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How to SUE Debt Collectors for FDCPA violations

You don’t need an attorney to start a FDCPA lawsuit, you can always get one involved once it gets on the court docket.


See chapter five of my book if you want to learn how to sue debt collectors, Stick It To Sue Happy Debt Collectors.


This is PART 1 of a series.

Backgrounder

#1 Log everything like debt collector calls, demand letters, etc. Date/time and who it is. Be vigilant.

#2 Take pictures of the CallerID (if you don’t have it get it), save and print these out and put them in a file. I keep on on each debt collector that has or is contacting me so I can keep it organized.

#3 Record all telephone conversations. If you live in  a one-party state (such as Georgia) and the debt collector is calling from a one-party consent state you don’t have to advise them that you are recording the call. An easy way to get around two-party consent state calls is once the debt collector tells you that they call is being recording, jokingly say yes I am too (do it in a humorous or off-hand way), if they don’t object you are good to go.

Save the phone calls and burn them to a disc or discs, I save them up until I file suit.

#4 When you get the initial written communication from the debt collector, send them a certified letter disputing the debt and request validation of the debt (this is most often where the debt collector will screw up, especially those that bought the debt form the original creditor or from another debt buyer that sold the account to them). They cannot continue to collect until that satisfy your request for validation. If they do then you have at least one FDCPA violation and could ultimately get a case thrown out if they choose to sue you.

#5 Publicize the debt collectors bad behavior, let other consumers and the company that you don’t have a problem telling the world what they are doing. Blog about it, post on consumer complaint forums, contact sites such as Consumerist.com, you local newspaper or other large newspaper and TV news in your area or state. Let them feel some of the same “heat” they are putting on you.

#6 If the debt collector is calling your cell phone and you answer and you hear a moment of dead silence then they are using an automated dialer and that is a violation of the TCPA (Telephone Consumer Protection Act) in addition to the possibility of them violating the FDCPA

When I send a dispute/validation request I also demand they cease and desist all telephone communications. 99.9% of the time they will violate it and you have a FDCPA violation to sue them for. Send your dispute, validation, cease telephone communications letter via certified mail so you have a record that they received it.

#7 Always file a FDCPA violation complaint against the Debt Collector for each violation with the Federal Trade Commission (FTC)



What Debt Collectors CANNOT do (Federal 15 USC 1692 FDCPA violations) from About.com

Ask you to pay more than you owe, the collector cannot misrepresent the amount you owe. [15 USC 1692e] § 807(2)(a)

Ask you to pay interest, fees, or expenses that are not allowed by law

The collector can't add on any extra fees that your original credit or loan agreement doesn't allow. [15 USC 1692f] § 808(1).

Call repeatedly or continuously
The FDCPA considers repeat calls as harassment. [15 USC 1692d] § 806(5).

Use obscene, profane, or abusive language
Using this kind of language is considered harassment. [15 USC 1692d] § 806(2).

Call before 8:00 am or after 9:00 pm
Calls during these times are considered harassment. [15 USC 1692c] § 805(a)(1).

Call at times the collector knew or should know are inconvenient
Calls at these times are considered harassment. [15 USC 1692c] § 805(a)(1).

Use or threaten to use violence if you don't pay the debt
Collectors can't threaten violence against you. [15 USC 1692d] § 806(1).

Threaten action they cannot or will not take. Collectors can't threaten to sue or file charges against you, garnish wages, take property, cause job loss, or ruin your credit when the collector cannot or does not intend to take the action. [15 USC 1692e] § 807(5).

Illegally inform a third party about your alleged debt. Unless you have expressly given permission, collectors are not allowed to inform anyone about your debt except:
•your attorney
•the creditor
•the creditor's attorney
•a credit reporting agency•your spouse
•your parent (if you are a minor)
[15 USC 1692c] § 805(b).

Repeatedly call a third party to get your location information. he collector can only contact a third party once unless it has reason to believe the information previously provided is false. [15 USC 1692b] § 804(1)

Unless the debt collector has your permission they cannot contact you at your place of employment.



