What can debt collectors legally do to get paid?

MoneyWatch: Managing Your Money What can debt collectors legally do to get paid? We may receive commissions from some links to products on this page. Promotions are subject to availability and retailer terms. .chip { background-image: url('/fly/bundles/cbsnewscore/images/chip-bgd/chip-bgd-moneywatch.jpg'); } By Angelica Leicht Angelica Leicht Senior Editor, Managing Your Money Angelica Leicht is the senior editor for the Managing Your Money section for CBSNews.com, where she writes and edits articles on a range of personal finance topics. Angelica previously held editing roles at The Simple Dollar, Interest, HousingWire and other financial publications. Read Full Bio Angelica Leicht April 10, 2026 / 1:36 PM EDT / CBS News Add CBS News on Google While debt collectors have lots of tools at their disposal, their authority certainly isn't unlimited. Hanizam/Getty Images Debt collection is becoming a common reality for borrowers who are stuck trying to balance this high-cost credit environment with today's economic hurdles. With average credit card rates still hovering above 21% and household debt levels at record highs, it's easy for what was once a manageable balance to become a long-term issue as the interest charges compound. Add in even a short-term financial setback that causes a few late payments, and things can get even more sticky, especially now that inflation is ticking back up and stretching borrowers' finances thin. If a debt remains unpaid for long enough, though, the balance may be handed off to a collection agency to deal with. When that happens, the repercussions can escalate quickly. Phone calls give way to letters. Letters give way to silence — and then, sometimes, to something far more serious. That shift in debt collection tactics isn't random. It follows a legal playbook that debt collectors are permitted to run when borrowers stop paying. But while debt collectors have lots of tools at their disposal, their authority isn't...