When you have no problems keeping up with a payment, the financial institution that extended you a line of credit will usually be extremely easy to get along with. However, get a little behind on your payments for whatever reason and you can see a seemingly friendly relationship turn sour really quick. Unfortunately, debt collection agencies will use all kind of crazy practices to try and get you to pay.
While there are many collection practices that are perfectly legal, some are downright shady and a few walk a fine line between legal and illegal. If you are dealing with a harassing creditor or collection agency, these are a few of the secret tactics you should know and talk to a general practice attorney about if needed.
Exaggeration of Wage Garnishment Capabilities
When you are unable to pay back what you owe, there is a good chance that a stern debt collector will start tossing out threats of wage garnishment. You may be told that they will get their way in one way or another or if you value your wages you better pay now. However, what they will not tell you is that wage garnishing activities have regulations in place by state governments. For example, in the state of Kentucky only up to one-fourth of total income can be taken and that is if you net more than 30 times the hourly minimum wage.
Calling You At Home or At Work and Harassing Your Relatives
Debt agencies know that the more of an interruption they can cause in your life, the more likely it will be that you will want to pay in order to get them off of your back. They will call you at home repeatedly, they may contact you at work, and they may even track down contact numbers to close family members. You can file what is known legally as a cease and desist order commanding the company to stop all phone calls by working with a general practice attorney. If the calls fail to stop, the company will be in violation of Fair Debt Collections Practices Act.
In the event you feel you are being harassed by a collection agency, it can feel like an overwhelming situation that has no way out. However, a good attorney, like Butts, Schneider & Butts LLP, can offer you advice about how to get these people off your back, even if it means filing a suit or filing for bankruptcy.