FDCPA Legal Actions and Court Procedures 2 — Questions and Answers
Question 1: What must a debt collector do before taking legal action to collect a debt that was purchased from another collector?
- Verify they have proper documentation of the debt and right to collect (Correct answer)
- File a notice with the CFPB
- Obtain the consumer's prior consent to sue
- Wait 30 days after the original validation notice
Correct answer: Verify they have proper documentation of the debt and right to collect
A collector pursuing a purchased debt must ensure they have the legal right to collect and sufficient documentation to support any legal action.
Question 2: A consumer receives a summons from a collection lawsuit they were unaware of. The consumer has 30 days to respond. Does the FDCPA's validation period overlap with this?
- The FDCPA validation period runs separately from court deadlines — both must be met (Correct answer)
- The validation period pauses court deadlines automatically
- Only the court deadline matters once a lawsuit is filed
- The consumer must request validation before responding to the lawsuit
Correct answer: The FDCPA validation period runs separately from court deadlines — both must be met
The FDCPA validation period and court-imposed response deadlines operate independently — missing either can harm the consumer.
Question 3: Can a debt collector threaten to have a consumer criminally prosecuted for writing a bad check?
- Only if the collector refers the matter to the appropriate prosecutor and does not make empty threats (Correct answer)
- Yes, bad check laws are criminal and threats are always permitted
- No, any threat of criminal prosecution by a debt collector is an FDCPA violation
- Yes, if the check was for more than $500
Correct answer: Only if the collector refers the matter to the appropriate prosecutor and does not make empty threats
Threatening criminal prosecution is only permissible when the collector actually refers the matter to a prosecutor — empty threats are FDCPA violations.
Question 4: A debt collector's attorney sends a collection letter. Are attorneys who regularly send collection letters on behalf of collectors covered by the FDCPA?
- Yes, attorneys regularly engaged in debt collection are debt collectors under the FDCPA (Correct answer)
- No, attorneys are exempt from the FDCPA
- Yes, but only if the attorney files suit
- No, professional licensing exempts attorneys from FDCPA coverage
Correct answer: Yes, attorneys regularly engaged in debt collection are debt collectors under the FDCPA
The Supreme Court held in Heintz v. Jenkins that attorneys regularly engaged in debt collection are debt collectors subject to the FDCPA.
Question 5: A collector wins a court judgment against a consumer. Can the collector use the judgment to seize the consumer's Social Security benefits?
- No, Social Security benefits are federally exempt from garnishment for private debts (Correct answer)
- Yes, a court judgment overrides all exemptions
- Yes, up to 25% of each monthly payment
- No, only if the consumer is over 65 years old
Correct answer: No, Social Security benefits are federally exempt from garnishment for private debts
Federal law protects Social Security benefits from garnishment for ordinary private debts, regardless of any state judgment.
Question 6: A collector represents in a court filing that a consumer owes a specific amount, but the amount includes unverified fees. This may violate:
- The FDCPA's prohibition on false representations in connection with collecting a debt (Correct answer)
- Only state court rules, not the FDCPA
- The FCRA but not the FDCPA
- No law if the collector believed the amount was correct
Correct answer: The FDCPA's prohibition on false representations in connection with collecting a debt
Misrepresenting the amount of a debt in court filings is a false representation in connection with debt collection and violates the FDCPA.
FDCPA Legal Actions and Court Procedures 2
What must a debt collector do before taking legal action to collect a debt that was purchased from another collector?