How to stop collection calls on small personal loans and payday loans?

Answer 1

Any legitimate loan is covered under the Fair Debt Collection Practices Act. This Federal law covers the behaviors of bill collectors. Many of the aspects of FDCPA only apply to collection agencies, not necessarily to the original lender. Most lenders will still abide by the rules of the FDCPA, and most states have their own laws governing bill collection. Payday loans themselves, are illegal in many states due to the high interest rates. Most states require lenders and bill collectors to be licensed in that state to conduct business. Many payday lenders are not licensed, and are practicing illegally. You would have to contact your state Financial Regulatory agency to find out your state's specific laws. As a rule, if you write a cease and desist letter to a bill collector, they must cease contacting you unless it is to tell you that they intend to take further legal action against you.