Creditors and Bankruptcy/Loan express harrasment

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Expert: Regan Shinski - 12/15/2009


Question
when I recieved my payday loan I was not able to pay it off and was recieving phone calls directly from the loan agency. The content of the calls stated if i do not pay off the loan the collections agency will get an officer to escort him to my place of business and arrest me for the balance owed on it. Now I have a collections agency calling me at work asking to speak to human resources. Can they arrest me at work for not paying this loan? back?

Answer
Hello:

The only way you can be arrested is if you committed a crime.  In this case, it would be if you used some type of fraud or deception to OBTAIN the loan.  Forgery and theft by swindle are also something I suppose you could have done.  But if it was a legitimate loan and you didn't lie or deceive the lender, you cannot be arrested simply for not paying the debt.  There is no debtors' prison in this country.

In fact, the original creditor may have violated federal law themselves by using such threatening language with you.  If the collection agency ever uses similar terms, you have the makings of a VERY good lawsuit against them to collect money yourself.

In the interim, you can send a letter directly to the collection agency telling them not to call you at work or at home.  Send it certified mail, return receipt requested.  Once they receive it, they are only allowed to contact you by phone one more time to basically tell you they received it and what their intentions are going forward.  If they call you again after that, you again have the makings of a very good lawsuit against the collection agency.

Good luck.  I hope this information helps.

Regan
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Regan Shinski

Expertise

I can answer questions on collections, repossessions, bankruptcy, credit repair, credit counseling, FICO scores, credit planning, and the cause and effect of credit related decisions. I can also answer questions on collection settlements and preparing to sue your creditors for false debts and credit reporting.

Experience

Fifteen years ago I was financially devasted due to severe health issues. I filed bankruptcy, had a foreclosure, car repossession, tax lien, and ruined credit. I immersed myself in credit law. I settled dozens of accounts and had them removed to improve my credit. I personally sued four creditors and collection agencies and won cash settlements for their false reporting on my credit reports. Since then, I have completely recovered and have nearly $100,000 in revolving credit lines and perfect credit. I have owned a credit repair company for the past five years and have an additional three years of specific work in the collections and debt management industry. I am fully versed in the Fair Debt Collection Practices Acts (FDCPA), Fair Credit Reporting Act (FCRA), and have used them successfully in collection settlements and lawsuits for myself and others. I am also familiar with and abide by the Credit Repair Organizations Act (CROA). I have deleted or helped delete literally hundreds and hundreds of derogatory items from consumers' credit reports and helped negotiate many settlements with collection agencies and creditors. I have also advised people on bankruptcy at any stage. In the current credit market, I have successfully advised numerous people on how to obtain credit and how to negotiate for better terms.

Education/Credentials
BA - University of Minnesota

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(private)

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