Unfair Debt Collection
An area of particular interest to our law firm involves challenging those who engage in unfair debt collection practices.
Mortgage foreclosures, credit card defaults, and vehicle repossessions have reached record proportions. Often, the actions of creditors and bill collectors can be more painful than the financial issues themselves.
Fortunately for consumers, Florida law prohibits overzealous collection efforts. The law, referred to as the Florida Consumer Collection Practices Act, is located in Chapter 559 of the Florida Statutes. The Act is little-known and greatly underutilized.
Collection efforts are allowed and take many forms, from lawsuits, dunning notices, phone calls, to the debt being reported to credit reporting agencies. However, the Act prohibits certain activities and provides a remedy for breaches.
Prohibited activities include the following:
* Using or threatening violence
* Communicating or threatening to communicate with a debtor's employer prior to obtaining final judgment
* Communicating with such frequency as to constitute harassment
* Using profane or vulgar language in a communication
* Simulating in any manner a law enforcement officer or a representative of any governmental agency
* Communicating with the debtor between the hours of 9 p.m. and 8 a.m.
It is also unlawful to claim, attempt, or threaten to enforce a debt when the collector knows that the debt is not legitimate or assert the existence of some other legal right when such collector knows that the right does not exist. These particular violations are extremely common.
Persons harmed by violations may be entitled to recover actual damages and statutory penalties, together with court costs and reasonable attorney's fees. In situations involving legitimate debts, sometimes the defendant creditor/debt collector will even agree to forgive the debt and report it as resolved to the credit reporting agencies (such as Equifax, Experian, and TransUnion).
Thanks to the attorney's fee provision contained within the Act, attorneys are able to handle many of these cases on a contingent basis, meaning that the victim pays no up front attorneys fees.
Creditors are allowed to use lawful means to collect debts, and consumers are frequently surprised to learn that collection efforts may legally continue for years after collection lawsuits are barred by a state's statute of limitations. However, when collection efforts cross the line, consumers can fight back.
(Examples of other consumer debts that are frequently the subject of collection efforts: medical bills; promissory notes; utility bills; and student loans.)
When in doubt, consult an attorney. Call or email now for a confidential consultation.
Our offices are centrally located in Miami Shores Village, minutes from I-95 and Biscayne Boulevard. Parking is free.
Mortgage foreclosures, credit card defaults, and vehicle repossessions have reached record proportions. Often, the actions of creditors and bill collectors can be more painful than the financial issues themselves.
Fortunately for consumers, Florida law prohibits overzealous collection efforts. The law, referred to as the Florida Consumer Collection Practices Act, is located in Chapter 559 of the Florida Statutes. The Act is little-known and greatly underutilized.
Collection efforts are allowed and take many forms, from lawsuits, dunning notices, phone calls, to the debt being reported to credit reporting agencies. However, the Act prohibits certain activities and provides a remedy for breaches.
Prohibited activities include the following:
* Using or threatening violence
* Communicating or threatening to communicate with a debtor's employer prior to obtaining final judgment
* Communicating with such frequency as to constitute harassment
* Using profane or vulgar language in a communication
* Simulating in any manner a law enforcement officer or a representative of any governmental agency
* Communicating with the debtor between the hours of 9 p.m. and 8 a.m.
It is also unlawful to claim, attempt, or threaten to enforce a debt when the collector knows that the debt is not legitimate or assert the existence of some other legal right when such collector knows that the right does not exist. These particular violations are extremely common.
Persons harmed by violations may be entitled to recover actual damages and statutory penalties, together with court costs and reasonable attorney's fees. In situations involving legitimate debts, sometimes the defendant creditor/debt collector will even agree to forgive the debt and report it as resolved to the credit reporting agencies (such as Equifax, Experian, and TransUnion).
Thanks to the attorney's fee provision contained within the Act, attorneys are able to handle many of these cases on a contingent basis, meaning that the victim pays no up front attorneys fees.
Creditors are allowed to use lawful means to collect debts, and consumers are frequently surprised to learn that collection efforts may legally continue for years after collection lawsuits are barred by a state's statute of limitations. However, when collection efforts cross the line, consumers can fight back.
(Examples of other consumer debts that are frequently the subject of collection efforts: medical bills; promissory notes; utility bills; and student loans.)
When in doubt, consult an attorney. Call or email now for a confidential consultation.
Our offices are centrally located in Miami Shores Village, minutes from I-95 and Biscayne Boulevard. Parking is free.
