The Fair Debt Collection Practices Act prohibits business owners from ________.
A)harassing people who are past due
B)sending invoices the same day product is shipped
C)hiring debt collection attorneys
D)referring past due bills to collection agencies

Question

Quizplus · Accepted Answer

The Fair Debt Collection Practices Act prohibits business owners from harassing people who are past due on their payments. This includes contacting debtors outside of certain hours, using threatening or abusive language, or making false statements about the debt. The Act also requires debt collectors to provide certain disclosures and allows consumers to dispute the debt if they believe it is not valid.

Answer: C and D 
 The Fair Debt Collection Practices Act does not prohibit business owners from hiring debt collection attorneys, but it does regulate the behavior of these attorneys when they attempt to collect a debt. For example, attorneys are prohibited from making false or misleading statements, threatening to take legal action that is not actually possible, or communicating with someone who is represented by an attorney. Referring past due bills to collection agencies is also not prohibited by the Fair Debt Collection Practices Act, but the Act does regulate the behavior of these agencies when they attempt to collect a debt. They must follow similar guidelines as debt collection attorneys and cannot engage in harassing or deceptive tactics.

The Fair Debt Collection Practices Act Prohibits Business Owners from ________