Debt Collections for Tenants in Chicago

Collection agencies are businesses that specialize in collecting debts on behalf of creditors, including landlords and property management companies. If you fall behind on rent, your landlord or property management company may hire a debt collection agency to collect the debt. In Illinois, debt collection agencies must comply with the Illinois Collection Agency Act. This act regulates the behavior of debt collectors and provides consumers with various rights, such as the right to dispute the debt and the right to request verification of the debt.

• How the debt collector should communicate with the debtor tenant
• The tenant may ask for information about the amount owed, the debt collector’s contact information, and the name of the creditor they’re representing in writing
• How to dispute a debt that a tenant believes is inaccurate or already paid within 30 days of receiving written notice
• Even for valid debts, debt collectors cannot garnish your wages without a court order in Illinois. Additionally, debt collectors cannot threaten to take actions they cannot legally take, such as filing a lawsuit without the intent to do so.

If you are unable to pay the debt, you may be able to negotiate a payment plan with the debt collector or creditor. It is important to get any agreement in writing and to make sure you are able to make the payments before agreeing to the plan.