Addressing A Lawyer In A Letter
Often lenders are violating the rights of consumers in their attempts to collect a debt. Loan modification clients who are represented by a law firm are constantly being harassed at their jobs after requesting for lenders to stop making phone calls. The Fair Debt Collection Practices Act covers debt collectors that work for collection agencies however it does not cover your lender or anyone working for the original creditor who loaned you the money.
However, the loan modification client represented by a lawyer-based company has rights need to be protected too and it starts with documenting the behavior of lenders and reporting them when they have become abusive. These clients have already made attempts through a lawyer based loan modification company to resolve their debt with their respective lender.
It is important to understand that simple harassment does not qualify as abuse. A lender has the right to call and collect a debt. If a lender calls four times in one day and does not continue this pattern then even though it is harassment it still does not qualify as abuse. It’s time to analyze what qualifies as abusive and then provide several remedies to protect the loan modification client. The use of obscene and profane language and the threat of violence are unacceptable and abusive. If a creditor calls repeatedly and at unreasonable hours of the day then this is considered unreasonable and abusive.
According the Fair Debt Collection Practices Act before 8am and after 9pm is considered unreasonable hours to pursue the collection of a debt. If the creditor is consistently calling your job and harassing you then this is unreasonable and abusive. Remember your lender has a right to pursue the collection of a debt. It is the manner in which the lender proceeds in collecting the debt that needs to be addressed.
The first remedy is to request for the lender to not call you at certain hours of the day and to refrain from calling you at work. Second remedy is to write a letter to the lender and record each communication with the lender. The third remedy is to request for a lawyer at you loan modification company to write a standard letter on your behalf. This letter needs to be submitted to the Better Business Bureau, your lender as well as any federal agencies responsible for addressing these issues.
Loan modification client needs to request for the the Federal Trade Commission to send a complaint form or write them a letter. Loan modification clients may contact the Federal Trade Commission at 6th and Pennsylvania Ave. NW, Washington, DC 20580 https://www.ftccomplaintassistant.gov. Please include the collection agency’s name and address, the name of the collector, the dates and times of the conversations, and the names of any witnesses. Also attach copies of all offending materials you received and a copy of any tape you made as well.
Clients need to send a copy of their complaint to the state agency that regulates collection agencies for the state where the agency is located. Loan modification clients may find the agency by calling for information in their state capital city. Finally, clients may send a copy to the original creditor and the collection agency.
The original creditor may be concerned about its own liability and they may offer to cancel the debt. The FTC may take steps to sanction the agency if it has other complaints on record so request for your loan modification company to send an email to clients doing business with your lender to follow the same procedures. The state agency may move more quickly to sue the collection agency or shut it down for flagrant violations.
The fourth remedy exist if the client has been subject to repeated abusive behavior, consider suing the lender as last resort. Please do not waste time if the behavior was annoying but nothing more. For example, if the collector called four times in one day but never again, you probably don’t have a case.
You can also represent yourself in small claims court, or hire a lawyer and go to regular court. The other side may have to pay the clients attorneys’ fees and court costs if the client wins. Clients are entitled to any actual losses — for example, your pain and suffering, or the amount you paid to switch to an unlisted number to avoid harassment — and an additional amount (unrelated to actual losses) up to $1,000.
If this is a outrageous cases — especially if the abuse inflicted on the client has been substantial and then have reports from therapists and doctors documenting your suffering. The loan modification client needs to consider hiring a lawyer to represent themselves at this point. It’s time for a call for action to protect the rights of loan modification clients.
