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 tactics to collect the debt.

In South Carolina, debt collection is regulated by both state statutes and federal law. The federal Fair Debt Collection Practices Act (FDCPA) provides a framework that protects consumers from abusive, deceptive, and unfair debt collection practices. Under the FDCPA, debt collectors are prohibited from engaging in harassment, making false statements, or using unfair practices to collect a debt. They are also required to validate the debt if requested and are limited in the times they can contact the debtor. South Carolina does not have a specific state statute that broadly governs debt collection practices, but it does have laws that regulate specific aspects of debt collection, such as the South Carolina Consumer Protection Code, which includes provisions related to consumer credit sales and consumer loans. Additionally, creditors in South Carolina may use the court system to collect debts by obtaining judgments and using legal means such as wage garnishment or liens on property. It's important for debtors to know their rights under both federal and state laws and to seek the advice of an attorney if they believe a debt collector has violated these laws.