Cease and Desist Letter for Debt Collectors (+ FREE Template)

What Is a Cease and Desist Letter for Debt Collection?

A cease and desist letter tells debt collectors to stop contacting you. You send it in writing to formally demand they stop calling. The letter works for both phone calls and written demands.

Once the collector receives your letter, they must stop contacting you. There’s one exception to this rule.

The debt collector can make one final contact. They may use this final communication to:

• Confirm they’ll stop contacting you
• Inform you of legal actions they plan to take
• Offer to settle your debt for less

After that final contact, they must remain silent.

When Should You Send a Cease and Desist Letter?

Sending a cease and desist letter is your choice. You need to understand when it helps and when it might backfire.

Most people send cease and desist letters to:

• Stop collection calls when they don’t want to negotiate
• Cut off contact on old debts past the statute of limitations
• End mistaken identity issues when contacted about someone else’s debt

A debt verification letter might work better in some situations. Consider verification first if you question whether the debt is legitimate.

If You Want to Stop Collection Calls

Debt collectors calling nonstop? Send a cease and desist letter to stop the harassment. You don’t have to negotiate if you don’t want to.

Remember one critical fact: stopping communication doesn’t eliminate the debt. Collectors may sue you instead of calling you. You’re just shifting their strategy, not avoiding the debt.

If the Debt Is Past the Statute of Limitations

Collectors can still contact you about old debts. They can call even if the debt is too old to sue over.

If the statute of limitations has expired, send your letter. Time-barred debts can’t be legally enforced in court. But collectors can still try to sue you.

You must respond to any lawsuit and tell the court the debt is time-barred. Collectors legally cannot threaten to sue on expired debts. Some still try aggressive collection tactics anyway.

If the Debt Isn’t Yours

Being contacted about someone else’s debt? You’ve already told them it’s not yours. Send a cease and desist letter if they keep contacting you.

You have no obligation to discuss debts that aren’t yours. A written letter creates a paper trail of your dispute.

When You Might Want to Send a Debt Verification Letter Instead

A debt verification letter might be your better first move. Use verification if you doubt the debt’s validity.

Send your verification request within 30 days of receiving the collector’s validation notice. The law requires them to stop collection efforts until they prove the debt exists. You gain time and information before deciding your next step.

What Should You Include in a Cease and Desist Letter?

The Fair Debt Collection Practices Act (FDCPA) protects you from harassment. Collectors who contact you after receiving your letter are violating federal law.

Follow these steps to protect your rights:

• Put your request in writing
• Make a copy for your records
• Send it via certified mail with return receipt
• Write a separate letter for each individual debt
• Include only the account information the collector already provided
• Refer to the “alleged debt” without acknowledging you owe it

Never acknowledge owing the debt in your letter. Acknowledging debt can reset the statute of limitations clock. Your state’s laws determine how this affects you.

What Is the FDCPA and How Does It Protect You?

The FDCPA is federal law protecting consumers from abusive debt collectors. The law stops harassment, deception, and unfair treatment by third-party collectors.

The FDCPA doesn’t apply to original creditors. If your debt is still with the original creditor, these rules don’t apply. The law only covers creditors who purchased your debt.

The FDCPA covers personal debts only. Credit card debt, auto loans, medical bills, and mortgages are included. Business debts aren’t covered by FDCPA protections.

If collectors violate the FDCPA, you can take action. File complaints with the Consumer Financial Protection Bureau. You can also sue collectors who break the law.

FREE Cease and Desist Letter Template: General Demand to Stop Contact

Use this template to request a debt collector stop all communication:

Date

[your name]

[your address]

[city, state, zip code]

[debt collector’s name]

[debt collector’s address]

[debt collector’s city, state, zip code]

Re: [debt collector’s account number(s) for the debt(s)]

To Whom It May Concern:

Pursuant to my rights under state and federal debt collection laws, including the Fair Debt Collections Practices Act (FDCPA), I hereby request that you immediately cease and desist all oral and written communication with me, along with my family and friends, regarding any and all alleged debts you maintain I owe.

Additionally, my employer prohibits me from receiving your calls or written correspondence at work, so please refrain from contacting my workplace in any manner as well.

You are hereby notified that if you do not comply with this request, I will immediately file complaints with the Federal Trade Commission, the Consumer Financial Protection Bureau, the [your state] Attorney General’s Office, and other appropriate regulatory bodies. Civil claims may be pursued.

Thank you for your cooperation in this matter.

Sincerely,

[your signature and printed name]

Cease and Desist Letter Template: Mistaken Identity

Use this template if you’re being contacted about someone else’s debt:

Date

[your name]

[your address]

[city, state, zip code]

[debt collector’s name]

[debt collector’s address]

[debt collector’s city, state, zip code]

Re: [debt collector’s account number(s) for the debt(s)]

To Whom It May Concern:

Pursuant to my rights under state and federal debt collection laws, including the Fair Debt Collections Practices Act (FDCPA), I hereby request that you immediately cease and desist all calls as well as oral and written contact to [your phone number and address] regarding the account of [wrong person’s full name]. You have the wrong contact information for that person.

You are hereby notified that if you do not comply with this request, I will immediately file complaints with the Federal Trade Commission, the Consumer Financial Protection Bureau, the [your state] Attorney General’s Office, and other appropriate regulatory bodies. Civil claims may be pursued.

Thank you for your cooperation in this matter.

Sincerely,

[your signature and printed name]

What Happens After You Send a Cease and Desist Letter?

The debt collection company should stop contacting you immediately. Any contact after receiving your letter violates the FDCPA. You can file a complaint with the CFPB or sue the collector.

Sending a cease and desist letter doesn’t erase your debt. You’re still responsible for repaying valid debts. The collector simply can’t call you anymore.

The collection agency may choose to sue you instead. They lost their ability to negotiate by phone. A lawsuit becomes their next logical step.

If they sue, you must answer the summons and complaint. Ignoring a lawsuit leads to a default judgment against you. With a judgment, collectors can garnish your wages or freeze your bank account.

If you’re being sued by a debt collector, our partner Solo can help you respond to the lawsuit and potentially negotiate a settlement.

Summary

The FDCPA protects you from debt collector harassment. You have the right to stop a collection agency from contacting you. Your request works even if you legitimately owe the debt.

Collectors who contact you after receiving your cease and desist letter break federal law. You can file complaints and pursue legal action against them. But remember: your debt still exists. Collectors may sue instead of calling.