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Section 1692a. Definitions
As used in this subchapter -
(1) The term ''Commission'' means the Federal Trade Commission.
(2) The term ''communication'' means the conveying of
information regarding a debt directly or indirectly to any person
through any medium.
(3) The term ''consumer'' means any natural person obligated or
allegedly obligated to pay any debt.
(4) The term ''creditor'' means any person who offers or
extends credit creating a debt or to whom a debt is owed, but
such term does not include any person to the extent that he
receives an assignment or transfer of a debt in default solely
for the purpose of facilitating collection of such debt for
another.
(5) The term ''debt'' means any obligation or alleged
obligation of a consumer to pay money arising out of a
transaction in which the money, property, insurance, or services
which are the subject of the transaction are primarily for
personal, family, or household purposes, whether or not such
obligation has been reduced to judgment.
(6) The term ''debt collector'' means any person who uses any
instrumentality of interstate commerce or the mails in any
business the principal purpose of which is the collection of any
debts, or who regularly collects or attempts to collect, directly
or indirectly, debts owed or due or asserted to be owed or due
another. Notwithstanding the exclusion provided by clause (F) of
the last sentence of this paragraph, the term includes any
creditor who, in the process of collecting his own debts, uses
any name other than his own which would indicate that a third
person is collecting or attempting to collect such debts. For
the purpose of section 1692f(6) of this title, such term also
includes any person who uses any instrumentality of interstate
commerce or the mails in any business the principal purpose of
which is the enforcement of security interests. The term does
not include -
(A) any officer or employee of a creditor while, in the name
of the creditor, collecting debts for such creditor;
(B) any person while acting as a debt collector for another
person, both of whom are related by common ownership or
affiliated by corporate control, if the person acting as a debt
collector does so only for persons to whom it is so related or
affiliated and if the principal business of such person is not
the collection of debts;
(C) any officer or employee of the United States or any State
to the extent that collecting or attempting to collect any debt
is in the performance of his official duties;
(D) any person while serving or attempting to serve legal
process on any other person in connection with the judicial
enforcement of any debt;
(E) any nonprofit organization which, at the request of
consumers, performs bona fide consumer credit counseling and
assists consumers in the liquidation of their debts by
receiving payments from such consumers and distributing such
amounts to creditors; and
(F) any person collecting or attempting to collect any debt
owed or due or asserted to be owed or due another to the extent
such activity (i) is incidental to a bona fide fiduciary
obligation or a bona fide escrow arrangement; (ii) concerns a
debt which was originated by such person; (iii) concerns a debt
which was not in default at the time it was obtained by such
person; or (iv) concerns a debt obtained by such person as a
secured party in a commercial credit transaction involving the
creditor.
(7) The term ''location information'' means a consumer's place
of abode and his telephone number at such place, or his place of
employment.
(8) The term ''State'' means any State, territory, or
possession of the United States, the District of Columbia, the
Commonwealth of Puerto Rico, or any political subdivision of any
of the foregoing.
Section 1692b. Acquisition of
location information
Any debt collector communicating with any person other than the
consumer for the purpose of acquiring location information about
the consumer shall -
(1) identify himself, state that he is confirming or correcting
location information concerning the consumer, and, only if
expressly requested, identify his employer;
(2) not state that such consumer owes any debt;
(3) not communicate with any such person more than once unless
requested to do so by such person or unless the debt collector
reasonably believes that the earlier response of such person is
erroneous or incomplete and that such person now has correct or
complete location information;
(4) not communicate by post card;
(5) not use any language or symbol on any envelope or in the
contents of any communication effected by the mails or telegram
that indicates that the debt collector is in the debt collection
business or that the communication relates to the collection of a
debt; and
(6) after the debt collector knows the consumer is represented
by an attorney with regard to the subject debt and has knowledge
of, or can readily ascertain, such attorney's name and address,
not communicate with any person other than that attorney, unless
the attorney fails to respond within a reasonable period of time
to communication from the debt collector.
Section 1692c. Communication in
connection with debt collection
(a) Communication with the consumer generally
Without the prior consent of the consumer given directly to the
debt collector or the express permission of a court of competent
jurisdiction, a debt collector may not communicate with a consumer
in connection with the collection of any debt -
(1) at any unusual time or place or a time or place known or
which should be known to be inconvenient to the consumer. In the
absence of knowledge of circumstances to the contrary, a debt
collector shall assume that the convenient time for communicating
with a consumer is after 8 o'clock antemeridian and before 9
o'clock postmeridian, local time at the consumer's location;
(2) if the debt collector knows the consumer is represented by
an attorney with respect to such debt and has knowledge of, or
can readily ascertain, such attorney's name and address, unless
the attorney fails to respond within a reasonable period of time
to a communication from the debt collector or unless the attorney
consents to direct communication with the consumer; or
(3) at the consumer's place of employment if the debt collector
knows or has reason to know that the consumer's employer
prohibits the consumer from receiving such communication.
