Debt can cause you significant stress, and the persistent collection calls only add to your anxiety. Filing for bankruptcy may be the right decision to help you get out from under your debt and start fresh. It has the added benefit of immediately stopping calls from collectors.
If you are considering options to relieve your debt, here is what you need to know about bankruptcy and creditor harassment.
What is creditor harassment?
Congress prohibits collection agencies and other third-party debt collectors from engaging in certain harassing activities, including:
- Contacting you outside the hours of 8 a.m. to 9 p.m.
- Providing false information to you or about you
- Threatening you with violence or obscene language
- Calling you at work
Debt collectors must comply if you send a letter asking them not to contact you anymore. However, the original creditor is not subject to all of the same rules as third-party agencies. They can continue to send you communications until you pay down your balances or file bankruptcy.
Unfortunately, many debt collectors flout or outright ignore the laws governing their behavior. If this happens, you can report the harassment to the Federal Trade Commission or pursue other options.
Can bankruptcy stop creditors from calling?
After you file for bankruptcy, your creditors must immediately stop all communication and collection actions against you. Often, calls will continue for a few days until your creditors receive notice. If they continue to contact you after that, your legal counsel can take steps to prevent further harassment.