Filing for bankruptcy once came along with a notable stigma. However, these days, more and more people learn that bankruptcy serves as a perfectly reasonable tool for leaving behind debt.
On top of that, it also offers protection from one thing that every person in debt hates to face: debt collectors.
Forms of debt collector harassment
The Consumer Financial Protection Bureau looks at debt collector harassment. Under the Fair Debt Collection Practices Act (FDCPA), debt collectors legally cannot take certain actions against those in debt. Their actions cannot end up construed as harassing or misdirecting in any way.
Of course, this does not mean that every debt collector will abide by the law. Many bank on the fact that people in debt typically do not understand their rights and do not know that they have protections from harassment. Many do not even know how to identify harassment.
Harassment comes in many forms. It can include overt and direct threats, such as a collector threatening to evict a victim and their family. It can also include indirect threats, such as the debt collector parking outside of the house and simply sitting there watching the home all day without doing anything.
Phone harassment also happens often, in which debt collectors call at unreasonable hours and refuse to leave identifying messages.
Stopping harassment with bankruptcy
Victims who suffer through this harassment can stop it in its tracks by filing for bankruptcy. At this point, it puts a legal stay on all collection actions, rendering the work of a debt collector illegal. They can get into big trouble if they attempt to continue, and victims can pursue damages if they do.