Debt Collection - Your Rights

When it comes to debt collection, it is important to know your rights. Read on for some helpful advice on your rights.

Debt Collection
Debt collection involves a collector who pursues payments owed by individuals or companies. Most debt collectors act on behalf of creditors and collect debts for a fee or commission of the total amount owed. In some cases the debt collector will buy the debt off the creditor at a fraction of its value and try to recoup the money owed by you.

Your rights
Some debt collection agencies can be quite aggressive when chasing payment of debts. However you are still entitled to your rights even if a collector is harassing you. If a debt collector contacts you it is important to be cooperative with them. In turn they should be treated in a respectful manner. You should only be contacted by a debt collector when it is for a reasonable purpose. You should only receive a maximum of 3 phone calls or letters per week and contact must be made between the hours of 9am and 9pm. It is also within your rights to negotiate a repayment plan if you are not able to make a lump sum payment.

Complaint
If a creditor threatens you or is abusive to you in any way then it is advised to make a formal complaint. Aggressive or unreasonable behaviour is often illegal.