Debtors have a legal obligation to pay their creditors and must work to ensure that their debt is resolved in a timely manner. Defaulting on a debt often affects the debtor’s credit score, resulting in decreased ability to acquire future credit and loans. In order to comply with their debt obligations, debtors may have to file for bankruptcy or sign up for a debt relief program.

Debtors have no legal obligation to pay their debt in full; rather, their obligation is to pay the amount promised when they borrowed the money. They may be able to negotiate with creditors to reduce the amount due or to extend the term of the loan. Debtors usually have greater success in negotiating debtor-friendly terms if they are able to make lump-sum payments rather than smaller periodic payments.

When debtors default or make late payments, creditors often send collection letters, phone calls, and emails. The FDCPA limits such contact to a reasonable amount and only at specific times. Creditors are further restricted from calling before 8AM or after 9PM, and may not call debtors at their place of work if the employer has expressed a policy prohibiting such contact.

The purpose of the FDCPA is to protect debtors from abusive or oppressive collection practices. It is important for debtors to be aware of their rights and duties when engaging in debt collection and repayment. If a debtor has a dispute with their creditor or they believe they have been treated unfairly, they can contact the Federal Trade Commission or their local consumer protection agency.