A typical illegal technique that debt collectors use to collect is threatening to take a person’s property. This is specifically cited in The Fair Debt Collection Practices Act which states that, “Taking or threatening to take any non-judicial action to effect dispossession or disablement of property if—
- there is no present right to possession of the property claimed as collateral through an enforceable security interest;
- there is no present intention to take possession of the property; or
- the property is exempt by law from such dispossession or disablement.”
In other words, unless you put your house, car or other property up for collateral for the particular debt for which the collector is trying to get paid, then it is illegal for him or her to threaten to take or repossess that property. This of course, doesn’t include mortgages or car loans, which are secured by the property. For example, if it’s a hospital bill or phone bill that they are collecting, they have no right to any property.
In addition, just the act of threatening is illegal – if a debt collector threatens you with repossession of your property, that threat is illegal. If a debt collector did this to you, you have recourse. It doesn’t mean you don’t owe your original debt, but it does give you the right to take action against them. If any illegal tactics were used against you by a debt collector, contact an attorney who is well versed in the law. Lemberg & Associates attorneys are experts in the Fair Debt Collection Practices Act and believe in helping their clients seek what’s fair.
