Debt Collectors Must be Licensed in NYC
May 28, 2010 by Marcy Einhorn, Esq.
Any business collecting debts in New York City must be licensed by the Department of Consumer Affairs, and this includes law firms acting as collections agencies! There are about 1,700 collectors from all over the country who are licensed to collect debts in NYC! Complaints from consumers include efforts to collect debts they don’t owe and harassment tactics such calling in the middle of the night or contacting an employer, big no-no’s under NYC’s Consumer Affairs Department...
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Banking Committee Celebrates Wall Street Reform Bill
May 27, 2010 by Marcy Einhorn, Esq.
May 20, 2010
Senate Banking Committee Chairman Chris Dodd (D-CT) hailed Senate passage of the bill to bring accountability to Wall Street.
“With passage of the Wall Street Reform bill we have taken a major step towards creating a sound economic foundation for the American people we represent. This is their victory.”
“For the first time ever we will have a Consumer Financial Protection Bureau to watch out for the average citizen in our country when they are abused by a financial market...
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Ask for Proof!
May 27, 2010 by Marcy Einhorn, Esq.
When the debt collectors call in NYC, you must ask them for proof of the debt! If you don’t ask, they don’t have to give it to you! So, ask for proof: *proof from the original creditor that says that you owe the debt *documents that show the total principal amount they claim that you owe and any additional fees or charged Send article as PDF Read More →
Wrongful Debt Collection Tops NYC’s List
May 26, 2010 by Marcy Einhorn, Esq.
During 2009, NYC’s Department of Consumer Affairs erased more than $1 million in debt that New Yorkers didn’t legally owe but were being dunned to pay anyway. Wrongful debt collection topped the list of complaints received by the department for the second year in a row and last year the City received more than 830 complaints against debt collectors! Send article as PDF Read More →
Ask for Proof!
May 25, 2010 by Marcy Einhorn, Esq.
When the debt collectors call in NYC, you must ask, in writing, for them to send you proof of the debt! If you don’t ask, they don’t have to give it to you! So, ask for proof: *proof from the original creditor that says that you owe the debt *documents that show the total principal amount they claim that you owe and any additional fees or charged Send article as PDF Read More →
Did they tell you?
May 23, 2010 by Marcy Einhorn, Esq.
In NYC, a debt collection agency has got to tell you: *the name of the agency *the name of the original creditor *the amount of the debt *a call-back name answered by a live person and *the name of that live person * the live answer must pick up within 60 seconds of your call! Send article as PDF Read More →
Check on that Debt Collector’s License
May 21, 2010 by Marcy Einhorn, Esq.
In NYC you can check to see if a debt collector is licensed by dialing 311, or going to the NYC website and clicking on “Instant License Check.” Send article as PDF Read More →
10 Things Debt Collectors Have to Follow in NYC
May 20, 2010 by Marcy Einhorn, Esq.
1. Collectors cannot claim they are government officials. They cannot arrest you, cannot report you to Immigration, and cannot claim that you’ve committed a crime just because you might owe someone money.
2. They can’t threaten to have you evicted.
3. They can’t threaten to take your money without going through the courts.
4. No calls before 8a.m. or after 9p.m. No more than 2 calls per week!
5. No threats of violence allowed.
6. Can’t lie about the amount...
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New Debt Collection Regulations in NYC
May 18, 2010 by Marcy Einhorn, Esq.
In response to increasingly predatory conduct by debt collectors, NYC’s Department of Consumer Affairs enacted new protections for City residents.
The new regs are aimed, in particular, at collectors who routinely attempt to collect from anyone with the same name as the debtor, regardless of whether they actually owe the debt.
From now on, collectors trying to collect from a City resident must provide proof of the debt, at the consumer’s request. The collector will have to provide...
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US Supreme Court Strikes Out Law Firm’s Defense in Class Action Law Suit
May 8, 2010 by Marcy Einhorn, Esq.
Debt-Collection Law Firms Cannot Claim Legal Error When Sued for Improper Practices.
The U.S Supreme Court recently held that law firms who use improper tactics in attempting to collect a debt cannot defend against lawsuits by debtors who were improperly served by claiming the defense of “legal error.” This is a defense that is available for clerical or factual errors, but would not be extended to mistakes of law, held the U.S. Supreme Court.
The law firm had sent the debtor...
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