Why Collection Calls Happen
When a Canadian consumer defaults on his/her monthly payment arrangement with a creditor he or she will begin to receive collection calls. The calls will start from the bank’s internal collections department and escalate to senior members of the bank’s collection team over time. The Banks are federally regulated and have rules and regulations to follow when it comes to the collection activity of their debts.
While there are rules set in place by the government, not many people know what those rules are. There have been many occasions when dealing with a bank that they too are not familiar with the collection rules they must adhere to. Is this surprising to you? It doesn’t surprise me, and here is why. Banks are very large institutions. Large institutions have high turnover so the influx of new employees aren’t familiar with their governing rules and they often infringe on them without even knowing.
Collection Agency Calls
Generally speaking, after about 6 months of internal collection attempts by that bank, they will assign your account to a collection agency. The collection agency is provincially governed rather than federally governed so you need to ensure you are aware of your own provincial laws wherever you reside. The rules and regulations for collection agencies are different to those rules and regulations for the banks but have a few similarities.
You Do Have Rights
Notwithstanding, there are provisions in both the federal and provincial legislations that Canadian consumers can avail themselves of to stop the collection calls. Calls to your cell phone in Ontario are often the easiest to stop. I am familiar with these provisions and if you are struggling with collection calls from banks or collection agencies, feel free to give us a call. we can not only get those calls to stop, we can also put you on a plan to eliminate your debts once and for all that will take you less than 5 years.
For more information regarding your legal rights when it comes to credit card, feel free to reach out to me at 416 855 0485. I am a licensed paralegal and have approximately 10 years experience negotiating settlements on credit card debt.