What steps can a collection company take if you do not agree with their program in the state of New York?

Answer 1

Collection companies are famous for making threats and not following through. They may have said they would garnish your income, file a lien against your house or car, or freeze bank accounts. They can do none of those actions unless they have a valid civil court judgment. Bottom line--unless the creditor has taken you to court, and obtained a judgment, all they can do is ding your credit and harass you with phone calls and letters. If they report to the credit bureau, then you have rights under the Fair Credit Reporting Act, so talk to your state attorney general's office or an attorney if that happens. To stop getting harassing telephone calls, try this: Whenever a creditor calls, say, "You are harassing me. I am recording this conversation." You could even buy a tape recorder at Radio Shack if you want to actually record the calls, but a creditor won't know whether or not you are actually recording. Odds are, they will hang up, and after a few times, they will not call again. I would also keep in mind that the statute of limitations bars creditor claims unless a lawsuit has been brought within a certain period of time. An attorney in your state can inform you of the applicable statute of limitations for this claim.