Florida Laws on Unsecured Credit Card Debt
- Florida gives debt collectors the right to sue you in court.law courts image by Peter Helin from Fotolia.com
Florida has broad laws governing the collection of unsecured credit card debt. Many of the laws mirror parts of the Fair Debt Collection Practices Act, a federal law governing what bill collectors are allowed to do--and not do--as they attempt to collect from you. Florida also has laws that are specific to the state, such as limitations on the length of time debt collectors have to pursue you in court. - Florida law generally prohibits unregistered, out-of-state debt collectors from collecting from you. However, there are a number of exceptions, including the original creditor and any Florida attorney. Also exempted are consumer finance companies and financial institutions authorized to conduct business in the state. Most other debt collection companies are required to register with the state as a consumer collection agency before attempting to collect from you. You have the right, through the Fair Debt Collection Practices Act, to ask a debt collector if his firm is legally entitled to collect from you in Florida. Debt collectors who collect illegally in the state are subject to a fine of up to $1,000.
- An out-of-state collection agency that is not registered in the state of Florida can assign the collection of your account to an attorney in Florida or to a registered debt collector in the state. The new debt collector must notify you of the change. In addition to using standard collection procedures such as contracting you by mail, the new debt collector or attorney can file a civil lawsuit against you in the county in which you live.
- Debt collectors in Florida have up to five years to successfully sue you in court. After that, any further lawsuits by the debt collector will be dismissed in court if you appear for the hearing and point out that the statute of limitations has expired.
- You can not be jailed in Florida for failing to pay your credit card debt. The debt collector could win a judgment against you in court for the full amount owed, plus legal fees. That could lead to your wages or bank account garnished to satisfy the judgment.
