Submission Number: 00043
Received: 11/22/2010 7:33:09 AM
Agency: Federal Trade Commission
Initiative: Statement of Policy Regarding Communications in Connection with Collection of a Decedent’s Debt; Project No. P104806
Attachments: No Attachments
Debt collectors already use abusive techniques when speaking with consumers; they imply legal action beyond what they can actually bring and employ skip traces when they have no right to do so because they already have knowledge of address and phone of the debtor.
My 75 year old mother received a call from someone wanting to know her relationship to my brother, if he lived with her, and asked her to provide his social security number to the caller.
Estates are required to post a notice to creditors and run it three consecutive months - those creditors have three months to make a claim against the estate - if they failed to do so then they should lose their right to collect any debt and write it off on their taxes.
In most cases, these companies write off the debt by selling it to a collection agency for pennies on the dollar - this practice should be outlawed or at the very least collection agencies should have to disclose exactly how much they paid for the debt and be allowed only to recover a minimal percentage over that amount.
Debt Collection has become too big a business with too much power to threaten and harass citizens - even those who don't even OWE the debt...like my mother.