You have rights when it comes to dealing with debt collection and debt collectors. It's essential to remember this, particularly during financial hardships and other life challenges. Learning your rights provides you with the tools and understanding you need to navigate this often confusing and difficult process with confidence. 

Learn about the state and federal laws that help protect consumers from unfair and predatory debt collection practices.

Fair Debt Collection Practices Act (FDCPA)

The FDCPA is a federal law protecting consumers by governing how, when, where, and with whom a debt collector can communicate when attempting to collect a consumer (non-business) debt. This law applies to third-party debt collectors, not the original creditors themselves (the companies from which you initially borrowed money or received credit). It strictly prohibits certain types of harassment or abusive behavior, misleading or false representations, and other unfair practices while attempting to collect debts, creating a minimum set of standards that apply nationwide.

Under the FDCPA:

• A debt collector can’t use false or misleading claims or practices. This includes misleading information about the debt such as:

  • False and misleading representations about the debt or the amount owed

  • Statements that you may be arrested or lose your rights if you don't pay the debt

  • Threats to do things that can’t legally be done, such as taking your social security or disability benefits 

  • False claims that the debt collector is a lawyer or government employee

• A debt collector can’t contact you before 8 AM or after 9 PM and can’t contact you at a place or time that is inconvenient for you (such as your workplace). If they do, you can tell them it is not a good time or place and end the conversation. If they keep calling, they have violated the law.

• A debt collector can’t tell others you owe a debt or post publicly on social media about a debt they say that you owe. However, they can privately contact you on social media unless you tell them they can’t contact you that way. 

• A debt collector can't harass you through any form of communication. This includes:

  • Repeated calls, texts, or emails intended to harass you or your family or friends 

  • Refusing to share the name of the debt collector or original creditor

  • Using swear words or other highly offensive or racial  language

  • Threatening violence or harm

  • Publishing a list of people who owe debts

• If you dispute a debt in writing within the 30-day reply period, a debt collector must either stop all collection efforts or send more information verifying that the debt and amount are legitimate. 

Oregon Unlawful Debt Collection Practices Act (OUDCPA)

Oregon consumers are also protected by the OUDCPA, a state law that provides protections similar to that of the FDCPA with important differences, including:

• Unlike the FDCPA, the OUDCPA applies to the unlawful collection practices of not only third-party debt collectors and debt buyers but also original creditors who extend money or credit to consumers. 

• Some conduct that is unlawful under the OUDCPA is not unlawful under the FDCPA, and vice-versa.

• Unlike the FDCPA, the OUDCPA allows for punitive damages to punish the debt collector and deter others, if the debt collector engages in egregious, malicious, or especially harmful conduct. 

Understanding your consumer rights when dealing with debt collection is the first step in advocating for yourself and making informed decisions. However, it doesn't account for everything you might encounter during the debt collection process or additional steps you may need to assert your rights. Remember to document all of your communication with debt collectors, ask for clarification if you don't understand something, and file a complaint with the Consumer Financial Protection Bureau (CFPB) or the Oregon Department of Justice if debt collectors violate your rights.

This article references information from the Consumer Financial Protection Bureau and the Oregon State Bar. Consumer attorney Kelly Jones has reviewed all information for accuracy and clarity.