CHAPTER 6: COLLECTIONS
The FDCPA only regulates debt collection agencies and attorneys collecting for another party, not the original creditor.
However, state laws, which may be similar to the FDCPA, regulate original creditors. Therefore, it is possible that if a debt collector is violating the FDCPA, then they are also violating your state’s laws regarding debt collection.
To read the full act, go to www.ftc.gov/bcp/edu/pubs/consumer/credit/cre27.pdf.
THE CALIFORNIA ROBBINS-ROSENTHAL FAIR DEBT COLLECTION PRACTICES ACT The California Robbins-Rosenthal Fair Debt Collection Practices Act mirrors the federal law in its purpose to defer debt collectors from engaging in abusive and/or deceptive acts or practices in the collection of debts. The act also requires that debtors act fairly when entering into and honoring debts and that both debt collectors and debtors act responsibly toward one another in regard to the rights of the other. This act regulates the original creditor as well as collection agencies, though it does not include attorneys. To see a summary of the act, go to https://www.marincounty.org/~/media/files/departments/da/consumer-guides/dc2.pdf THE CALIFORNIA COERCED DEBT ACT (CALIFORNIA SB 975) For debts incurred after July 1, 2023, a collector must cease attempting to collect until a review is performed of the case, provided the debtor makes a sworn statement and documentation to prove that the debt was coerced. The person performing the coercion has legal liability.
For the full bill, go to: https://legiscan.com/CA/text/SB975/id/2609157
THE FAIR CREDIT REPORTING ACT (FCRA) The Fair Credit Reporting Act (FCRA) was designed to promote accuracy, fairness, and privacy of information in the files of every consumer reporting agency (CRA). Under the act, consumers have the right to know what is in their file and must be notified if any information in their file is used against them. The act makes provisions for limited access to a consumer’s file. A consumer may have additional rights under state law as well.
To read the full act, go to http://www.ftc.gov/os/statutes/fcradoc.pdf
THE FAIR AND ACCURATE CREDIT TRANSACTIONS ACT (FACTA) The Fair and Accurate Credit Transactions Act (FACTA) was enacted in December 2003 to reduce identity theft and help victim recovery by providing ways for consumers to obtain their credit report and credit score. The act gives consumers the right to obtain one free copy of their credit report every 12 months from each of the three major credit bureaus from a single point of contact. Consumers also have the right to an explanation of the key factors used in computing the score.
For more information on this act, go to https://www.fdic.gov/news/financial-institution-letters/2007/fil07098.pdf
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THE ACCOUNTS RECEIVABLE SPECIALIST CERTIFICATION PROGRAM E-TEXTBOOK
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