North Dakota Debt Collection Laws: What Collectors Can't Do to You
North Dakota law prohibits debt collectors from harassing you, calling at unreasonable hours, or lying about what you owe. You can stop the calls, demand proof, and sue collectors who break the rules.
File Your AnswerA collection agency calls your workplace three times in one morning. Another texts you at 11 PM threatening a lawsuit. Your neighbor mentions a collector contacted her asking about your whereabouts. All of this is illegal in North Dakota.
North Dakota Century Code Title 13-05 and the federal Fair Debt Collection Practices Act (FDCPA) set hard limits on what debt collectors can do. These laws exist because collectors used to do whatever worked: lie about arrest warrants, call your boss, harass your family. That stopped in the 1970s at the federal level, and North Dakota tightened the screws further with state-specific protections.
If you're getting collection calls in North Dakota, you need to know three things: what collectors can't legally do, how to make them stop, and what happens if they break the rules.
What Debt Collectors Cannot Do in North Dakota
North Dakota law bans specific tactics. These aren't gray areas. If a collector does any of the following, they've violated the law:
They Can't Contact You at Unreasonable Times
Calls before 8 AM or after 9 PM violate state and federal law. "Unreasonable" also means calling you at work if they know your employer prohibits personal calls. Once you tell a collector your work doesn't allow it, they must stop. If they call again, document it.
They Can't Threaten You With Actions They Won't Take
A collector can't say they'll have you arrested, garnish your wages immediately, or seize your property unless they genuinely intend to do it and have the legal right. Threatening a lawsuit they never file is illegal. So is claiming they'll report you to the police. Debt is a civil matter in North Dakota, not criminal.
They Can't Lie About Who You Owe or How Much
If a collector says you owe $8,000 when the actual amount is $4,500, that's illegal. Same goes for inflating the debt with fake fees, claiming to be a law firm when they're not, or saying the debt will affect your credit if it's already past the seven-year reporting window. You have the right to accurate information.
They Can't Contact Third Parties About Your Debt
Collectors can call your friends, neighbors, or relatives only to get your contact information. They can't discuss the debt, hint at what they're calling about, or contact the same person more than once (unless that person asks them to call back). Telling your sister you owe money violates federal law.
They Can't Harass You
Repeated calls intended to annoy or intimidate count as harassment. So do threats, profanity, or publishing your name on a public "deadbeat" list. North Dakota law also prohibits "unconscionable means," a catch-all for any abusive tactic designed to humiliate or coerce you.
Your Right to Demand Proof of the Debt
Within five days of first contacting you, a collector must send a written notice with the debt amount, the creditor's name, and a statement of your rights. This is called a validation notice.
Once you get it, you have 30 days to dispute the debt in writing. Send a letter saying, "I dispute this debt and request validation." The collector must then stop collection efforts until they mail you verification—like a copy of the original contract or a detailed account statement.
If they keep calling after you dispute, they've broken the law. If they never send proof, the debt is unenforceable. Use certified mail so you have proof of the dispute.
What Counts as Valid Proof
Collectors must provide enough detail to confirm the debt is yours and the amount is correct. A generic printout with your name and a number isn't enough. Look for the original creditor's name, account number, transaction history, or a signed agreement. If they can't produce this, you can challenge the debt in court.
How to Stop Collection Calls Legally
You don't need a lawyer to make collectors stop calling. Send a "cease communication" letter. Write something simple:
"I am requesting that you cease all communication with me regarding the alleged debt referenced in your letter dated [date]. This is my right under 15 U.S.C. § 1692c."
Send it certified mail with return receipt. Once they receive it, they can only contact you to confirm they'll stop or to notify you of a specific action like filing a lawsuit. That's it.
Note: Stopping calls doesn't erase the debt. They can still sue you. But it gives you breathing room to figure out your next step without daily harassment.
North Dakota Collectors Must Be Licensed
North Dakota requires collection agencies to hold an active license from the state. If an agency contacts you, ask for their license number. You can verify it through the North Dakota Department of Financial Institutions.
Unlicensed collectors have no legal standing to pursue debts in North Dakota. If someone's calling without a license, report them immediately to the state Attorney General's Office. Unlicensed collection is a red flag for a scam or a fly-by-night operation.
What Happens If They Break the Rules
If a collector violates North Dakota or federal law, you can sue them. Under the FDCPA, you can recover up to $1,000 in statutory damages per violation, plus actual damages (like lost wages if they called your boss and got you fired), plus attorney fees.
North Dakota law also allows the Attorney General to revoke a collector's license and impose fines. You can file a complaint at attorneygeneral.nd.gov or call their consumer protection division.
Keep records of every violation: call logs, voicemails, text messages, letters. These become evidence. If you can't afford a lawyer, many consumer rights attorneys work on contingency,they only get paid if you win.
Time Limits for Suing Collectors
You have one year from the date of the violation to file a lawsuit under the FDCPA. Don't wait. Once the clock runs out, you lose the right to recover damages even if the violation was egregious.
When Collectors Can Take You to Court
North Dakota has a six-year statute of limitations on most debts. After six years from your last payment or acknowledgment of the debt, collectors can't sue you to recover it. They can still ask you to pay, but they can't force you through the courts.
If they do sue within the six years, you'll be served with a summons and complaint. You have 20 days to respond in writing. If you ignore it, they win by default and can garnish your wages or bank account.
Facing a lawsuit? Check if bankruptcy can stop it in under two minutes. Filing bankruptcy triggers an automatic stay that halts collection lawsuits immediately.
How Bankruptcy Stops North Dakota Collections
If debt collectors are threatening to sue or have already gotten a judgment, bankruptcy might be your fastest exit. Chapter 7 wipes out most unsecured debts (credit cards, medical bills, personal loans) in about four months. Chapter 13 sets up a three-to-five-year repayment plan and stops wage garnishment.
The moment you file, collectors must stop all contact. No calls, no letters, no lawsuits. It's called the automatic stay, and violating it subjects collectors to sanctions from the bankruptcy court.
Bankruptcy isn't the right move for everyone, but if you're drowning and collectors won't negotiate, it's a tool worth understanding. Learn how bankruptcy works in North Dakota.
Resources for North Dakota Debtors
If you're dealing with aggressive collectors or aren't sure what to do next, these resources can help:
- North Dakota Attorney General's Office: File complaints against debt collectors at attorneygeneral.nd.gov or call (701) 328-3404.
- Consumer Financial Protection Bureau: Submit complaints about federal law violations at consumerfinance.gov.
- Legal Services of North Dakota: Free legal help for low-income residents at legalassist.org or (866) 621-9886.
- National Association of Consumer Advocates: Find a consumer rights attorney at consumeradvocates.org.
You can also contact a HUD-approved credit counseling agency for free advice on managing debt and understanding your options.
What to Do Right Now
If a collector is calling you, take these steps today:
- Document everything. Note the date, time, caller's name, agency name, and what was said.
- Request validation in writing. Mail a dispute letter within 30 days of their first notice.
- Stop the calls if you want to. Send a cease communication letter via certified mail.
- Check the statute of limitations. If the debt is older than six years, they likely can't sue.
- Consider bankruptcy if you're overwhelmed. It stops lawsuits, wage garnishment, and collection calls.
North Dakota law is on your side. Collectors bank on you not knowing your rights. Now you do.