outstanding debts. Another form of misrepresentation is when a company claims it has contacted a third party regarding your debt. Shame is a powerful motivator and far too many debt collection agencies try to shame consumers into paying off delinquent credit card and personal loan balances.
Are You Eligible for Monetary Damages
The FDCPA allows consumers to file claims seeking monetary damages for one or more violations of the monumental federal consumer protection law. You have the right to seek statutory damages, which are capped by the FDCPA at $1,000. One-time awarded statutory damages cover every FDCPA violation.
Actual damages, which have no financial limit, pay for the pain and suffering caused by physical and/or emotional duress symptoms. Physical distress symptoms include the onset of migraine headaches, as well as a rapid increase in blood pressure. Emotional duress symptoms are harder to prove and the symptoms typically involve a diminished ability to deal with stress and anxiety.
Never let a bill collector deceive you into paying off an outstanding debt. Schedule a free initial consultation today with a highly rated consumer protection attorney that has considerable experience litigating FDCPA cases.
*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 Medicredit, or any other third-party collection agency, you may not be entitled to compensation.