How to Get Rid of Third-Party Debt Collectors in California

The best way to eliminate third-party debt collectors in California is to fight them. Whatever you do, don’t let them win or get the upper hand. This is one of those situations where knowledge is power.

Are you being harassed by third-party debt collectors in California? If so, then it’s time to take action and fight back. You don’t have to let them win or get the upper hand.

With the proper knowledge and strategies, you can successfully get rid of these debt collectors and protect yourself from their harassing tactics. This article will discuss how to do just that in California.

Table of Contents

A Brief Overview of Third-Party Debt Collectors in California

Third-party debt collectors are companies or individuals who a creditor hires to collect debts that the original creditor could not.

In other words, they are hired to act on behalf of the original creditor and may use tactics such as phone calls, letters, emails, and text messages to get a debtor to pay back their debt.

Debt Collection Law – California

In California, there are laws that protect consumers from being harassed by third-party debt collectors. These laws include the Fair Debt Collection Practices Act (FDCPA), the Rosenthal Fair Debt Collection Practices Act (RFDCPA), and the Unfair Competition Law (UCL).

The FDCPA prohibits debt collectors from engaging in unfair or deceptive practices, like falsely representing themselves or using threatening language. It also requires them to provide certain information about the debt in question, such as its amount, when it was incurred, and who is owed.

The RFDCPA provides additional protection for California residents by prohibiting debt collectors from engaging in unfair or oppressive practices that are meant to intimidate or harass debtors. This includes repeatedly calling and sending letters, making false statements about a debtor’s legal rights, and threatening legal action without the intention of actually taking it.

The UCL prohibits deceptive practices in the sale of goods or services and provides additional protection for California consumers from unfair business practices by third-party debt collectors.

Never Forget That You Have Rights – No Matter How Much Debt You Have

It’s essential for you to know that even if you do owe a debt, debt collectors in California still have to abide by the laws mentioned above. That means they cannot engage in unfair or deceptive practices, such as falsely representing themselves and using threatening language.

If they violate these laws, you could have legal recourse against them, such as filing a lawsuit. However, before taking legal action, it’s important to understand your rights and the steps you can take to protect yourself from third-party debt collectors in California.

Things Debt Collectors Cannot Do

In California, debt collectors are prohibited from engaging in certain activities. For example, they cannot:

Call you before 8 a.m. or after 9 p.m.
Threaten to take legal action against you without actually doing so
Make false statements about the amount of money you owe or your legal rights
Contact you after you have told them not to
Harass or use abusive language with you

Old-School Abusive Collection Methods

Debt collectors in California may not use abusive tactics such as threatening to harm you or your property, repeatedly calling with the intent of annoying or harassing you, or using obscene language.

Suppose a debt collector contacts you and engages in any of these activities. In that case, it’s important to document the conversation and contact an attorney who can help you protect your rights and file a complaint against the debt collector.

Fraudulent Collection Strategies

Debt collectors in California may not use fraudulent tactics to collect a debt. This includes falsely representing themselves or the amount of money owed and using false or deceptive language to try and get you to pay them.

Tips for Getting Rid of Third-Party Debt Collectors in California – For Good

In some cases, the calls or letters from debt collectors can continue for months, if not years. However, there are a few smart and proactive steps you can take to put a stop to unwanted contact with debt collectors in California – for good.

First and foremost, tell them in writing to stop all communication – they must do this within five days. Also, make sure to include your contact information.

Follow up on any violations via the Consumer Financial Protection Bureau or other local laws that may apply.

Finally and most importantly, keep all communication records regarding your creditors and debt collectors, as these will be invaluable should you need to pursue legal action against malicious collection companies.

Below are a few more tips and tricks to keep in your toolbox.

Ask for Official Debt Verification

The first step to getting rid of third-party debt collectors in California is to request verification of the debt. This means you must ask for proof proving you owe the money.

Under the FDCPA and RFDCPA, a collector must provide written verification of the debt within five days of contacting you. If they cannot provide this verification, then you may not have to pay the debt.

Request the Original Creditor Validate the Debt

In addition to requesting verification from the collector, you can also ask the original creditor to validate the debt. This means asking them to provide proof that they own the debt and have a right to collect it.

If the original creditor cannot provide this validation, then the debt may not be legally enforceable, and you may not have to pay it.

Dispute Anything That You Don’t Owe

If you do not believe you owe the debt, then you can dispute it. This means that you can send a written request to the collector asking them to provide proof of the debt and its validity. The collector must respond within 30 days, or they may be in violation of the FDCPA and RFDCPA.

If you dispute the debt, then keep a record of all communications between you and the collector.

