Ohio does not have a state fair debt law, however consumers who have been victimized by debt collectors should refer to federal Fair Debt Collection Practices Act (FDCPA). Important rules include:
- Collectors cannot use inappropriate or obscene language or make threats
- Calls must be made between 8am and 9pm unless you specify otherwise
- Calls made to you at work cannot be made if your employer disapproves
- Debt collectors cannot correspond with debtors via postcard or use an envelop that indicates its from a collections agency
- If you send a cease and desist letter via mail, the collector cannot contact you again except to tell you they are taking legal action against you
- During communication (whether in person or by phone) creditors must state his name and not misrepresent who he works for (i.e. cannot say he is a cop or an attorney)
- The debt collection agency cannot imply that you’ve committed a crime or threaten to sell your debt in an attempt to collect
- You cannot be contacted by a debt collector if you are being represented by an attorney
If a Ohio consumer has been a victim of debt collection abuse or if the collection agency has violated the law, debtors can turn to the Fair Debt Collection Practices Act (FDCPA) for legal action. A successful suit may result in damages of up to $1,000.
Ohio Statue of Limitations (SOL)
Ohio has a four-year statue of limitation (SOL) on open accounts such as credit cards, meaning that the creditor can contact you for up to four years. For written contracts creditors can also pursue you for up to 15 years. Consumers can consider Ohio debt settlement during the time the account remains open.
In addition to Social Security, Ohio provides broad exemptions for non-income wage garnishment protection. Exempt areas include:
- Pensions: included in the list of protected pensions includes fire fighters, police, county, municipal, school district benefits
- Public benefits/assistance-- several areas are exempt including worker’s compensation, disability, tuition credits and cash assistance through “Ohio Works”
- Ohio exemptions include disability, group life, annuity benefits for dependents and life insurance
Ohio Credit Card Debt Relief Act of 2010
The Credit Card Debt Relief Act of 2010 has streamlined the methods for repaying debt and regulated how collectors work with debtors. The Act has impacted debt relief collections several ways:
- The number of fraudulent or weak performing credit card companies are gone
- Reduces the chances of falling victim to fraudulent debt settlement companies due to new Federal Trade Commission (FTC) reforms
- Increased, open communication from creditors--more information is provided to help you eliminate your loans
- Debt settlement companies cannot request upfront fees from clients