Has a debt collection agency put you on a “bad debt” list? Does a third party debt collector call you repeatedly at all hours of the day? Is your bank account under fire because a bill collector is trying to take your money to pay off a delinquent credit card or personal loan account?
For nearly 200 years after the founding of the United States, debt collection agencies ran roughshod over consumers when attempting to collect outstanding debts. However, in response to growing consumer discontent, the United State Congress passed the monumental Fair Debt Collection Practices Act (FDCPA).
Kentucky FDCPA Laws
Congress had two primary goals in writing and passing the FDCPA. First, the federal consumer protection law outlaws a number of previously accepted third party debt collector practices.
Second, the FDCPA allows consumers to sue bill collectors for not only violating the federal consumer protection law, but also to receive monetary damages for suffering from physical and/or emotional distress.
Consumers also have the right under the FDCPA to receive compensation caused by lost wages, as well as the money garnished from paychecks to pay off delinquent credit card and personal loan balances.
Politicians at the state and federal level were especially concerned with the intimidating debt collection agency practice of calling consumers overnight. The federal FDCPA makes it illegal for bill collectors to call consumers on any line between 9 pm and 8 am.
Moreover, Kentucky FDCPA laws permit consumers to tape record phone conversation with debt collection agency representatives. Referred to as a one party consent state, Kentucky requires only one person on a phone call to grant permission to tape record the phone call.
Protections against Harassment under the FDCPA and Kentucky Collection Laws
In addition to the phone call provisions written into the FDCPA, the landmark consumer protection law makes it illegal for third party debt collectors to issue threats during the process of collecting delinquent consumer debts.
If a bill collector threatens to seize your property or put you in jail for not paying your bills, you have the right under both federal and Kentucky FDCPA laws to speak with an attorney to rectify the legal issue.
Debt collection agencies are not allowed to collect more than what is owed on a credit card or personal loan account. Another key provision of the federal FDCPA is debt collection agencies are prohibited from verbally abusing consumers. Kentucky FDCPA laws closely resemble the federal FDCPA.
The main difference is Kentucky, like every other state, has set a statute of limitations on the collection of outstanding consumer debts. The Bluegrass State has established a statute of limitations on oral contracts of five years and for written credit contracts, bill collectors have 15 years to pursue debt collection efforts.
Never let an aggressive bill collector walk all over you. Take advantage of the rights granted by federal and Kentucky FDCPA laws by speaking with an experienced consumer protection lawyer.
If you believe that a debt collector is violating Kentucky’s FDCPA laws, you should seek the help of an FDCPA attorney. You may be able to seek up to $1,000 in damages for each violation of the FDCPA. An attorney will be able to help navigate you through the entire process.