Businesses often take on debt for many reasons whether they are expanding, upgrading their equipment, or overhauling their existing infrastructure. Sometimes, however, these debt obligations become too great for them to handle. As a result, they often find themselves at the mercy of commercial debt collection agencies.
Often, however, business owners make the mistake of thinking that they enjoy the same debt protections as consumers. The Fair Debt Collection Practices Act (FDCPA), however, was enacted to help consumers and, therefore, does not apply to businesses. Nevertheless, business owners on both sides of this equation are protected by commercial debt collection laws. The key is for businesses to know which laws apply to their situation.