THE NO JOB LIFESTYLEFederal rights that apply in Texas
The letter itself follows federal law. Within the 30 day window, you may dispute all or part of a debt and request the original creditor's name. The collector must stop collecting that debt until it sends verification. These rules cover third party collectors and debt buyers everywhere in the United States, including in Texas.
Texas has no special letter form. Use a simple signed letter with the account details and your requests, and send it by certified mail with return receipt. The content is the same as in any other state, but you may mention both the federal law and Chapter 392 of the Texas Finance Code.
What Texas law adds
- Texas Debt Collection Act: Chapter 392 of the Finance Code bars threats, harassment, false claims and other unfair conduct. It can apply to original creditors collecting their own consumer debts, which the FDCPA generally does not cover.
- Surety bond: third party debt collectors in Texas must file a surety bond with the Secretary of State, and you can check whether one is on file.
- Time limit to sue: a four year statute of limitations generally applies to debt lawsuits in Texas.
- Rules for debt buyers on old debt: Texas Finance Code section 392.307 restricts debt buyers from suing on debts past the time limit, and a payment does not restart that period for those debts.
- Wage garnishment: Texas generally does not allow garnishing wages for ordinary consumer debts, with limited exceptions such as child support, taxes and student loans.
Check dates before you act
Find the date of your last payment or default on your records or credit report. If four years have passed, a lawsuit may be blocked, but the debt can still appear on your report until its reporting period ends, generally seven years from the original delinquency. These are two separate clocks. Federal rules bar collectors from suing or threatening to sue on a time barred debt.
Be careful with payments on old debts until you understand how the rules apply. If you get served with a lawsuit, do not ignore it. In a Texas justice court, an answer is usually due within 14 days of being served, and in county or district court it follows a different deadline. Check the citation you were given, and consider legal aid or an attorney.
Where to report problems in Texas
If a collector ignores your letter, makes threats or keeps collecting before verifying, you may file a complaint with the Texas Attorney General's consumer protection division and with the Consumer Financial Protection Bureau. Save call logs, voicemails, envelopes and copies of your letters.
Texas law and the FDCPA both allow lawsuits against collectors for violations, and successful consumers may recover damages and attorney fees. Many consumer attorneys in the state offer free reviews. Texas legal aid groups and law school clinics can also help people who qualify based on income.
Questions people ask
Is the letter different in Texas?
No special format is needed. It is the federal request, and you can cite the Texas Finance Code as well if the conduct raises a state law issue.
Does the letter stop a Texas lawsuit?
No. Once you have been served, you must answer the court by its deadline, even if you have sent a letter.
Can a debt collector call you at work in Texas?
Not if it knows your employer prohibits such calls or if you tell it the calls are inconvenient. Put that request in writing.