Consumer laws protect you from misrepresentations and harassment from Creditors and Collection Companies.

Federal Fair Debt Collection Practices Act (FDCPA): The FDCPA applies to debt collectors only, not to creditors collecting their debts. Generally, a debt collector under the statute is someone who regularly collects debts owed to others, including: collection agencies, attorneys who collect debts on a regular basis, and companies that purchase delinquent debts and then attempt to collect them.

California Fair Debt Collection Practices Act (CFDCPA): A debt collector in California includes original creditors, and some others. The following debt collectors must comply with the CFDCPA: collection agencies, anyone who collects consumer debts in the regular course of business, companies who make forms and tools for debt collection, attorneys and their staff who collect debts (but this requirement comes from another part of California law, not the CFDCPA), and original creditors.

Damages You May Be Entitled To:

• Damages for Physical Distress: Some debtors suffer actual physical damage from the barrage of debt collection calls and letters, including stress-related heart problems, migraine headaches, skin rashes, and so forth. Any health concerns should be first addressed with a qualified doctor. If the health problems can be linked to the FDCPA or CFDCPA violations, the debtor may be able to recover the costs of treatment and other damages against the debt collector.
• Damages for Emotional Distress: Relentless telephone calls and collection letters cause real stress and can affect the debtor’s emotional well-being. The debtor’s marriage and other relationships may suffer.
• Lost Wages Recovered: Debtors may face problems at work because debt collectors call and disrupt the debtor’s productivity, as well as the productivity of debtor’s co-workers. When debtor collectors violate the FDCPA or CFDCPA through calls to the debtor’s employer, the debtor may be able to recover lost wages.
• Wage Garnishment Recovery: If a paycheck has been garnished by a debt collector that has violated the FDCPA or CFDCPA, it may be possible for the debtor to recover these funds.
• Statutory Damages of $1,000: Above and beyond what the consumer may collect for losses related to lost wages, psychological distress, and the like, the FDCPA allows the consumer to recover damages up to $1,000 from the creditor. Since the FDCPA says that the consumer can recover “up to $1,000,” the amount awarded could be less. The court can award these damages if the consumer proves the collector violated the FDCPA, but the consumer does not have to prove that the violation caused any harm. This $1,000 is per lawsuit, not per violation, so if the creditor violates the FDCPA once or multiple times, the consumer still only collects up to $1,000.
• Attorney Costs and Fees Recovered: In cases where the debtor successfully proves that a FDCPA and/or CFDCPA violation occurred, the court may allow recovery of attorney fees and costs.
• Injunctive Remedies: In addition to awarding the debtor monetary damages, a court can also order the debt collector to cease certain activities, such as phones calls and sending collection letters.