(b) Communication with third parties
Except as provided in section 1692b of this title, without the
prior consent of the consumer given directly to the debt collector,
or the express permission of a court of competent jurisdiction, or
as reasonably necessary to effectuate a postjudgment judicial
remedy, a debt collector may not communicate, in connection with
the collection of any debt, with any person other than the
consumer, his attorney, a consumer reporting agency if otherwise
permitted by law, the creditor, the attorney of the creditor, or
the attorney of the debt collector.
(c) Ceasing communication
If a consumer notifies a debt collector in writing that the
consumer refuses to pay a debt or that the consumer wishes the debt
collector to cease further communication with the consumer, the
debt collector shall not communicate further with the consumer with
respect to such debt, except -
(1) to advise the consumer that the debt collector's further
efforts are being terminated;
(2) to notify the consumer that the debt collector or creditor
may invoke specified remedies which are ordinarily invoked by
such debt collector or creditor; or
(3) where applicable, to notify the consumer that the debt
collector or creditor intends to invoke a specified remedy.
If such notice from the consumer is made by mail, notification
shall be complete upon receipt.
(d) ''Consumer'' defined
For the purpose of this section, the term ''consumer'' includes
the consumer's spouse, parent (if the consumer is a minor),
guardian, executor, or administrator.
Section 1692d. Harassment or
abuse
A debt collector may not engage in any conduct the natural
consequence of which is to harass, oppress, or abuse any person in
connection with the collection of a debt. Without limiting the
general application of the foregoing, the following conduct is a
violation of this section:
(1) The use or threat of use of violence or other criminal
means to harm the physical person, reputation, or property of any
person.
(2) The use of obscene or profane language or language the
natural consequence of which is to abuse the hearer or reader.
(3) The publication of a list of consumers who allegedly refuse
to pay debts, except to a consumer reporting agency or to persons
meeting the requirements of section 1681a(f) or 1681b(3)
(FOOTNOTE 1) of this title.
(FOOTNOTE 1) See References in Text note below.
(4) The advertisement for sale of any debt to coerce payment of
the debt.
(5) Causing a telephone to ring or engaging any person in
telephone conversation repeatedly or continuously with intent to
annoy, abuse, or harass any person at the called number.
(6) Except as provided in section 1692b of this title, the
placement of telephone calls without meaningful disclosure of the
caller's identity.
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Section 1692e. False
or misleading
representations
A debt collector may not use any false, deceptive, or misleading
representation or means in connection with the collection of any
debt. Without limiting the general application of the foregoing,
the following conduct is a violation of this section:
(1) The false representation or implication that the debt
collector is vouched for, bonded by, or affiliated with the
United States or any State, including the use of any badge,
uniform, or facsimile thereof.
(2) The false representation of -
(A) the character, amount, or legal status of any debt; or
(B) any services rendered or compensation which may be
lawfully received by any debt collector for the collection of a
debt.
(3) The false representation or implication that any individual
is an attorney or that any communication is from an attorney.
(4) The representation or implication that nonpayment of any
debt will result in the arrest or imprisonment of any person or
the seizure, garnishment, attachment, or sale of any property or
wages of any person unless such action is lawful and the debt
collector or creditor intends to take such action.
(5) The threat to take any action that cannot legally be taken
or that is not intended to be taken.
(6) The false representation or implication that a sale,
referral, or other transfer of any interest in a debt shall cause
the consumer to -
(A) lose any claim or defense to payment of the debt; or
(B) become subject to any practice prohibited by this
subchapter.
(7) The false representation or implication that the consumer
committed any crime or other conduct in order to disgrace the
consumer.
(8) Communicating or threatening to communicate to any person
credit information which is known or which should be known to be
false, including the failure to communicate that a disputed debt
is disputed.
(9) The use or distribution of any written communication which
simulates or is falsely represented to be a document authorized,
issued, or approved by any court, official, or agency of the
United States or any State, or which creates a false impression
as to its source, authorization, or approval.
(10) The use of any false representation or deceptive means to
collect or attempt to collect any debt or to obtain information
concerning a consumer.
(11) The failure to disclose in the initial written
communication with the consumer and, in addition, if the initial
communication with the consumer is oral, in that initial oral
communication, that the debt collector is attempting to collect a
debt and that any information obtained will be used for that
purpose, and the failure to disclose in subsequent communications
that the communication is from a debt collector, except that this
paragraph shall not apply to a formal pleading made in connection
with a legal action.
