ACA International, the association of credit and collection professionals, supports the Federal Trade Commission's recently finalized policy statement bringing clarity to the complexities of collecting on a decedent's debt.
"The FTC's policy recognizes the challenges with estate administration and provides much needed clarity on how collectors may communicate with people to find those authorized to settle outstanding debts from a decedent's estate," says ACA International CEO Patrick J. Morris.
The FTC's statement clarifies the 1977 Fair Debt Collection Practices Act (FDCPA), which determines whom collectors may contact after a relative has died such as the deceased person's spouse and the executor or administrator of the deceased person's estate.
"The FTC showed great wisdom in updating the FDCPA to be consistent with the complexities of state probate law," says Morris.
ACA International agrees with the FTC guideline that rightfully owed debt should be collected from an estate respectfully, without misleading relatives or by using deceptive or abusive tactics.
As outlined by the FTC, family members are typically not obligated to pay the debts of a deceased relative from their own assets.
Consumers seeking information on their rights in collection can visit www.askdoctordebt.com, a free resource to answer questions.
