Colorado Debt Collection and Consumer Protection Law

The Colorado legislature has enacted supplementary state laws (Colo. Rev. Stat. §§ 5-1-101 to 5-12-105 and 12-14-101 to -137) to the federal Fair Debt Collection Practices Act of 1977 (15 USCA § 1692 et seq.). The state statutes supplement the FDCPA by providing additional consumer protections. 

Colorado law is broader than the FDCPA in that it also applies to "creditors" and not just to "collectors." Further, Colorado broadly prohibits acts by debt collectors that rise to the level of unconscionable, such as various types of deceptive, threatening, harassing or unreasonable communications by the debt collector. Section 12-14-113 offers additional protection to consumers by making it a violation of privacy for a debt collector to harass a consumer's family or employer.

In addition, the Colorado statutes, in specified instances, provide consumers with a private cause of action against debt collectors who violate the state's statutes (giving consumers the right to sue offending debt collectors). Moreover, Colorado's statutes provide for the award of attorneys fees to a consumer should that consumer be successful enforcing his or her rights under the state laws. However, the Colorado statutes do not allow for a double recovery of damages under both Colorado law and the FDCPA. In other words, a consumer may only be awarded damages under one or the other, but not both federal and state law.

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For more information on Colorado debt collection law, click on the links below.

Links:

• Colorado Attorney General's webpages on:
  • Colorado Collection Laws
  • Collection Agencies and Debt Collection
• Colorado Revised Statute Title 12, Article 14, Section 101, et seq. (12-14-101)
• Colorado Courts

Federal Law: Fair Debt Collection Practices Act (FDCPA)

The FDCPA is a federal law that provides residents of all states with considerable rights and protections against abusive, unfair and deceptive debt collection practices by debt collectors. Examples of debt collection practices prohibited by the FDCPA include using profane language, lying and calling a debtor at work if the debt collector knows the employer disapproves. The debt collector must also protect the debtor’s privacy by not disclosing the debt to others such as friends, family members or co-workers.

A debt collector, as defined in the FDCPA, is anyone who regularly collects debts on behalf of an original creditor. Original creditors, such as credit card companies and banks, are not considered debt collectors when they attempt to collect debts owed directly to them. Therefore, original creditors are not covered under the FDCPA.

The FDCPA covers only consumer debt, which includes personal, family and household debt, but not business debt or any debt incurred for business purposes. Common types of consumer debt are credit card debt, automobile loans, home loans, utility bills and medical debt.

For more information on the FDCPA, including what debt collectors can and cannot do and what you can do if you believe a debt collector violated your rights under the FDCPA, please visit our FDCPA information page.