Cease and desist order and settlement companies
Date: Sun, 12/17/2006 - 11:02
I asked the settlement company last week if I should return their calls, they said no because they are breaking the law by calling me when there is a cease and desist order. I have asked this company to not call me at work but they still do.
Are they getting around the cease and desist order or are they just flat out ignoring it? I thought there was a fine or a penalty if they called.
Is the settlment company doing the right thing? The other thing is thatI know settlment companies take longer than consolidation companies, does that lead to lawsuits or get consumers in trouble very often? I'm just afraid that by trying to do the right thing and pay my debt I may also be getting myself into trouble if the creditors decide to sue.
This board is great by the way, thanks for all the help and advice. I tried calling today, I guess no ones there on Sunday.
collection agencies are restricted by federal laws after receivi
collection agencies are restricted by federal laws after receiving the cease and desist letter. You can actually sue them for violating the laws. The receipt of the certified mail will be an important proof in this regard. The fine is up to $1000 for each fdcpa violation.
Creditors can sue because of your continuous defaults on the account. Since you have hired a settlement company to send the proposals to your creditors, it will be decided by the judge if a judgment is the final thing to be done on you. Get in touch with your settlement company and inquire about the account.
Thanks Flying Cats. I did talk to the settlement company, they
Thanks Flying Cats. I did talk to the settlement company, they arent worried about it going to court. They said for the amount I owe them it would not be cost effective for them.
If it is an original creditor calling you, then they are not vio
If it is an original creditor calling you, then they are not violating the law/FDCPA. The fdcpa only applies to third-party debt collectors. I hear of this happening often. Sometimes original creditors will deal directly with the debt settlement company, and other times they legally choose to ignore it.
Check your state laws for more information. Some states consider repeated phone calls, even from the original creditor, an invasion of privacy and a violation of state collection laws and criminal law.
