When a client fails to pay for a product or service that your company has provided, you have the right to commence with debt collection. Consumers have certain rights too, though, and those seeking payment must respect these rights. Otherwise, they could face serious penalties. Here are just a few illegal debt collection practices to avoid. 

3 Debt Collection Strategies That Are Illegal 

1. Calling at All Hours of the Day & Night 

Under the Fair Debt Collection Practices Act, businesses seeking payment may not call debtors before 8 in the morning or after 9 in the evening. If the company is in another time zone, that does not excuse them from following this rule. 

2. Lying to the Debtor About the Consequences 

Debt collectors may not claim to be associated with the police or threaten to have the debtor arrested if they fail to pay. Additionally, they may not threaten wage garnishment unless they are legally permitted to commence such actions and fully intend on doing so.

3. Harassing the Debtor

Businesses cannot harass clients who owe them money. They are also prohibited from abusing anyone they contact about the debtor. Since the term “harass” is open for interpretation, it’s wise for companies to turn to debt collection agencies for help. Seasoned professionals can explain what kinds of strategies might be considered abusive and which approaches are perfectly reasonable based on their experience. 

If you’re tired of chasing down clients who have failed to pay for services rendered, turn to Joseph, Mann & Creed in Twinsburg, OH. For nearly two decades, this debt collection agency has been providing strategic solutions for those who have been trying in vain to recover what is rightfully theirs. Visit their website to see what other businesses have to say about the services they provide. To learn how they will help you implement legal collection practices, call (216) 831-5626 today, or follow them on LinkedIn for up-to-date news and information.