FDCPA Third-Party Contacts and Location Information 1 — Questions and Answers
Question 1: When contacting a third party to locate a consumer, what must a debt collector state about themselves?
- Their name and that they are confirming or correcting location information (Correct answer)
- Their name, employer, and the amount of the debt
- Only that they are conducting a survey
- Their full company name and the consumer's account number
Correct answer: Their name and that they are confirming or correcting location information
When contacting third parties for location information, collectors must identify themselves by name and state they are confirming or correcting location information.
Question 2: May a debt collector tell a third party the name of their employer when seeking location information?
- Only if specifically asked by the third party (Correct answer)
- Yes, always
- Never, employer name must be withheld
- Only when contacting the consumer's attorney
Correct answer: Only if specifically asked by the third party
A collector may disclose that they work for a collection company only if the third party specifically asks, and even then should not identify it as a collection agency.
Question 3: How many times may a debt collector contact a single third party to obtain location information about a consumer?
- Only once, unless the third party has additional relevant information (Correct answer)
- As many times as necessary
- Twice per month maximum
- Once per quarter
Correct answer: Only once, unless the third party has additional relevant information
The FDCPA limits third-party location contacts to one contact per third party unless that person provides reason to believe they have additional information.
Question 4: A debt collector contacts the consumer's neighbor to find out where the consumer works. Is this permitted?
- Yes, but only to obtain location information, not employment details for garnishment purposes (Correct answer)
- Yes, employment information is considered location information
- No, neighbors may never be contacted under any circumstances
- Yes, without any restrictions on what may be asked
Correct answer: Yes, but only to obtain location information, not employment details for garnishment purposes
Contacting neighbors is permitted only to confirm or correct location (address) information, not to gather workplace details for garnishment.
Question 5: When a debt collector is seeking location information from a third party, may they state that the consumer owes a debt?
- No, disclosing the debt to a third party is prohibited (Correct answer)
- Yes, if the third party is a family member
- Yes, to explain why they are looking for the consumer
- No, unless the consumer has given written consent
Correct answer: No, disclosing the debt to a third party is prohibited
Revealing to a third party that the consumer owes a debt violates the FDCPA's prohibition on unauthorized third-party disclosure.
Question 6: Which of the following third-party contacts is generally PERMITTED under the FDCPA?
- Contacting the consumer's attorney if the consumer has legal representation (Correct answer)
- Contacting the consumer's employer to verify wages for garnishment
- Contacting neighbors to disclose that the consumer owes a debt
- Contacting creditors to report the consumer's refusal to pay
Correct answer: Contacting the consumer's attorney if the consumer has legal representation
When a consumer is represented by an attorney, the collector must direct all communications to the attorney, making attorney contact permissible.
FDCPA Third-Party Contacts and Location Information 1
When contacting a third party to locate a consumer, what must a debt collector state about themselves?