In addition to business debts, other categories of non-consumer debt fall outside the scope of the FDCPA. For example, debts that were not incurred for personal, family, or household purposes are not covered. This is a notable distinction for people who may have several types of debt obligations. Under the FDCPA, you have important rights in relation to your credit card debts, car loans, medical bills, student loans, mortgages and other household debts. The FDCPA does not cover business debts.
The Fair Debt Collection Practices Act (FDCPA) is the primary federal law governing debt collection practices. The FDCPA prohibits debt collection companies from using abusive, unfair, or deceptive practices to collect debts from you. Debt that is not covered by the FDCPA includes debt related to the company. Even a personal guarantee for a small business loan isn't protected by law.
The FDCPA covers the collection of debts that are primarily for personal, family, or household purposes. If you have problems with debt collection and believe that your rights have been violated under the Fair Debt Collection Practices Act (FDCPA), Kazerouni Law Group can help. It's important to clarify that, although these are personal debts, FDCPA protection may vary depending on certain conditions. So, for those accounts, Green Tree donned the extra hat of “debt collector subject to the FDCPA.” When medical debts are transferred to an outside debt collector, the FDCPA regulated collection activities for these debts.
FDCPA coverage changes the calculation of compliance, so creditors should know if they are subject to that law. The FTC has gone to court to challenge FDCPA violations committed by companies that used others names to collect their own debts. The FDCPA prohibits a variety of debt collection practices during the processing of the above-mentioned debts, including deception and misrepresentation, harassing phone calls, and threats. Therefore, in addition to the allegations made under Article 5, the lawsuit accused them of violating the FDCPA, such as illegally garnishing consumers' paychecks and disclosing the existence of debts to people other than the debtor.
The Fair Debt Collection Practices Act (FDCPA) applies to consumer debts incurred primarily for personal, family or household purposes. This means that debt collectors trying to recover medical debt must comply with the same rules and restrictions that apply to other types of consumer debt under the FDCPA, such as not using deceptive practices or abusive. While the FDCPA covers a variety of different types of debt, they all fall into the same category of debt that consists of debts based on private, family, or household expenses. The FDCPA covers household debts, including credit card debt, car loans, medical bills, student loans, and mortgages.
