Many people find pressure from creditors and debt collectors unpleasant and sometimes distressing. However, there are limitations on their activities. The Australian Competition and Consumer Commission has set guidelines. See http://www.accc.gov.au/fs-search.htm .

Creditor harassment is an excessive quantity of pressure from a creditor or debt collector to pay a debt. It may involve threats of violence, threats to embarrass the debtor, false information, excessive number of telephone calls or home visits or general nastiness.

Section 60 of the Trade Practices Act 1974 (C'th) states:
"A corporation shall not use physical force or undue harassment or coercion in connection with the supply or possible supply of goods or services to a consumer or the payment for goods or services by a consumer."

Options for dealing with creditor harassment include:

• Keep a diary of all communication with creditor, including date, time and what was said.
  
• Ask the creditor to only phone at certain times or only to communicate by post.
  
• Get a telephone answering machine to screen calls or change your phone number.
  
• Do not make promises to pay that you cannot fulfil.
  
• See a financial counsellor.
  

DISCLAIMER The information provided in this information sheet is of a general nature only, and is not intended to be legal advice. There may be errors or inaccuracies or the information may not be completely up-to-date. Always check the information provided before relying on it. The information relates to consumer law in New South Wales, Australia.