A new rule from federal regulators is changing the way debt collectors reach

Roommates, if you’ve ever needed a sign to stop displaying money, jewelry, and other valuables online, now is the time. Especially if you owe money to debt collectors. The COVID-19 pandemic has changed many things in terms of finances, and due to the new rules and regulations, debt collection is one of them. It seems that debt collectors are already doing everything and everything to raise the money due, but now social media will help them rise!

A new report from the Washington Post states that federal regulators have given debt collectors the right to prosecute debtors via email, text messages and social media sites. The new rules went into effect on Tuesday, which could affect millions of users. One may ask who made this approval? Well, you can thank the Fair Debt Collection Practices Act (FDCPA).

The purpose of the FDCPA is to eliminate abusive debt collection practices. It was introduced by the administration of former President Donald Trump when the Office of Financial Consumer Protection (CFPB) became more friendly to the business community. Cathy Craninger, the former director of the CFPB, appointed by Trump and resigned at the request of President Joe Biden, said the rules were aimed at “modernizing the legal regime for debt collection.”

To break the rules, they are designed to establish certain restrictions on contact, to protect people’s privacy, and to protect them from harassment, abuse, or dishonest practices. So, if you are connected through your social media account, you don’t have to worry that everyone is in your business, because the message has to be private via DM. Debt collectors are not allowed to publish anything that can be seen by the general public.

In addition, if a debt collector sends you a DM or asks to add you as a friend or contact, the company must make it clear that it is trying to collect a debt. In addition, they must provide the option to opt out of receiving additional messages from them on the social media platform on which they have contacted you. So roommates accept this information as you wish, and if you are a person who owes debt, keep in mind that collectors have a limited number of years in which they can sue someone to collect it. After the expiration of the time, all unpaid debts are considered “repaid by prescription”.

Roommates, do you think this new rule is fair?

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