People in Minnesota should be aware of their rights under the Fair Debt Collection Practices Act, or FDCPA. This law regulates practices in the debt collection industry, particularly when it comes to third-party debt collection agencies. This is particularly important right now, when many Americans are recovering from financial uncertainty.
Right now, many lenders are required to work with Americans who are struggling to make payments. This is due, in part, to recently-passed laws that provide consumers with additional protections against debt collection. For people who find themselves unable to make payments on their debts, one of the most important things is to stay in communication with their creditors.
Many creditors are willing to agree to special arrangements with consumers. This can include deferring payments and modifying the original contract for a loan. It’s even possible for many people to suspend their student loan payments. Calling the customer service number on the paperwork for loans, or on the back of a credit card, is a great first step to take.
The Consumer Financial Protection Bureau
Another important agency to be aware of is the CFPB, or Consumer Financial Protection Bureau. The Fair Debt Collection Practices Act (FDCPA) dates to 1977, but the CFPB has only been in existence since 2011. It was created in the wake of the 2008 crisis that affected many Americans’ homes and 401(k)s. Consumers can file complaints related to inappropriate debt collection practices with this agency.
If you have been inappropriately targeted for debts you don’t owe, it might be prudent to contact an attorney. A good lawyer may be able to help you remove your contact information from the lists of debt collectors. They may even be able to help you recover damages.