On a daily basis at Integrity we deal with people who are having contact from debt collectors and often confuse them with bailiffs.

What is a debt collector?

A debt collector is NOT A BAILIFF. A debt collector will either buy a debt from a creditor or they will be assigned by the creditor to simply collect the debt on their behalf. A lot of bigger creditors will have their own 'in-house' collecting agents.

The difference between buying a debt and collecting the debt is that those collecting on behalf of a creditor have no legal rights over the debt and therefore cannot pursue you with legal action without the authority of the original creditor.

What rights do debt collectors have?

A Debt Collector is in no way a bailiff and therefore they have no rights whatsoever to enter your home. Some debt collectors will send notices through your door to say that they will be visiting, and people often panic when they receive these. What you need to remember is that they have no powers to force entry into your home or seize goods or demand money from you.

If they attend and are un-ivited then techinically under the law this is whats called a 'tort of trespass', and if they refuse to leave you can call the police and have them removed.

What to do if a debt collector calls?

If a debt collector either calls you or visits you at home then you treat them as you would any other creditor. As long as you are maintaining some sort of payment to them, then you needn't worry. Sometimes debt collectors can be demanding, but you just need to remember to stand your ground and only pay them what you can afford. If you are a client of Integrity then they would have to deal with us direct and you would ask them to leave your property.

Often debt collectors cause harassment to people. There are several laws which cover harassment of debtors by creditors as well as recognised guidelines which set out what is considered unreasonable behaviour by creditors. These are:

The Protection from Harassment Act 1997

If you feel you are subject to Debt Collection Harassment then this too could be classed as a criminal offence. Harassment can be verbal or in writing and would include making repeated calls to your workplace or in anti social hours. The Protection from Harassment Act 1997 makes it a Criminal Offence for any person to pursue a course of action "which they know, or ought to know, amounts to harassment of another person".

Administration of Justice Act 1970

The Administration of Justice Act 1970 S.40 makes it a Criminal Offence for a creditor or a creditor's agent (often a debt collection agency) to make demands (for money), which are aimed at causing 'alarm, distress or humiliation, because of their frequency or publicity or manner'. Equally, a creditor will be committing an offence if they falsely imply that non-payment of the debt will lead to criminal proceedings; or the creditor pretends to be someone they are not e.g. a court official or bailiff. It is also an offence to send a person a document which looks like it has been sent from a court.

Debt Collection Guidelines

The Office of Fair Trading (OFT) has produced a set of Debt Collection and Debt Management Guidelines which sets out the types of debt collection practices which the OFT considers to be unfair. The guidelines do not apply to routine debt collection but are applicable to all accounts where payments have been missed, or are in arrears. The Guidelines include a section on 'contacting debtors at unreasonable times and intervals'. Whilst the guidance does not spell out the types/times of when contact should occur, it does provide a list of examples which it might consider unfair: repeatedly calling at unsociable hours, calling places of work, or calling on Neighbours and disclosing the reason they are making these enquiries.

Contacting a Creditor Who You Think is Harassing You

If you think a creditor has broken the law or has breached these guidelines- you should first raise it with the creditor or collector concerned. To start this process you will need to gather evidence. The first step is to record the times and contents of visits and calls, and to save any threatening letters. You should then write a letter of complaint informing the creditor that you are aware of the Debt Collection Guidelines and believe they are in breach of these as well as possibly been in breach of section 40 of the Administration of Justice Act. Ask them to stop what they are doing. You must however, tell the creditor how you would prefer to be contacted. If the situation does not improve you can make a more formal complaint against a creditor.
If the creditor continues to harass you then you can contact the following for further advice:

Trading Standards

Office of Fair Trading