Alaska Debt Collection Laws. Property Law, Products Collection agency laws generally cover the scope of the agencies’ authorities, and what types of practices they can perform when engaging in collections. If this happens, you’ll owe the collection agency directly rather than owing your original creditor. The surge is even greater in the student loan industry, where the delinquency rate is 27.3 percent on all loans in repayment, according to the St. Louis Federal Reserve and total debt is $1.3 trillion. Law, About Debt collection agencies, like all businesses, come in all sizes, with all kinds of reputations and all kinds of methods to achieve their common goal: Get someone to pay. If the violations are severe enough, the creditor may stop the collection efforts. Collection agency laws generally cover the scope of the agencies’ authorities, and what types of practices they can perform when engaging in collections. Ken holds a J.D. Pay for a “return receipt” so you have documentation that the collector received it. File your complaint with the Federal Trade Commission, 6th & Pennsylvania Ave., NW, Washington, DC 20850, 202-326-2222. Did Sometimes a collection agency will agree to collect the debt in exchange for a fee or for a percentage of the money collected as payment. This means a share of your earnings will go toward repaying your debt until the full amount is satisfied. Can they contact your immediate family? He is admitted to practice law before the State Bar of California, and the United States District Court for the Northern District of California. Revolving Credit: What It Is & How It Works, collection practices that debt collectors don’t want you to know, https://www.consumeraffairs.com/debt/debt_collection.htm, http://www.natlbankruptcy.com/top-debt-collectors/, http://files.consumerfinance.gov/f/201503_cfpb-fair-debt-collection-practices-act.pdf, https://research.stlouisfed.org/publications/es/article/10344, https://www.ftc.gov/news-events/press-releases/2013/01/first-its-kind-ftc-study-shines-light-debt-buying-industry-finds, http://www.bbb.org/us/article/how-to-deal-with-collection-agencies-23293, NA. Collection agencies tend to be aggressive during every step of the collection process. Within five days after you are first contacted, the collector must send you a written notice telling you the amount of money you owe; the name of the creditor to whom you owe the money; and what action to take if you believe you do not owe the money. This is mostly due to the fact that the borrower may continue to refuse payments, in which case legal action might become necessary. Follow up your request in writing and say you want to be the only person contacted concerning the debt, as some collectors will attempt to contact employers, friends, neighbors and family members. The court could order you to pay the debt and may issue a garnishment order against you. (This may not be the same place you live). They are the company that extends credit or a loan with the expectation they will be paid back. In addition to being regulated by the Fair Debt Collection Practices Act (FDCPA), Arizona collection agencies are also regulated by Arizona debt collection laws.Discover: Arizona collection requirements, bad check laws (NSF), statutes of limitations for both debts and judgments, garnishments plus Arizona collection agency license and bonding information. In addition to being regulated by the Fair Debt Collection Practices Act (FDCPA), Alaska collection agencies are also regulated by Alaska debt collection laws.Discover: Alaska collection requirements, bad check laws (NSF), statutes of limitations for both debts and judgments, garnishments plus Alaska collection agency license and bonding information. Finally, send a copy of your complaint to the creditor who hired the collection agency. What is the debt collector required to tell you about the debt? The constant sale and re-sale of debts has created doubt about whether the information sold is accurate. Within five days of your first contact from a collection agency, the collector must send you a written notice that lists the amount owed and the name of the creditor to whom money is owed.