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How Do Debt Collection Companies Operate?

Taurus Collect

The debt collection process involves recovering debts from the borrower who has initially failed to repay or recover payments on accounts that are past their due date. When asked about “what collection agencies do?”, most people tend to think of a debt collector trying to contact debtors about some unresolved debts.

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What Is a Debt Collector and Why Are They Contacting Me?

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The legal framework governing their actions varies from country to country, with rules specifying how and when they can contact debtors, what they can say, and the measures they can take to collect the owed amount. In the UK, debt collection companies operate under strict regulations set forth by the Financial Conduct Authority (FCA).

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The Limits On Direct And Vicarious Liability Under The FDCPA

FDCPA Defense

Even original creditors, who are not subject to the FDCPA, are being drawn into FDCPA litigation under various theories of recovery. For example, generally speaking, the Act applies only to “debt collectors” who regularly attempt to collect debts that are “due another.” Retrieval Masters Creditor Bureau, Inc.,