The Fair Debt Collection Practices Act (FDCPA) protects debtors in California and across the nation from unfair collection practices and creditor harassment. Many things have changed in the world since the FDCPA was first enacted in 1978. The lawmakers who wrote the act could never have envisioned the world filled social media websites we live in today.

The Federal Trade Commission is still unclear as to how the FDCPA applies to websites like Facebook. With concerns over how some debt collectors are using Facebook, the FTC recently organized a panel to discuss how the FDCPA applies in the new realm of social networking sites.

For example, the FDCPA was written with the goal of preventing debt collectors from publicly shaming or hurting the image of debtors. As a means towards reaching that goal, the FDCPA prohibits the sending of postcards that publicly show what a debtor owes. How does this rule apply to a post on a debtor's Facebook wall?

Several members of the FTC panel compared the act of posting a debt collection message on a Facebook wall to sending a post card, and they believe the practice to be abusive.

The use of social media sites by debt collectors has presented other possibilities for abuse. Debt collectors could potentially contact people without providing adequate disclosure about the purpose of their communication. Additionally, there have been reports of debt collectors using social media to track the location of debtors. Panelists expressed deep concern about past and potential cases of mistaken identity.

Working with debt collectors has always been a difficult and confusing task. Adding social media to the situation can make working with creditors even more confusing. If you have questions about debt relief or ending creditor harassment, an experienced bankruptcy attorney can advise you of your legal rights.

Source: Collections & Credit Risk, "The Debate Over Social Media In Collections Heats Up," Peter Lucas, 5/9/2011