Initial Steps in filing FDCPA lawsuits

#1 Read the Fair Debt Collections Practices Act and familiarize yourself with the sections and chapters that cover debt collector violations (1692a-k). While you are working on this I suggest you locate and employ a consumer protection or consumer law attorney, you can find one in your state at www.naca.net and www.martindale.com. Consumer protection attorney’s generally don’t charge any up front fees and only get paid when you win your case against the debt collector.

#2 The Fair Debt Collection Practices Act allows you to file suit in just about any court in the US, such as small claims court, state court and of course federal court. I generally start at the state court level and let the debt collecting defendant remove it to federal court if they want. More than likely they will so they can invoke a Offer of compromise. Good for them, when they move it to federal court you can bet the Federal Trade Commission can gain access to more evidence of their bad behavior if and when they decide to investigate the debt collector. Of course the Federal Trade Commission seems to move at glacier speed when spanking bad debt collectors (maybe this will change one day). You can file a FDCPA suit in the county you live in, even though the defendant is not located in your county or state.

#3 Check your states procedures on serving a company, most state’s laws (code) are online and will give you the information on how to properly serve.

For instance in the State of Georgia proper service of a foreign corporation is as follows:

O.C.G.A 14-2-1510 Foreign corporations - service.

     (a) The registered agent of a foreign corporation authorized to transact business in this state is the corporation's agent for service of process, notice, or demand required or permitted by law to be served on the foreign corporation.

     (b) If a foreign corporation has no registered agent or its registered agent cannot with reasonable diligence be served, the corporation may be served by registered or certified mail or statutory overnight delivery, return receipt requested, addressed to the chief executive officer, chief financial officer, or secretary of the foreign corporation, or a person holding a position comparable to any of the foregoing, at its principal office shown in the later of its application for a certificate of authority or its most recent annual registration. Any party that serves a foreign corporation in accordance with this subsection shall also serve a copy of the process upon the Secretary of State and shall pay a $10.00 filing fee.
     (c) Service is perfected under subsection (b) of this Code section at the earliest of:
     (1) The date the foreign corporation receives the mail;
     (2) The date shown on the return receipt, if signed on behalf of the foreign corporation; or

     (3) Five days after its deposit in the United States mail, as evidenced by the postmark, if mailed postpaid and correctly addressed.

     (d) This Code section does not prescribe the only means, or necessarily the required means, of serving a foreign corporation.

Also see OCGA 14-9-902.1

You can search your states Secretary of States website, or contact them to find the registered agent. Of course this is mainly for out of state defendants, however if you are filing against a debt collector in your state you will still need to serve the corporations registered agent.

Each state has different rules and regulations on proper service so be sure to check with your state laws to ensure you don’t serve it incorrectly.

In state suits

Once you know who the registered agent it (in state suits) it will display the county in which they are located. Make a note of it as you will need this when filing/serving.

Search the Sheriff’s office website (for the county the registered agents is located in) and find the civil service section (or call them if they don’t have one). Find out what you need to send to them for serving the registered agent. Usually it is a copy of the suit (sometimes they require two original copies) (aka process to serve), a check made out to them for the service fee (money orders are generally acceptable), a Sheriff’s Entry of Service (get it form your court clerks office when filing) and a self addressed self stamped envelope (SASE) so you can get your copies back). Remember once you get your copies back you’ll need to file one with your court clerks office and then 30 day clock starts ticking for the defendant to reply with an answer to you suit.

Draft your FDCPA violations civil complaint (I will post references and samples very soon, so check back here often) and my advice is to make 6 original copies and get them all notarized as required by law. Take them to the court clerk’s office along with the filing fee. Once it is file ask the court clerk for a couple of “Sheriff’s Entry of Service” forms (one for each defendant and extras incase you make a typo). I recommend when filing the complaint to demand a jury trial, juries *LOVE* awarding big damages in FDCPA lawsuits.

Then follow the directions for serving the registered agent in the county they reside in.

