Legal Question in Credit and Debt Law in Utah

unfair debit collection

I was wondering if it was legal for a debit collection agancy to accept only visa/debit card payments for which they charge a handeling fee to process? and refuse to accept checks or money orders to pay for the debit?


Asked on 12/29/06, 2:24 pm

1 Answer from Attorneys
Alvin Lundgren Alvin R. Lundgren, L.C.

Re: unfair debit collection

A collection agency is not allowed to collect a fee for handling unless you have so agreed. They are also required to accept any form of good payment, they cannot limit you to a credit card. They do not need to take a check but should take cash or money orders, etc. The collection agency might be in violation of the Fair Debt Collection Practices Act, and may be subject to a fine and having to pay attorney fees.

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Answered on 1/02/07, 10:52 am


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