If you do not have some form of formal debt solution in place, then creditors have every right to contact you in an attempt to retrieve what they are owed. They can use various tactics such as calling you, sending letters demanding payment, and are even allowed to visit your home. This is absolutely one of the most troubling parts of financial hardship; you just want to make it stop.
However, there are stringent rules and regulations limiting what they are able to do. If creditors break any of these rules, then you are entirely within your rights to make a complaint.
What Constitutes Creditor Harassment?
Again, a creditor sending letter to remind you of payments owed is not illegal however intimidating or frustrating it might be. The same goes for phone calls; it is horrible to be unnerved by the phone ringing, but it is not breaking any rules. What follows is a list of things which do break the rules:
- If you have not given them explicit permission, creditors cannot contact you while you are in your workplace.
- They have to speak to insolvency practitioners like us and have to offer significant ‘breathing space’ when they are informed you have contacted us.
- They are not allowed to call at ‘unsociable’ times, such as late at night or very early in the morning.
- Creditors must use the most simple language they can; they cannot deliberately attempt to confuse you.
- Social Media is off limits to creditors; they cannot contact you through Facebook, Twitter, or an equivalent.
- Your information is your own; information regarding your debt cannot be shared with family or colleagues.
- Creditors cannot suggest you borrow more money to pay their debt.
- Private creditors cannot take money from you when they don’t have your permission to do so.
- If you are disputing a debt, they cannot contact you.
- Creditors do not have to be friendly over the phone, but they cannot be intimidating or hostile.
- Any charges they add to what you owe cannot be in excess of the actual cost they suffered from trying to collect it.
- They must be honest about what powers they have and cannot attempt to trick you. Additionally, they can’t disguise their letters as court orders.
- They must give you any information about your account whenever you ask for it.
If you think that any of your creditors have broken any of these rules, then there are a number of steps you can take. For a start, our financial advisers are always on-hand to offer sound, impartial, and cost-free advice. You can reach us on 0800 808 5124.
Alternatively, you can seek a solicitor who may be able to represent you in any ensuing legal battle. Remember, these laws about financial fair play are very stringent, and it is essential you call creditor malpractice out at every opportunity to stop it happening in the future.
How Can I End All Creditor Contact?
Short of paying off all of your debts, the only way to stop creditors from contacting you is to enter a formal debt solution. Once you have entered into one of these, it is absolutely illegal for creditors to contact you in any way. This means no more phone calls, no more letters, and no more doorstep visits.
Once you have entered into an agreed repayment plan through something like an IVA or a Trust Deed, creditors must send any communications intended for you to us instead. Our advisers will analyse everything that is sent and can relay any important information to you upon your annual review. However, so long as you fulfil every one of your reduced single monthly repayments, there should be very little, if anything, to tell you.
What to Do When Loan Sharks Are Harassing You
Lenders who do not have a credit license are operating outside of the law. While their conduct is illegal, it also means they do not need to abide by any of the above legislation. It is vital that you seek legal advice and call the police immediately.
Loan sharks are known for extreme and violent methods and will go to great lengths to get their money back. While being pursued by one of these crooks is a sign you have to get your finances in order, keeping your family safe from the immediate danger should naturally be your priority.
Are You Being Harassed by Creditors?
If you are in debt and are feeling the stress from your lenders’ constant letters and phone calls, we can make it stop. By entering into a formal debt solution, your creditors will be legally prohibited from trying to communicate with you in any way. The first step to reclaiming financial stability is to get in touch with our personnel today.
If you can talk straight away, give us a call on 0800 808 5124, and our friendly advisers will be more than happy to discuss your situation with you.
Alternatively, fill in our debt calculator, and one of our staff will get in touch as soon as they can to discuss how we can put a stop to ruthless creditors.