Consumers Have Rights Against Debt Collectors

Consumers Have Rights Against Debt Collectors
07 - Sep - 2020
Credit Card Debt

Shady Debt Collectors

Debt collectors are known to employ some shady tactics. From verbal intimidation over the phone, to mailing documents that look like official court papers and more. Debt collection agencies purchase old debt for much less than it’s original value. The sooner they can get paid, the better. This is why not all agencies follow laws in place to protect consumers. As a matter of fact, shady debt collectors will try every trick in the book to get you to pay up.

Debt Collection Laws That Protect You

The U.S. and Wisconsin  have laws that protect you, the consumer. Individuals have legal rights pertaining to debt collectors and their debt collection practices. When those rights are violated, Debt Advisors helps you sue for monetary compensation.


Under the federal Fair Debt Collection Practices Act (FDCPA), debt collectors in violation may be sued for:

  1. actual damages (mental, physical or financial injuries)
  2. statutory damages of $1000 (additional damages provided by law)
  3. attorneys’ fees.
  4. under the Wisconsin Consumer Act, the debt collectors could again be liable for those same actual damages, as well as twice the amount of the finance charge in question (but not greater than $1000).

Actions Prohibited by State and Federal Laws:

    • Threatening violence / harm or criminal prosecution
    • Falsely claiming to be attorneys or government employees
    • Misrepresenting the amount owed or legal documents
    • Disclosing (or threatening to disclose) any information about the debtor’s reputation
    • Using of a false company name or 0bscene language
    • Contacting the debtor by postcard

Taking Debt Collector to court

Certainly taking a debt collector to court is an option, but it may not be the best course of action for everyone. Pursuing a debt collector doesn’t erase the total debt owed. The best way to keep debt collectors at bay is to declare bankruptcy. As soon as the bankruptcy filing is made, a court order (called an automatic stay) comes into effect. This automatic stay is to stop creditors or their collection agencies from contacting the debtor without permission of the bankruptcy court.

At Debt Advisors Law Offices, we specialize in helping individuals navigate the complexities of bankruptcy laws. Our team of experienced lawyers will guide you through the process, ensuring you understand the implications of filing for bankruptcy, including the Wisconsin Chapter 7 means test and how it applies to your situation. For those in the Milwaukee area, our Downtown Milwaukee office is readily available to assist you. We also aim to address any fears of filing for bankruptcy you may have, providing you with the knowledge and support you need to make informed decisions. Our expertise in bankruptcy laws ensures that you have a reliable partner in your journey to financial freedom.

When debt collectors continue to bother you after bankruptcy, contact us .  We’ll help you sue for monetary compensation.

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