If they are creditors who collect their own debts, they are not doing so. Under the FDCPA, debt collectors can include collection agencies, debt buyers, and attorneys. Any debt collector covered by the FDCPA who contacts you regarding a debt must provide you with certain information about it. The FDCPA only applies to third-party debt collectors, such as those who work for a debt collection agency.
The law covers credit card debt, medical bills, student loans, mortgages and other types of family debt. The Fair Debt Collection Practices Act (FDCPA) is a federal law that protects debtors against abusive collection tactics by debt collectors. Congress created the FDCPA to prohibit debt collectors from using unfair, deceptive, or abusive practices when collecting consumer debts. The FDCPA generally only applies to third-party debt collectors, not to the original creditors.
A creditor is defined as the person or entity that granted you the credit in the first place (the original lender). FDCPA coverage changes the calculation of compliance, so creditors should know if they are subject to that law. Conversely, any company that attempts to collect its own debts (original creditor) is not subject to the restrictions and requirements of the FDCPA. Therefore, for those accounts, Green Tree put on the extra “debt collector” hat subject to the FDCPA.
