Debt collection is the process by which a person or entity who is owed money or property seeks payment for the debt. Debt collection may be performed by the person or entity who is owed the debt (the creditor), or may be performed by a third-party debt collector hired by the creditor to collect the debt on behalf of the creditor. Sometimes creditors sell the debt to another entity at a discounted value, and the entity that purchases the debt becomes the creditor.

Debts that are often the subject of debt collection efforts include (1) credit card debt; (2) car or auto loan debt; (3) medical debt; (4) student loan debt; (5) unpaid utility and telephone bills; and (6) personal loan debt.

If you owe money, you have a legal obligation to repay it. But state and federal laws—such as the Fair Debt Collection Practices Act—prohibit debt collectors from using deceptive or abusive behavior to collect the debt.

In New Hampshire (NH), debt collection is regulated by both state statutes and federal law. The Fair Debt Collection Practices Act (FDCPA) is a federal law that sets national standards for the collection of debts, prohibiting deceptive, abusive, or unfair debt collection practices. It applies to third-party debt collectors who are collecting on behalf of another creditor, and it provides specific guidelines on how collectors must conduct themselves, including the times they can contact debtors and the information they must provide. New Hampshire also has its own laws that govern debt collection practices within the state. These laws work in conjunction with the FDCPA to ensure that debtors are treated fairly. Creditors in New Hampshire can attempt to collect debts themselves or hire third-party collectors. If the debt is sold, the purchasing entity becomes the new creditor and must adhere to the same collection laws. Common types of debts that are subject to collection efforts include credit card debt, auto loans, medical bills, student loans, utility bills, and personal loans. Debtors have a legal obligation to repay their debts, but they are also protected from harassment and unfair practices by collectors under both state and federal regulations.