Just like ice cream bill collectors come in different flavours. That bill collector calling you to demand payment of your unpaid account may be an employee of your original creditor, the company that provided you with goods, services or credit. Alternatively, those collection calls may be from a collection agent—typically a collection agency—but sometimes from a law firm. Finally, you might be receiving collection calls from a company which has purchased your debt from your original creditor. These latter firms are known as debt buyers. To make matters more confusing sometimes a debt buyer will hire a collection agency or a law firm to collect an outstanding account on its behalf.
Some, but not all, provincial governments treat debt buyers the same as collection agencies when it comes to regulating their conduct. The general trend in Canada is for more and more provinces to enact laws requiring that debt buyers comply with the same licensing requirements and consumer protection laws as collection agencies.
You may be receiving collection calls from a company that has purchased your unpaid account from your original creditor. Effective January 1, 2018, debt buyers must be registered as a collection agency if (1) they are demanding payment from an Ontario resident, or (2) if they are making collection calls from a location within Ontario.
If you are receiving collection calls then we would invite you to call our office at 1 (888) 482-0334 and one of our experts can provide you with advice regarding stopping collection calls and your debt relief options.