Battle The Angst Of Defaulting Student Loans With Fdcpa

By Author: michel smith
Total Articles: 97
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Life in its each and every step takes your examination, changes your way of thinking, makes you prepare for the upcoming future. You must be thinking, why I am telling you this heavy words? Ok, let me clear the picture for you. You are a baby of your parents and loved immensely by them. Suddenly, you take a leap to the reality where education becomes a challenge for you due to its expensiveness. Student loans as solutions bring you another difficulty of defaulting student loans. Believe me, it changes life completely. So, it is better to know about Fair Debt Collection and Practice Act (FDCPA) beforehand.Ok, let me help you with this.


Do you know what is Fair Debt Collection and Practice Act?

It is a law, generated by the US government to protect the debt borrowers from the unfair conducts of debt collectors.

Yes, earlier there was a scenario where debt borrowers after defaulting in their repayment of borrowed amount used to face lots of difficulties. In fear of their failure, borrowers used to abandonee their place and leave the country to escape the grips of collectors. Sometimes, ...
... they used to commit suicide too.

Taking these situations into consideration US government has made this act to stop unfair debt collection practices.

How Fair Debt Collection and Practice Act help the defaulted students?

When education has become too much expensive student loans are obvious to continue to their studies. But, rising economical situation, growing population, ever changing inflations and increasing unemployment problems are becoming hurdles in the way of returning student loans.

Defaulting student loans bring along many consequences, such as:

Wage garnishment,

Entry to the tax offset list,

Bad tax records,

No other financial assistance,

Cancellation of professional license,

Tortures of borrowers.

All these situations bring traumatic conditions for the students. But, FDCPA has its effects on these side effects to help to students to come out from the situation.

What are the laws allotted by Fair Debt Collection and Practice Act (FDCPA)?

The lender cannot physically or morally harass the defaulted people.

The lender has to treat the borrowers in right way and they cannot use any offensive or abusive words against the borrowers.

No phone calls at odd hours are allowed.

The lenders cannot revisit the borrowers whenever they want.

Without issuing any legal notices, the lenders cannot demand any money from the borrowers.

No threats are allowed.

These laws are really helpful when the defaulted student is going through the troubles of defaulted loans.

When the student has fallen into the traps of defaulting student loans, it should be solved with sheer concentration. In such circumstances, borrowing help for student loan consolidation can be of great help. In this process, the installment amount is reduced and the allotted time period is increased for the benefits students. Hiring a lawyer who works on Fair Debt Collection and Practice Act (FDCPA) can turn the case for their benefits.