Attorney Generals Say To Collection Agencies “Enough Is Enough!”

Almost everyone who is in debt themselves or knows someone in debt is aware of the dreaded phone call from a collections agency. Whats worse, one phone call may very well turn into twenty, and even worse, the agent they are talking to may be aggressive or threatening on the phone. While it may be true that collections agents are trying to collect a legitimate debt, more and more negative attention is being focused on unfair and aggressive policies that some companies have been using. Some of the more aggressive policies caught the eyes of James Caldwell, Louisiana attorney general and Washington attorney general Ron McKenna who have both vowed to make accounts receivable management firms and their owners clean up after their acts. Actually, Caldwell has already aquired mandates on January 8th against two collection agencies that were not abiding by the standards that have been set for obtaining debt. On that very day McKenna also stated that his office had just come to an agreement with a collection agency that agreed to follow the new restrictions that have been established. Some of the new rules that these collection agencies must follow include more effective communication, which means that any harassment, , threats, profanity, or intimidation attempts to embarrass the debtor are now out of the question. With these new settlements, these collection agencies under scrutiny will no longer be able to intimidate debtors through implications such as failing to pay a debt will result in a suspension of the debtor's driver's license. Finally, these collection companies are no longer allowed to threaten debtors with impairment of their credit rating, although these collection companies are able to lawfully report debts to credit reporting agencies. Although it is a fact that collections agencies are understanably trying to collect a legitimate debt, two issues must be brought into consideration. First, People who owe money are just thatpeople, who deserve to be treated with dignity and respect. But almost as important, if a debtor is terrified of a hostile collections agent who calls them constantly they very well may just stop picking up the calls, leaving themselves in debt, and the collection agencies with nothing.
Mallory McGuinness-Hickey works for debt collection agency Rapid Recovery Solution and does free lance writing about the business world. This and other unique content '' articles are available with free reprint rights.

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