One of the ways a debt collector will want to ensure that you pay your debt is by requesting that you send post-dated checks, or by having you approve a series of electronic check withdrawals on a certain date, according to a payment schedule. If a debt collector uses threats to talk you into this agreement, it’s illegal. Also illegal is the practice of accepting the checks and depositing them earlier than the agreed upon date.
According to the Fair Debt Collection Practices Act:
“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.
The solicitation by a debt collector of any postdated check or other postdated payment instrument for the purpose of threatening or instituting criminal prosecution.
Depositing or threatening to deposit any postdated check or other postdated payment instrument prior to the date on such check or instrument.”
In other words, if you agree on a system of payment with post-dated checks, and the debt collector cashes them early without notifying you, it’s illegal. If the debt collector threatens you to agree or you’ll be charged with a crime, it’s illegal.
The Fair Debt Collection Practices Act forbids debt collectors from making false statements to the debtor. It doesn’t erase your debt — you are still responsible to pay what you owe – but it does give you recourse with the ability to sue if you’ve been lied to or deceived by a debt collector. If any illegal tactics were used against you by a debt collector, contact an attorney who is well versed in the law. Lemberg & Associates attorneys are experts in The Fair Debt Collection Practices Act and believe in helping their clients seek what’s fair.
