How to Sue a Debt Collector (And Why It's Free)

Most people think suing someone is expensive. For debt collectors, it's free - they pay YOUR attorney if you win. Here's exactly how it works.

The Fee-Shifting Secret

The Fair Debt Collection Practices Act has a special provision that changes everything:

"[A]ny debt collector who fails to comply with any provision of this title... shall be liable... for the costs of the action, together with a reasonable attorney's fee as determined by the court."

Translation: If you sue a debt collector for breaking the law and win, THEY pay your attorney fees.

This is why consumer protection attorneys take these cases on contingency. They know that if they win, they get paid by the collector - not you.

What You Can Win

• Statutory damages: Up to $1,000 per case (automatic if they violated the law)
• Actual damages: Lost wages, medical bills from stress, other real costs
• Attorney fees: Collector pays this, not you

For egregious cases (multiple violations, willful misconduct), settlements often reach $3,000-10,000+.

Step-by-Step Process

Step 1: Document Everything

• Save voicemails (these are gold)
• Screenshot text messages
• Keep all letters
• Log every call (date, time, what was said)
• Get witness statements if others heard calls

Step 2: Identify the Violations

Common FDCPA violations include:

• Calling before 8am or after 9pm
• Calling your workplace after you said not to
• Threatening arrest, lawsuits, or garnishment they can't do
• Telling others about your debt
• Using profanity or abusive language
• Not identifying themselves as debt collectors
• Continuing to call after you sent a cease letter

Step 3: Find an Attorney

This is where most people get stuck. They think attorneys are expensive. But FDCPA attorneys work on contingency - no upfront cost, no hourly fees.

Look for attorneys who:

• Specialize in consumer protection law
• Are members of NACA (National Association of Consumer Advocates)
• Take cases on contingency
• Have experience with your specific collector

Step 4: The Attorney Takes Over

Once you hire an attorney, they:

1. Review your evidence
2. Research the collector's violation history
3. Draft a demand letter
4. Negotiate a settlement (most cases settle here)
5. File a lawsuit if needed

Most cases settle in 2-4 months without ever going to trial.

What If You Lose?

Contingency means the attorney only gets paid if you win. If you lose, you owe nothing. The attorney took the risk.

This is why attorneys are selective about cases - they only take ones they believe in.

Common Questions

"Do I still owe the debt?"

Winning an FDCPA case doesn't erase your debt. But many settlements include debt forgiveness as part of the deal.

"Will this hurt my credit?"

No. Suing a collector doesn't appear on your credit report. The debt might, but the lawsuit doesn't.

"What if the collector is small or goes bankrupt?"

This is a risk, but rare. Most collectors are well-funded because, well, debt collection is profitable.

Take Action

If a debt collector has violated your rights, you have 1 year from the violation to sue. Don't wait.