Increased Use of Artificial Intelligence in Debt Collection

It’s no secret that debt collection agencies use a variety of tactics to contact debtors regarding money that they owe. If you have found yourself in debt you are likely accustomed to repeated phone calls to your home or work, letters in the mail, and other interactions with a debt collector.

Debt collectors spend most of their day having the same conversations over and over again with different people. They continually call debtors, answer questions, and deal with the various other complications that arise throughout the process.

Recently, debt collectors have begun to implement new technology like artificial intelligence into their jobs to facilitate them. The use of artificial intelligence in debt collection is increasing throughout America, ending the traditional contact with another person.

While this advancement benefits the debt collectors, what does this mean for you? Read on to learn what to expect from your next debt collection call and the options you may have.

Artificial Intelligence in Debt Collection

Debt collectors have to make dozens of decisions throughout the day in regards to the debtor. These decisions must be in accordance with the Federal Debt Collection Practices Act (FDCPA) and can’t be taken lightly.

Creditors have to consider the time in which they call you, which number to call, whether or not they are contacting the right person, and payment negotiations. A miscalculation about any of these could result in an FDCPA violation and cause their business to face the consequences.

To combat the stress of these decisions, debt collection agencies have begun to use artificial intelligence in their daily practices. Artificial intelligence can mimic human thinking and make calculated decisions based on the provided information.

Artificial intelligence is programmed to call at specific times of the day, try each number the appropriate amount of times, and complete the seemingly menial tasks debt collectors don’t want to do.

What Does AI Mean for You?

Firstly, the implementation of artificial intelligence may make your life as a debtor easier as well. When your debt collector uses an artificial intelligence program, you can almost guarantee that the bots are following FDCPA practices.

Bots are able to complete tasks with increased efficiency and fewer mistakes than humans. Interacting with a robot may seem strange, but it can also help you get the necessary information you need without human error getting in the way.

On the flip side, dealing with artificial intelligence can be frustrating as well. Speaking with a robot is not the same as speaking with a human, and artificial intelligence won’t be able to answer the more complex questions you have. After all, being in debt is stressful and can affect your entire life. It can seem almost insulting for a creditor to dismiss your feelings by relying on a bot to deal with you.

It’s also important to remember that nobody (human or not) is perfect and can easily make mistakes. Don’t let these mistakes cost you in the long run and understand your rights as a consumer.

The FDCPA was created to protect consumers from harassing behavior from creditors that try to take advantage of those in debt. FDCPA violations are unlawful and offenders can face financial consequences. A successful FDCPA case can award you up to $1,000 in compensation.

If you believe you have encountered an FDCPA violation, contact The Law Offices of Jibrael S. Hindi today. We have litigated hundreds of cases against those who violate the law and can help you, too. Contact our firm today at 1-844-JIBRAEL for a free case evaluation. There are no attorney fees until you get paid.