Up FAQ 1: Can debt collectors demand payment or take legal action during the thirty (30) day period for disputing a debt?
YES! When consumers have not notified the collection agency in writing that the debt is disputed, Section 809(b) permits collectors to continue collection activity including demands for payment and taking legal action. The FDCPA treats the thirty-days as a dispute period within which the consumer (debtor) may insist that the collector verify the debt and not a grace period that prohibits collection efforts. However, the collection agency must ensure its collection activity does not overshadow and is not inconsistent with the disclosure of a consumer’s right to dispute the debt as specified in Section 809(a). Finally, once you dispute a debt in writing, ALL collection actions must cease until the collector validates the debt in accordance with Section 809. The 30-Day Rule Dispute Rule The 30-day rule confuses a lot of people. I see it misinterpreted all the time, especially on-line! The 30 day rule is a time limit Congress put in the FDCPA to give debtors time to gather information befo
Related Questions
- Up FAQ #5: Can debt collectors demand full payment even though they know the agency or creditor will in fact accept partial payments?
- Up FAQ 1: Can debt collectors demand payment or take legal action during the thirty (30) day period for disputing a debt?
- How come a collection agency can’t demand payment on a collection account for the first thirty days?
