If a debt collector has called your job or spoken to your boss, you may be wondering:
- Is that legal?
- Can they tell my employer I owe a debt?
- Is that an FDCPA violation?
In many cases, contacting your employer can violate federal law.
What the FDCPA Allows (and Prohibits)
The Fair Debt Collection Practices Act (FDCPA) restricts how and when debt collectors can communicate with third parties — including your employer.
A debt collector may:
- Contact your employer once to obtain “location information” (your address or phone number).
- Verify employment in limited circumstances.
A debt collector may NOT:
- Tell your employer you owe a debt.
- Discuss the amount owed.
- Ask your employer to pressure you to pay.
- Repeatedly call your workplace.
- Continue contacting you at work after you tell them your employer prohibits such calls.
What If My Employer Doesn’t Allow Personal Calls?
If you inform the debt collector that your employer does not allow collection calls at work, they must stop calling you there.
Continuing to contact you at work after being told not to can be an FDCPA violation.
What About Wage Garnishment?
Once a creditor obtains a court judgment, wage garnishment may involve your employer.
That is different from pre-judgment collection calls.
Before a judgment, they generally cannot disclose your debt to your employer.
Can I Sue If They Told My Boss?
If a collector disclosed your debt to your employer without legal justification, you may have a claim for:
- Up to $1,000 in statutory damages
- Additional actual damages
- Attorney’s fees
The FDCPA has a one-year statute of limitations.