Spend Some Time Researching the Statute of Limitations and Time-Barred Debt

In California, the statute of limitations on debt collection is four years. A collector generally has four years from the date of your last payment to pursue legal action against you for unpaid debts.

If the debt is over four years, it may be time-barred, and the collector may not have a right to pursue legal action against you.

Avoid Payment Plans With Debt Collectors

It is vital to avoid making any partial payments or entering into a monthly payment plan with a debt collector. This can restart the statute of limitations on the debt and make it legally enforceable again, even if it was previously time-barred.

Speak With an Attorney if Necessary to Remove Unpaid Debts from Your Credit Report

It may be necessary to utilize legal advice if you are unable to remove unpaid debts from your credit report. An attorney can assist in understanding your rights and filing a dispute with the credit bureau to clear the debt.

Get Collections off Your Credit

The quickest and easiest way to start is by getting a free copy of your credit report so that you have the necessary documents to review the information that is being reported.

From there, contact the collection agency–either by phone, email, or mail–and make sure that you explain precisely what was gathered, when it was added, and why it should be removed.

Keep detailed records of all communication associated with this removal for your records. Depending on the agency and the type of debt being disputed, it could take anywhere from a few days to a few weeks to get an answer from them.

Review Your Credit Report

Your credit report can provide valuable information to help you get collections off your credit report. Carefully review the report and take note of any negative items, such as collections accounts or late payments.

Identifying Collection Account Errors on Your Report

When reviewing your credit report, looking for errors in the collection account information is essential. This includes inaccurate dates, incorrect balances, and duplicate accounts.

Find an Error on Your Account? Fight It!

If you find an error in the collection account information on your credit report, you can dispute it. To accomplish this, you must file a request with the credit bureau, asking them to investigate and correct the error.

Make Them Validate the Debt

You can request the debt’s validation if you do not find any errors in the collection account information on your credit report. This means asking the agency to provide proof that they own the debt and have a right to collect it.

Continue Paying on Time Until the Matter Is Settled

If the collection account has not been paid, continue making timely payments. This will help improve your credit score and make the debt more likely to be removed from your credit report.

Send a Goodwill Letter Once the Collection Is Paid

If the collection account has been paid, you can send a goodwill letter to the agency. Try explaining why you cannot pay and asking them to remove the negative information from your credit report.

A Credit Repair Company Can Help

If none of the above methods work to get collections off your credit report, you may need to hire a credit repair company. These companies will work with creditors and debt collectors on your behalf to help remove negative information from your credit report.

It is important to note that credit repair companies can be expensive and are not always successful in removing collections from your credit report. Ensure you research and understand the process before hiring a company.

FAQ

How do you stop third-party debt collectors?

The best way to stop third-party debt collectors is to be aware of your rights and the applicable state laws. You may also want to consider seeking legal advice if necessary.

Additionally, it’s essential to take steps to ensure that any unpaid debts are removed from your credit report and not restarted by partial payments or payment plans.

How long before a debt becomes uncollectible in California?

In California, the statute of limitations on most debts is four years. After this time has passed, creditors and debt collectors cannot legally pursue a consumer for payment of the debt.

However, restarting the statute of limitations is possible if any payment or acknowledgment is made on a previously time-barred debt.

What happens when your debt is sold to a third party?

When a debt is sold to a third party, the new debt collector will contact you and attempt to collect on the debt. It’s important to understand your rights and any applicable state laws to dispute the debt or request that it be removed from your credit report.

Additionally, if you can show that the statute of limitations has expired for the debt, then the new collector cannot legally pursue you for payment.

What is the new California collection law?

California’s new collection law, called the California Consumer Financial Protection Law, which took effect on January 1, 2021, requires debt collectors to provide proof of the existence and amount of debt before initiating legal action against a consumer.

Additionally, the law prohibits collection agencies from automatically adding attorney fees onto a debt balance without disclosing their intent. These laws are crucial steps in helping to protect consumers from unfair debt collection practices.

The Debt Collection Licensing Act went into effect in 2022 and helps the state government further regulate debt collectors.

Is it illegal for a collection agency to buy your debt and come after you?

No, it is not illegal for a collection agency to buy your debt and come after you for payment. However, certain rights protect consumers from unfair debt collection practices, and these should be considered before engaging with the collector.

Additionally, if the statute of limitations has expired on the debt, then the collector cannot legally pursue you for repayment.

How long can debt collectors try to collect in California?

In California, the statute of limitations for most debts is four years. After this time has passed, creditors and debt collectors cannot legally pursue a consumer for payment of the debt.