Definition
A federal law regulating how debts are collected, which can apply to HOAs and their agents when pursuing unpaid assessments.
The Fair Debt Collection Practices Act (FDCPA) governs how debts — including delinquent HOA assessments — may be collected, prohibiting abusive, deceptive, or harassing practices. It most clearly applies to third-party collectors and attorneys the association hires, and in some circumstances to the association itself.
Practical takeaways: keep collection communications accurate and professional, follow required notices, and ensure any collection agency you use complies. A consistent, documented collections policy helps stay on the right side of the law.