That’s it for the time being! You just sued a debt collector!

If you start stressing or feel like you are over yor head when things start heating up in court, get a consumer protection (generally free) or a consumer law attorney involved. You can do this at *any* time during the suing process.

About 95% of the time the debt collector will attempt to settle with you before the case goes to trial. Demand everything they wish to settle in writing, if they won’t give it you in writing, politely tell them then we will just have to see each other in court.

NOTE
After they answer (if they do) you may receive a “notice of removal” this just means they are moving it to a higher court, mostly like Federal Court. I like federal court better than state court, the rule of procedure are clearer and easier for no lawyer types like me to understand.

I will post more about suing debt collectors soon along with some sample complaints that you can modify and file yourself as well as how to file Fair Credit Reporting Act (FCRA) lawsuits against original creditors and debt collectors.

Just remember you have rights as a consumer and as a human being, don’t let *anyone* abuse those rights. Put those bad debt collectors where they belong behind the defendants table in court. It’s time to fight back against abusive and illegal debt collection tactics. The more consumers who do this the less likely these companies will continue their abusive behavior.

NOTE #2
If you are dealing with a 3rd party debt collector or debt buyer, just remember all evidence they provide or testimony they make is 100% hearsay.

Seems like a scam to me. Got a few missed calls with no messages on my cell phone. I called back and asked who they are. The lady on the other end didn't say, but said they were looking for some lady I don't know. I said that wasn't me and I don't know her, and then the person on the other end became rude and said something like "oh, well ok. bye." I've gotten calls like this before, all scams. I don't know whether this is something related to debt, but I've gotten those too. I certainly have no debt, being young and in school on a full scholarship. I wish they'd stop calling me!

They keep demanding money.

I used to work there.  They hire people released from prison and give them a sheet to read from.  Call 800-360-9953 and ask to speak with the owner, Steven Kusic!  They have a rating of F on the BBB site.  He is the owner/president.  Just keep calling him!  File complaints with your local police department for harrassment.  File a complaint with the BBB and your attorney general's office.  These people are IDIOTS!  Don't pay them a penny if you owe it, put them out of business!

Im 20 years old, i live with my parents,i obviously dont owe anything. they are calling me at least every other day all times of the day, sometimes multiple times a day. today i actually answered and it was an automated recording saying that all their representatives were busy.... ITS FRIGGEN ANNOYING!!!!!!!!!!

I identified myself but she would not tell me who she was

I identified myself but she would not tell me who she was

who do i report them to

This number keeps calling me.

google it. you'll get all the info

i used to work there

Follow the above instructions, I used to attempt to work at this dump!  They hire many out of prisons.  You should be concerned as these criminals have your personal information!  File as many complaints as you can and block their telephone number!  I am telling you the truth!

I've received several calls from this number.  They have never left a message.  But it's annoying.

received call from this number frequently.  None answered just a voice mail.

all [***] what else can i say

Got a call from them asking for my old name (before I was married) saying if you are this person press one if you need time to bring this person to the phone press 2 I hung up before it could go farther. I had gotten a letter from them in the mail recently stating that I owed for some book club I'd never heard of but if I paid now I would get TWO FREE BOOKS from this book club and more. I was like WTH???? Seriously? What a scam!!! It had an address down also that I hadn't lived at for wayyy past any time limit. I've been getting these like crazy lately from different companies what is up with that. None are legitimate debts. They are all places I've never heard of or some scame thing like this. They are very annoying though and seem to be running rampant and annoying alot of people besides just me though.

GOOD info, thanks!

How do I go to the  attern. general office

How do I file?

they use this service that allows them to "report" numbers with a local interchange as their number since it has been discovered that many people do not call back 1-800 #s. Dont really know if their use of a local interchange is false and misleading since it is done thru a company. But i know for a fact they are in a 717 area code and sometime report to other pa callers as 610 or 215. Its illegal to cause a charge to call back, but if they call a lancaster # and give a 610 number on the caller ID and you call off the caller ID, doesnt that unknowingly incur you a cost