The long-running legal battle between movie and music studios and consumers that illegally download their products got a novel twist late last week when a consumer attorney filed a class action lawsuit against a company tasked with enforcing the studios’ claims. The suit says that the company is acting as a debt collector and has violated the TCPA and FDCPA.
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In two separate actions Thursday, the CFPB and a group of U.S. Senators turned their attention to debt relief for students struggling to repay loans. The CFPB shut down two student “debt relief” scams while 13 Senators asked the Department of Education to forgive student loans held by companies that break the law.
After a string of debt industry victories claiming violations of the FDCPA in voice messages, a collection agency in South Carolina last month was handed a defeat by a federal judge for failing to properly identify itself in a voicemail. The judge used the Foti decision in her opinion on the case.
Ask any collection agency executive about their top three compliance issues, and “voicemail messages” will most likely be among them. The reason? The FDCPA can present agencies with a real Catch 22. But the Zortman case offers an intriguing workaround with specific language.
Kudos to the government officials who last week ended a nationwide debt collection scam. However, if these ruthless attacks against consumers are ever going to stop, the clients who place or sell accounts without conducting thorough due diligence also need to be investigated.
CFPB Director Richard Cordray today will call on credit reporting agencies to take a more active role in policing the companies that furnish data on consumers, including a mandate to report consumer disputes made against specific companies. The new requirements stem from a CFPB study on debt collection tradelines in credit reporting.
Florida Attorney General Pam Bondi warned state residents to protect themselves against debt collection scams, particularly when the number appears to be from a legitimate governmental entity, such as the IRS or Attorney General’s Office.
The Consumer Financial Protection Bureau (CFPB) and the Federal Trade Commission (FTC) have filed several recent enforcement actions challenging debt collection practices by original creditors as well as third-party debt collectors. In addition, the CFPB’s Notice of Proposed Rulemaking on debt collection is expected shortly. These rules are anticipated to codify a sea change in the collection industry.
A recent credit report study from TransUnion found that the composition of loans that people typically carry has materially changed for both the youngest and oldest segments of the population during the last decade. Not only did economic forces prompt change, but general demographic shifts have changed the composition of outstanding credit among different age groups in the U.S.
Ontario Systems, a leading receivables management technology and services provider, announced today that Rozanne Andersen, Chief Compliance Officer, has been included in the 2015 Shortlist for the Women in Compliance Awards, to be held March 19 in London.
Recognizing the vital role that professional marketing can play in the success of commercial collectors, the International Association of Commercial Collectors (IACC) has retained the services of a marketing and public relations firm to promote IACC members and the association itself.
Collection organizations and agencies are under intense scrutiny concerning the manner in which they contact consumers, and compliance risks are at an all-time high. There are many different statutes and regulations enforced at the federal and state levels. Additionally, collection organizations often have their own internal governance rules.
Think you’ve seen it all in the ARM industry? Here’s a new one: The Securities and Exchange Commission last week launched legal action against a hedge fund and its owners for defrauding investment customers. Investors allegedly lost millions because the fund was managed by a former debt collector who had no investment experience.
The Consumer Financial Protection Bureau (CFPB) announced Friday a Project Catalyst research pilot to analyze the effectiveness of certain practices designed to encourage positive saving habits.
Marketing can be pretty complex, and can mean different things to different people and companies. No matter what you want to improve, here are some resolutions for you to get the ball rolling on a better New Year.
Bank of America is currently fighting a case filed by a consumer that received a 1099-C form from the bank. Although BofA dodged federal claims — notably FDCPA — in the case, it will still have to defend other charges in state court. As we approach tax season, any debt firm that sends 1099-C forms to consumers should watch developments closely.
Arizona headquartered BillingTree®, one of the nation’s premier payment solutions providers, announced its latest charitable event sponsorship today. The company will be the presenting sponsor for the December 12th Future for Kids 13th Annual Golf Classic at Whirlwind Golf Club.
The New York State Department of Financial Services announced recently revised debt collection regulations, culminating more than a year of proposals and comments. While the new regulations provide clarity and consumer protection in some areas, they are fraught with ambiguities and overlap existing laws in several key aspects
As 2014 winds to a close, CBE Companies, a business process outsourcing (BPO) company, continues to be awed by the generosity of its employees and proud of their efforts in the community.
Jessica Hearn, Chief Financial Officer of Universal Fidelity, LP, is pleased to welcome Melinda Siler’s return to UFLP as a member of the Executive Team. Ms. Siler returns to Universal Fidelity after having previously being employed with UFLP firm for over 10 years.
A district judge in Wisconsin last month denied a plaintiff’s petition for class certification in a TCPA case concerning debt collection calls. In an epic footnote discussing his reasoning, the judge noted that the FCC has been lacking in clarifying its rules on consent under the TCPA, and that efforts have revealed that the regulator “appears to be allergic to brevity and clarity.”
ARMing Heroes, the collection industry’s charity for military veterans, is now seeking the identity of the “Good Samaritan” who registered the charity as an Amazon.com authorized funds recipient with the shopping giant’s AmazonSmile program.
The Consumer Financial Protection Bureau (CFPB) released its annual report on college credit card agreements, which shows a nearly 70 percent decline in the number of agreements since Congress passed new disclosure requirements in 2009.
The Consumer Financial Protection Bureau (CFPB) and the Attorneys General of North Carolina and Virginia announced legal action against a retailer that caters to members of the U.S. military, and an affiliated lender and debt collection agency, for using illegal collection tactics against their customers.
AmSher, a debt collection agency specializing in Compassionate Collections, announced today that the company has launched SkinnyandDebtFree.com—a website to help people not only get out of debt, but lose weight.
A federal judge this week sided with a consumer plaintiff in denying a motion to dismiss an FDCPA class action case. The collection agency defendant argued that the debt did not fall under the FDCPA because it was incurred in a transaction required by law. The case also involves a claim concerning disclosure through a clear envelope window, a recent development that is sure to pop up more frequently.
The Consumer Financial Protection Bureau (CFPB) is suing a Texas-based company, Union Workers Credit Services, for deceiving consumers into paying fees to sign up for a sham credit card. The Bureau alleges that the company falsely advertises a general-use credit card that, in actuality, can only be used to buy products from the company.
It’s been seven years since the start of the Great Recession, and the impact of this event has been dramatic, long-lasting and widespread. The economy has only recently shown evidence of returning to pre-downturn levels of performance.
BillingTree®, one of the nation’s premier payment solutions providers, today announced it has completed the 2014 assessment in line with the Health Information Portability and Accountability Act (HIPAA) Security Rule
In the third quarter of 2014, consumer complaints about medical debt collection practices rose sharply as overall collection complaints fell.