How does Texas Deceptive Trade Practices law provide protection?
A debt collector or debt collection company that violates any statutes in the Texas Finance Code can be sued for deceptive trade practices. • A consumer may maintain an action against a debt collector if the debt collector has engaged in false, misleading or deceptive acts in debt collection or credit reporting that is detrimental to the consumer. • A debt collector can be sued if they have commited unconsionable action to a consumer’s detriment that takes advantage of the consumer’s lack of knowledge, ability, experience, or capacity of the consumer to a grossly unfair degree. • If the court finds that the debt collector knowingly committed these acts by violating Texas Finance Code, the consumer may recover damages for mental anguish in the amount of up to three times (trebling) the economic damages suffered. • The Deceptive Trade Practices statutes provide specific guidelines for filing civil action against a debt collector.
