Yes, they have to abide by the Collection Agencies Act, which set out a strict code of ethics for collection agencies.
Since January 2004, a person may initiate court proceedings within 2 years of a debt claim being past due (some exceptions may apply).
In Ontario, since 2008, an individual and/or business can only be represented by a lawyer or paralegal licensed by the Law Society of Upper Canada.
The National Retail Credit Association Research Department reports that debts can devalue as much as 55% after one year.
Once an account is listed against a company /individual with the Credit Bureau, it will hamper any chance of this company/individual getting any type of credit for a period of 6 years.
