Fair Debt Collection Practices Act - Both Friend and Foe

Petra Alluis
March 29, 2011 — 1,444 views  
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Debt collection is one of the highly regulated industries in the United States today.  It does not matter what fancy or complimentary title you wish to adopt.  If you are in the judgment recovery or debt buying business, you will be classified a "debt collector" and subject to the Fair Debt Collection Practices Act (FDCPA) when collection from individuals.  The FDCPA is the business bible that you must embrace, learn in depth, and always apply in every transaction you process.

Contrary to what you may have heard or read in many industry articles, the FDCPA is not necessarily a tool that is used against you, although it can be used in that manner.  The FDCPA can be your best friend and one of the best protective shields the industry can provide.  You need to become aware of both sides of the coin.  The Judgment Recovery Institute (JRI) can be an essential aid in helping to insure you keep the FDCPA as your friend and not your foe by thoroughly teaching you every aspect of the legislation and proper application.  Follow up coaching and the answering of questions concerning gray areas will be invaluable to you.

The FDCPA is both a guide and code of conduct for debt collectors.  Conversely, the FDCPA provides valuable protections for debtors.  The FDCPA is a broad piece of legislation.  It will be wise for you to obtain your own copy as soon as possible.  Some important topics that will be critical in the day to operations of your judgment recovery business are:  proper hours for phone contact; cease communication requests, acceptable communication at places of employment; misrepresentation; deceit; improper disclosure; seeking unjustified amounts; and reporting of false information on a consumer's credit report.  Each topic is a class in and of itself

FDCPA as Friend

If you conduct your business honestly, ethically, and in good faith concerning all the FDCPA regulations, you can be insured that the law will protect your rights to collect the debts your purchase every bit as much as protect the debtors you are collecting from.  Communication only how and when you are supposed to communicate.  Avoid any form of improper disclosure.  Do not threaten any action (legal or otherwise) that you cannot lawfully pursue.  Do not allow yourself to report any false information on a credit report.  When you do this, the FDCPA will allow you to pursue your business as fervently as you want.

FDCPA as Foe

Have no doubt in your mind that the FDCPA is a regulation designed in purpose to protect debtors from improper and illegal collection practices.  If you either knowingly, or unknowingly, violate the regulation, you can be subjected to severe monetary penalties.  You can open yourself up to lawsuits against you. There are many unscrupulous debtors out there that live to trap you into a violation to collect some easy money from you.  Get proper training on the FDCPA to keep it from becoming your worst foe.


The Judgment Recovery Institute is an excellent online source that provides experts to help guide you through the muddy, and sometimes difficult, waters of the FDCPA.   If you choose the Judgment Recovery Institute for instruction, you will receive so much more than you will find as an industry standard.  You will not be shipped an outdated and useless manual to read and understand on your own.  You will have access to all the tools that a Virtual Campus and Live Advisors can provide.  Access to a network of working professionals in the area of judgment recovery is granted.  The Judgment Recovery Institute can help you utilize the FDCPA as your friend and protection by showing you the pitfalls of the legislation and how it can be used against you.  Learn the FDCPA inside-and-out and up-and-down with fantastic help from the Judgment Recovery Institute.


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Petra Alluis