What is the Fair Debt Collection Practices Act?

The Fair Debt Collection Practices Act was enacted to provide consumers with an avenue for disputing and obtaining the validity of debt information and to ensure the accuracy of that information. The Fair Debt Collection Practices Act prohibits third party debt collectors from using deceptive or abusive conduct in the collection of consumer debts incurred for personal, family or household purposes. For example, these collectors may not generally contact debtors outside the times of 8 AM and 9 PM local time, nor can they subject debtors to repeated harassing or threatening phone calls. An action for violation of this act may be brought by the Federal Trade Commission or as a private cause of action. Damages may include actual damages of the consumer, as well as attorneys fees and costs of court. Additionally, the plaintiff may be entitled to $1,000 for a violation of this Act.