As if the U.S. Department of Education’s private collection agency (PCA) contract procurement process hasn’t been outrageous enough already, Friday’s afterhours announcement that it has terminated its relationship with five of its most prominent debt collection agencies puts it completely over the top.
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The Consumer Financial Protection Bureau (CFPB) announced today that it has finalized its publication rules for consumer narratives in complaints. The move will allow the CFPB to publish the language provided by consumers explaining why they are logging the complaint. The final policy also includes a significant change to the way companies can respond to consumer narratives.
Since it’s clear that change is really the only dependable constant any ARM company can rely on, it makes sense to develop solid solutions to manage those changes. What, specifically, is your company doing to manage change, rather than being managed by change?
A three-judge panel in the Eleventh Circuit Court of Appeals affirmed a lower court ruling granting summary judgment to a collection agency that used a bona fide error defense in case brought against it under the Fair Debt Collection Practices Act (FDCPA). The Circuit Court also upheld an award of certain costs to the defendant.
Going further than any previous public recommendation, a consumer attorney in a recent blog post urged the CFPB to ban creditors from selling debts that are not accompanied by “affirmative representations and warranties of completeness, accuracy, reliability and enforceability.”
A lawsuit filed in federal court in New York this week is seeking class action status under the TCPA. Named in the case is a major utility and nearly all of its subsidiaries and parent companies, including global holding firms, even though the alleged violation was committed by a third party debt collection agency. It is a continuation of a trend that sees plaintiffs skipping collectors and going straight after the big money.
DBA International’s Board of Directors is pleased to announce the appointment of Tim Sullivan (HS Financial Group, LLC) to the eleven-member DBA Certification Council. Sullivan was appointed to represent the interests of third party collection agencies.
Many creditors’ rights attorneys are suspicious of a process where they perceive the rules of the hearing as subjective and inconsistent and where the appearance of bias is acceptable. So what can be done? If an amicable resolution is not reached, here are some strategies for consideration.
Data furnishers and creditors are quickly coming to understand that increased regulatory focus on data accuracy and quality can be hazardous to their wallets.
CBE Companies Chairman and Chief Executive Officer Tom Penaluna earned the Fulfilling the Vision of One award from the Greater Cedar Valley Alliance Thursday for his continued leadership in the Cedar Valley. Penaluna committed to growing leaders Penaluna has led CBE for 35 years, growing the company from 25 employees to more than 1,600 today. Along the […]
There has been a lot of litigation relating to envelopes recently, but section 1692f(8) of the FDCPA, which regulates collection envelopes, is not new. It has been a source of frustration for collectors for decades. Fortunately, some courts have recognized that a strict application of section 1692f(8) may lead to absurd results, and have held that “benign language” on an envelope does not violate the FDCPA. Unfortunately, the word “benign” can be VERY slippery.
A federal judge in Indiana last week dismissed part of an enforcement action brought by the Consumer Financial Protection Bureau (CFPB) against a for-profit college under the Truth in Lending Act (TILA) because TILA actions are subject to a one-year statute of limitations. A collection law firm currently embroiled in a nasty legal fight with the CFPB jumped on the opportunity to note that the FDCPA carries similar restrictions.
BillingTree® is showcasing multiple payment services and solutions at the 2015 ACA International Spring Forum & Expo from March 25 – 27. The offerings featured include a new Regulation E (Reg E) and E-sign compliance service; Check 21 paper check conversion solution and the extremely popular Medical Savings Account acceptance service ‘Health PAS’.
Data Security and compliance play significant roles in Student Loan Collections Your clients are expecting you to conduct various audits of your processes and procedures. There’s overarching regulations like SSAE 16 and those from the CFPB. Add to those requirements from The Higher Education Act of 1964 and the Department of Education, and collecting on […]
Answering the following five questions will help you determine if your business is saleable.
Unifund Group (Unifund) announced today it has furthered its long term growth plan with the acquisition of First Resolution Investment Corporation (FRIC). The purchase includes all assets of FRIC, including approximately 72,000 accounts and a face value of $1B.
The International Association of Commercial Collectors, Inc. (IACC) is pleased to announce Jessica Hartmann as its new executive director, effective immediately.
The CFPB announced Tuesday it is seeking public comment on how the credit card market is functioning and the impact of the Bureau’s credit card protections on consumers and issuers. This inquiry will focus on issues including credit card terms, the use of consumer disclosures, credit card debt collection practices, and rewards programs.
Caine & Weiner is celebrating a major milestone of serving customers in the credit and collections industry. Founded in 1930 by Sidney Caine and Charles Weiner, the company has reached its 85th anniversary and is led by Greg Cohen, President and CEO.
Altus Global Trade Solutions (Altus GTS), a full service accounts receivable management agency, has launched its new Trade Data Reporting service. Clients can now report their customers’ payment activity to the three major commercial credit bureaus, Dun & Bradstreet, Experian and Equifax, through Altus’ easy-to-use online portal. This valuable service is offered at no charge to Altus clients.
The West Virginia House of Delegates passed a bill over the weekend that makes some rather specific changes to the state’s Consumer Credit and Protection Act relating to debt collection, including a codification of abusive call volume. The bill previously passed the state’s Senate and will now be sent to the Governor.
DBA International is pleased to announce the launch of its new website, www.dbainternational.org.
This week saw a flurry of activity in the Court of Federal Claims case against the Department of Education over its decision to end student loan debt collection contracts with five collection agencies. The end result is a consolidated case that pits four collection agencies — with two others supporting as amici — against the United States and five other collection agencies on the contract.
Allied Global, a leading service provider in the accounts receivable management industry, is very pleased to announce the acquisition of Alliance iCommunications. Alliance provides inbound and outbound call center services specializing in customer care, customer acquisition & retention, and roadside assistance. Alliance was founded in London, Ontario 20 years ago by Dave and Sheila LeClair […]
TekCollect, the industry’s leading accounts receivable management company, is undergoing its SSAE16 SOC 1 – Type II Audit this year. The SSAE16 SOC 1 – Type II Audit is the authoritative guideline to ensure service organizations demonstrate maximum controls and safeguards and compliance when processing customer data and financials. It is an important means for […]
At the request of the Federal Trade Commission, a federal court has halted the operations of a company that calls itself “FTC Credit Solutions.” The company allegedly used false affiliation with the Commission to market bogus credit repair services to Spanish-speaking consumers.
Arguably the most critical components of any transaction, whether you’re contemplating making an acquisition or selling your company, are establishing purchase price and deal terms.
I am so “over” Las Vegas. I am not a gambler. Plus, since I have the well-earned title of being THE DULLEST PERSON IN THE ARM INDUSTRY, all of the glitter and glamour of Las Vegas is lost on me. Lastly, time away from home has become less attractive. I like being at home. Shorter trips are better for me, and I hear the same from many of my colleagues.
We can expect to hear more rhetoric from both sides in the ramp-up to the 2016 presidential elections. Democrats will want to focus the conversation on consumer protections — from reforms in debt collection to reforms in lending (specifically, yesterday’s story about payday lending). Republicans will focus largely on what they see as a regulatory body with no supervision, and will likely frame the conversation in terms of a need for smaller government.
The proposals under consideration would include two ways that lenders could extend short-term loans without causing borrowers to become trapped in debt. Lenders could either prevent debt traps at the outset of each loan, or they could protect against debt traps throughout the lending process. Specifically, all lenders making covered short-term loans would have to adhere to one of several requirements.