Collecting a debt can be nothing short of unpleasant. No one enjoys it, no matter which side they’re on. The process of collecting can stretch for months and even years– exhausting everyone. However, there will be new collection methods available as we soon enter the 2021 winter holiday season. In the following text, we’ll explain how social media platforms will play a significant role in debt collection.
DM The Debtors on Social Media
After several years of revisions, reviews, and deliberation, the Bureau of Consumer Financial Protection is about to come out with a new Fair Debt Collection Practices Act. This new legislation will bring several innovations, the most important one being the way collectors can contact individuals who owe money. In other words, they will be able to use all types of social media to remind someone that they’re in debt.
November 30, 2021, is the date when this brand-new rule will take effect. Nevertheless, ordinary people probably won’t notice any changes in the ways collectors do their job. Their contact methods will mostly rely on the traditional ways that we’re all accustomed to by now. Yet, it won’t hurt either party to understand what’s legal and what’s not when it comes to collection. It will also help prevent all kinds of scams in the future.
In-Depth Look at New Rules
While using social networks for debt collection, there are certain rules collectors must follow:
- Fair Debt Collection Act forbids messages outside 8 a.m.–9 p.m. local time
- Contacting people while they’re at work is a no-go
- Harassment and threatening is forbidden
- Collectors can’t inform friends or family members of someone’s debt
- After asking collectors to stop in written form, this type of contact must end
These new rules will undoubtedly help improve communication between the two parties. Until now, the dos and don’ts of how debt collection works legally were all but clear. The previous act came about in the ’70s. So it was not clear if collectors could use texting and emails. As such, many collectors were reluctant to even try using these methods of contact.
Nevertheless, as new technologies evolve, all industries need to follow. Later this year, collectors will begin sending private messages to those in debt. Of course, they can’t make anything public on social media. Also, they need to provide specific instructions for people in debt to follow, avoiding any confusion.
SWR Debt Recovery
If you’re having trouble collecting debt, you can always count on Southwest Recovery Services to sort your troubles out. With our professional help, the money owed to you or your company will be back in your account in no time. Moreover, our recovery agents won’t hesitate to use any legal actions at our disposal to collect. You can contact us via phone or email or by visiting our offices in Addison, Dallas, Houston, Austin, San Antonio, Oklahoma City, or Saint Louis.