(12) The false representation or implication that accounts have
been turned over to innocent purchasers for value.
(13) The false representation or implication that documents are
legal process.
(14) The use of any business, company, or organization name
other than the true name of the debt collector's business,
company, or organization.
(15) The false representation or implication that documents are
not legal process forms or do not require action by the consumer.
(16) The false representation or implication that a debt
collector operates or is employed by a consumer reporting agency
as defined by section 1681a(f) of this title.
Section 1692f.
Unfair practices
A debt collector may not use unfair or unconscionable means to
collect or attempt to collect any debt. Without limiting the
general application of the foregoing, the following conduct is a
violation of this section:
(1) The collection of any amount (including any interest, fee,
charge, or expense incidental to the principal obligation) unless
such amount is expressly authorized by the agreement creating the
debt or permitted by law.
(2) The acceptance by a debt collector from any person of a
check or other payment instrument postdated by more than five
days unless such person is notified in writing of the debt
collector's intent to deposit such check or instrument not more
than ten nor less than three business days prior to such deposit.
(3) The solicitation by a debt collector of any postdated check
or other postdated payment instrument for the purpose of
threatening or instituting criminal prosecution.
(4) Depositing or threatening to deposit any postdated check or
other postdated payment instrument prior to the date on such
check or instrument.
(5) Causing charges to be made to any person for communications
by concealment of the true purpose of the communication. Such
charges include, but are not limited to, collect telephone calls
and telegram fees.
(6) Taking or threatening to take any nonjudicial action to
effect dispossession or disablement of property if -
(A) there is no present right to possession of the property
claimed as collateral through an enforceable security interest;
(B) there is no present intention to take possession of the
property; or
(C) the property is exempt by law from such dispossession or
disablement.
(7) Communicating with a consumer regarding a debt by post
card.
(8) Using any language or symbol, other than the debt
collector's address, on any envelope when communicating with a
consumer by use of the mails or by telegram, except that a debt
collector may use his business name if such name does not
indicate that he is in the debt collection business.
Section 1692g.
Validation of debts
(a) Notice of debt; contents
Within five days after the initial communication with a consumer
in connection with the collection of any debt, a debt collector
shall, unless the following information is contained in the initial
communication or the consumer has paid the debt, send the consumer
a written notice containing -
(1) the amount of the debt;
(2) the name of the creditor to whom the debt is owed;
(3) a statement that unless the consumer, within thirty days
after receipt of the notice, disputes the validity of the debt,
or any portion thereof, the debt will be assumed to be valid by
the debt collector;
(4) a statement that if the consumer notifies the debt
collector in writing within the thirty-day period that the debt,
or any portion thereof, is disputed, the debt collector will
obtain verification of the debt or a copy of a judgment against
the consumer and a copy of such verification or judgment will be
mailed to the consumer by the debt collector; and
(5) a statement that, upon the consumer's written request
within the thirty-day period, the debt collector will provide the
consumer with the name and address of the original creditor, if
different from the current creditor.
(b) Disputed debts
If the consumer notifies the debt collector in writing within the
thirty-day period described in subsection (a) of this section that
the debt, or any portion thereof, is disputed, or that the consumer
requests the name and address of the original creditor, the debt
collector shall cease collection of the debt, or any disputed
portion thereof, until the debt collector obtains verification of
the debt or a copy of a judgment, or the name and address of the
original creditor, and a copy of such verification or judgment, or
name and address of the original creditor, is mailed to the
consumer by the debt collector.
(c) Admission of liability
The failure of a consumer to dispute the validity of a debt under
this section may not be construed by any court as an admission of
liability by the consumer.
Section 1692h.
Multiple debts
If any consumer owes multiple debts and makes any single payment
to any debt collector with respect to such debts, such debt
collector may not apply such payment to any debt which is disputed
by the consumer and, where applicable, shall apply such payment in
accordance with the consumer's directions.
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Section
1692i. Legal
actions by
debt
collectors
(a) Venue
Any debt collector who brings any legal action on a debt against
any consumer shall -
(1) in the case of an action to enforce an interest in real
property securing the consumer's obligation, bring such action
only in a judicial district or similar legal entity in which such
real property is located; or
(2) in the case of an action not described in paragraph (1),
bring such action only in the judicial district or similar legal
entity -
(A) in which such consumer signed the contract sued upon; or
(B) in which such consumer resides at the commencement of the
action.
(b) Authorization of actions
Nothing in this subchapter shall be construed to authorize the
bringing of legal actions by debt collectors.
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Step One