If you have borrowed money in the United States, you are covered by consumer credit laws. These laws establish the rights that borrowers have and what your creditors are allowed to do to collect debts owed to them. Establishment of these laws protects consumers from creditors who may try to exploit borrowers or impose unilateral loan terms on them.What Your Creditors Allowed To DoConsumer credit laws allow for your creditors to make phone calls and send letters informing you of an intent to collect overdue debt. Debts that are not paid in the agreed to time frame can be sent to collections or can be settled in a court of law. Your creditors are also allowed to impose an interest rate of as much as 30 percent in the event that you are late on a credit card payment.What Your Creditors Cannot DoCreditors are not allowed to leave messages or threaten you in any way. Creditors are not allowed to send you any messages once you establish a third party has power of attorney. Entering into a debt relief program also stops most legal action against you. Therefore, creditors can only take actions to inform you of overdue debt and any intention of going to court to get that debt. Otherwise, you are off limits to creditors.Your RightsYour privacy is protected under many credit consumer laws. Most lenders are not allowed to distribute personal information to other companies without your permission. Debt collectors must have proof that you owe a debt before they are able to take you to court over that balance. Creditors are not allowed to leave messages of threaten you in any manner. You have the right to sue any creditor who breaks any of these laws.Consumer credit laws are an important part of the borrowing process in America. It is important that there are boundaries that creditors cannot cross in order to protect the consumer. Consumers have a right to be dealt with fairly and with respect at all times.