Call for a free bankruptcy consultation

Louisville |


New Albany |

Schwartz Bankruptcy Law Center

Dealing with creditors before filing a bankruptcy petition

One of the most unpleasant aspects of a difficult financial situation faced by Kentuckians is dealing with the collection efforts of creditors. While many debt collectors are honest and law-abiding, some resort to tactics that can only be described as harassment. A far-reaching federal statute intended to stop creditor harassment may offer some protection before the last resort of bankruptcy.

The statute is the Fair Debt Collection Practices Act. It was passed by Congress for the sole purpose of prohibiting certain debt collection practices and thereby protecting consumers from the more obnoxious methods of debt collection. The act applies mainly to third party debt collectors and not to debt collectors hired by the original creditor.

The FDCPA requires debt collectors to identify themselves at the outset of every communication with a consumer. Debt collectors must notify consumers of their right to dispute the debt and to demand written verification of the debt. If the collector fails to provide this information within 30 days, the debt may become uncollectible. The FDCPA prohibits phone calls at unreasonable hours, ignoring written requests by the consumer to cease communications, repeated calling, communicating with a debtor who has filed a bankruptcy petition and communicating with consumers at their places of employment. Of course, one of the most effective ways to curtail or eliminate harassment from a debt collector is to retain a lawyer. The FDCPA prohibits debt collectors from contacting consumers who are represented by lawyers. Perhaps the most important prohibition in the FDCPA is the ban on misrepresentation and deception.

Violations of the FDCPA should be reported immediately to the Federal Trade Commission, the federal agency that administers the FDCPA. If harassment continues, consultation with a lawyer who deals with consumer debt may be in order. A knowledgeable attorney can provide useful advice on dealing with creditors and whether bankruptcy is a viable option.

Source: FindLaw, "How to Stop Debt Collector Harassment," accessed on June 24, 2017

No Comments

Leave a comment
Comment Information
Make A Payment Email Us For a Response

Need A Solution To Your Debt Problems?

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Make A Payment
Schwartz Bankruptcy Law Center

Office Locations:

Louisville Office
3339 Taylorsville Road
Louisville, KY 40205

Phone: 502-785-8549
Phone: 502-485-9200
Fax: 502-485-9220
Louisville Law Office Map

New Albany Office
501 State Street
New Albany, Indiana 47150

Phone: 502-785-8549
Phone: 812-945-9200
Fax: 502-485-9220
Map & Directions