Want to Sue a Collection Agency?
If you have ever got a phone call from a debt collector you fit in this category.
It's terrible getting collection calls and the collectors get down right dirty sometimes.
So let's sue them, right? Wrong! Suing a collection agency can seem like the right way to go about a harassing phone call or an unjust debt on your credit.
The truth is that 999 out of 1000 times this is the wrong thing to do.
Don't get me wrong you may be in the 100% right and they are 100% wrong.
That doesn't mean that you will actually win the lawsuit.
Let me explain why.
First of all you have to prove beyond a reasonable doubt that they intentionally harassed your or put an unjust debt on your credit report.
This is nearly impossible to do.
Let's take the first situation into consideration, harassing phone calls.
You would have to prove what they said was a violation of law.
Do you know all the exact wording they can use and what they can't? You would also have to have your phone calls under recording that you actually recorded and kept.
Do you record all your calls? I know that I don't.
The next situation is they are reporting an unjust bill on your credit report.
This one is a little easier to win, but still really tough to do.
The reason why this is so difficult to win is their right to what is called the "bonafide error clause".
This is basically their get out of jail free card.
Listen up this is the important part.
There are a lot of places out there telling you that if a collection agency says "this" or does "that" you can sue them for $1,000 per violation.
They are correct.
Will you win? Probably not.
The bonafide error clause makes you prove beyond a reasonable doubt that they INTENTIONALLY violated the law.
This is nearly impossible to do beyond a reasonable doubt.
Reasonable doubt doesn't have to be any more than someone new "accidentally" filed paperwork incorrectly and their off the hook.
In short, taking a collection agency to court for a Fair Debt Collection Practices Act violation isn't a good idea.
If you lose you'll be out all the attorney fees.
Were in debt, can we really afford attorney fees? Instead, record as much proof of violations as possible and use it as leverage to get bills erased from your credit report.
It's terrible getting collection calls and the collectors get down right dirty sometimes.
So let's sue them, right? Wrong! Suing a collection agency can seem like the right way to go about a harassing phone call or an unjust debt on your credit.
The truth is that 999 out of 1000 times this is the wrong thing to do.
Don't get me wrong you may be in the 100% right and they are 100% wrong.
That doesn't mean that you will actually win the lawsuit.
Let me explain why.
First of all you have to prove beyond a reasonable doubt that they intentionally harassed your or put an unjust debt on your credit report.
This is nearly impossible to do.
Let's take the first situation into consideration, harassing phone calls.
You would have to prove what they said was a violation of law.
Do you know all the exact wording they can use and what they can't? You would also have to have your phone calls under recording that you actually recorded and kept.
Do you record all your calls? I know that I don't.
The next situation is they are reporting an unjust bill on your credit report.
This one is a little easier to win, but still really tough to do.
The reason why this is so difficult to win is their right to what is called the "bonafide error clause".
This is basically their get out of jail free card.
Listen up this is the important part.
There are a lot of places out there telling you that if a collection agency says "this" or does "that" you can sue them for $1,000 per violation.
They are correct.
Will you win? Probably not.
The bonafide error clause makes you prove beyond a reasonable doubt that they INTENTIONALLY violated the law.
This is nearly impossible to do beyond a reasonable doubt.
Reasonable doubt doesn't have to be any more than someone new "accidentally" filed paperwork incorrectly and their off the hook.
In short, taking a collection agency to court for a Fair Debt Collection Practices Act violation isn't a good idea.
If you lose you'll be out all the attorney fees.
Were in debt, can we really afford attorney fees? Instead, record as much proof of violations as possible and use it as leverage to get bills erased from your credit report.
Source...