What People Should Know About The Ftc And Fdcpa

The debt collection industry in the United States is huge, with an estimated 30+ million Americans having debt of some form. This is why it’s very important for people to know about the Fair Debt Collection Practices Act (FDCPA) and the body that implements it, the Federal Trade Commission (FTC).

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In a nutshell, the FTC is a significant agency in the U.S. that protects consumers by implementing rules and regulations to business practices. As far as debt collection is concerned, the FTC oversees the process, and more importantly, the fairness and justice with which it is carried out. The organization accomplishes this through the FDCPA.

The government can intervene on an official capacity when the rights of consumers are threatened. The FTC monitors any and all procedures as well as incidents, looking for unfair business tactics in almost all industries, including debt collection. Examples of these wrong practices include manipulation of consumer behavior, detail omissions, official policy violations, and breach of ethics.

Since debt collection has evolved into a huge industry that handles billions upon billions of dollars, regulation is a must. While the FDCPA helps with consumer issues, debt collection agencies should do their part and adhere to its rules.

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