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Verification of Debts under the FDCPA

by Nicholas Ortiz, Boston Bankruptcy Attorney on October 24, 2007 · 0 comments · Posted in General Bankruptcy Information

What are the options for a consumer who wants verification of a debt demanded by a debt collector? The options are not very good. Courts have interpreted a debt collector’s duty to verify a debt very narrowly. See Chaudhry v. Gallerizzo, 174 F.3d 394 (4th Cir. 1999); Clark v. Capital Credit & Collection Services, Inc., 460 F.3d 1162 (9th Cir. 2006).

Debt collectors do not have a duty to investigate a consumer’s dispute or do essentially anything more than confirm, and parrot back, the amount claimed by the creditor. Consumer organizations such as NACA have pushed for some times for an amendment to 11 U.S.C. 1692g to impose a duty on debt collectors to respond meaningfully to consumer disputes.

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