Commercial-Debt Collection Protection Statutes in GEORGIA

Unfortunately, Georgia does not impose statutory licensing requirements for commercial debt collection within the state.

What about the Fair Debt Collection Practices Act (FDCPA)?

The Fair Debt Collection Practices Act, enacted by the U.S. Congress in 1977 and later incorporated into the Consumer Credit Protection Act in 1978, aims to curb abusive practices by third-party debt collectors. The FDCPA provides guidelines for collector conduct, defines consumer rights, and outlines penalties for violations.

According to the FDCPA, “debt collectors” are defined as individuals using interstate commerce or mail for debt collection, specifically for personal, family, or household transactions. Notably, the FDCPA does not cover commercial debts or debts owed by businesses.

Commercial Collection Agency Association

As there are no federal laws akin to the FDCPA regulating third-party commercial debt collection, the Commercial Collection Agency Association (CCAA), affiliated with the Commercial Law League of America (CLLA), takes a leading role. While these organizations are not government bodies, they establish high standards of practice and ethics for certified commercial collection agencies.

Established in 1972, the CCAA focuses on enhancing the commercial collection industry’s quality and reputation. To become a certified member, agencies must meet strict criteria, including a minimum of four years in business, 80% commercial business focus, maintenance of a Trust Account, adherence to a Code of Ethics, and compliance with licensing requirements.

The Commercial Law League of America, founded in 1895, oversees the CCAA. Membership in the CCAA requires agencies to post a substantial surety bond, participate in continuing education, and undergo periodic site visits. While the CCAA and CLLA play a significant role in safeguarding creditor rights, state governments also contribute with licensing and bonding requirements for commercial debt collectors.

Since CCAA membership is optional, creditors are responsible for ensuring they engage with ethical and reputable commercial collection services, especially in cases where firms operate in states without mandatory licensing.

Secure the services of an experienced debt collection lawyer

Our skilled attorney specializes in handling numerous broken contract cases annually, making it one of our most common practice areas. With this extensive experience, we possess the knowledge required to secure a fair judgment in breach of contract cases.

Let us guide you through the process and help you obtain the settlement you rightfully deserve for your products or services. Your dedication to building your company should not be overshadowed by the burden of unpaid bills and broken contracts. Trust our Atlanta law firm to assist you in achieving the best possible outcome.

To get started, request a complimentary consultation with Diwan Law’s debt collection attorneys either online or by calling 404-635-6883.

* The information presented in this article does not constitute legal advice. All information, content, and materials presented on this website are for general informational purposes only. If your business is sued, we encourage you to contact Diwan Law before taking any action.