In one of the greatest examples of baiting a collector into a violation of the FDCPA, a plaintiff in Missouri decided he was not going to wait for a collector to call him and instead called the collector himself to induce a 1692c(a)(2) violation.
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Every business is saleable provided the owner is flexible with price, deal terms and the time it takes to sell.
A federal district judge in New York last week dismissed an FDCPA case in which a consumer claimed a collection agency unlawfully disclosed his debt to a third party. The judge not only disagreed with the allegations in the case, but noted that the law itself might be an issue, writing, “The FDCPA is clearly out of touch with modern communication technology.”
We were wondering how common are solicited FDCPA violations. Or violations of any law involving debt collectors. Has your company ever been baited into a violation?
The United States Trustee Program, a division of the Justice Department, is investigating several of the largest consumer lenders in the country over their debt collection and portfolio sales tactics relating to accounts owed by consumers under bankruptcy protection, according to The New York Times.
We’ve arrived at the most intolerable phase of any election cycle: the immediate aftermath, in which members of the media and pundits try to guess what will happen next. Most of it is filler and grandstanding. But with the result on Tuesday, we are guaranteed to see some real change in governance.
The U.S. Treasury Department is readying a pilot program to take over the collection of some defaulted student loan accounts from the Department of Education, essentially removing the work from contracted private debt collection agencies. But it might not be so simple.
If you’ve been to a few industry conferences, you know that the staff at all of them work hard to coordinate many details and try to create the best possible experience for attendees. But worthy of note about PowerUp was the extra mile they went to be creative, and the willingness of the management team to go along.
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.
The U.S. Court of Appeals for the D.C. Circuit heard oral arguments in two cases Wednesday that challenge the CFPB’s authority to regulate financial services firms due to its one Director leadership structure. The specific arguments concerned standing to bring such suits, with the merits of the challenges pending.
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.
The Sixth Circuit Court of Appeals Friday ruled against a debt buyer who it said violated the FDCPA when it sought interest charges for a credit card debt. The decision reversed a lower court ruling and included a sharp dissent from the third judge in the appellate panel.
Maine Attorney General Janet T. Mills reported Friday that her Office has received many recent reports of aggressive calls from scammers demanding immediate payments on supposed debts. The common thread among the scammers is that they attempt to get you to make a payment by wire transfer or pre-paid debit card.
The American Bar Association Wednesday issued a formal opinion finding that a growing practice by district attorneys of allowing debt collection agencies to issue demand letters that suggest they originated from the prosecutor’s office violates ABA Model Rules of Professional Conduct.
In an unscientific poll question posted on insideARM.com last week, 59.3 percent of ARM firm respondents reported that they have or may have been baited into a violation of collection law by a consumer.
For years, strategic thinkers in the debt industry have known that student loans offers the most growth opportunity. But how safe is that assumption in light of the scrutiny everyone is giving education loans right now?
On October 20th, shortly after the release of our last mortgage blog, FHFA Director Mel Watt announced that mortgage-finance companies Fannie Mae and Freddie Mac would start backing loans with down payments as low as 3%. This announcement has received mixed reviews to say the least.
LiveVox Inc., a leading provider of cloud contact center solutions for enterprise operations, announced it has established a data center in Toronto, Canada in partnership with CenturyLink.
Pennsylvania Attorney General Kathleen G. Kane Thursday announced a consumer protection lawsuit against a Texas-based company for allegedly engineering an illegal payday loan scheme over the Internet. According to the lawsuit, the defendants allegedly targeted Pennsylvania consumers in violation of state law.
In the wake of a settlement with a debt portfolio broker over the public disclosure of sensitive consumer information, the FTC Wednesday published steps debt buyers and sellers can take to secure consumer data.
Today, financial trade groups fired back at an inaccurate and misleading letter retail trade groups sent to Congress, setting the record straight on retailer recommendations that leave consumers vulnerable to enhanced risk of data breaches.
DBA International, the voice of the debt buying industry, commends the Federal Trade Commission (FTC) on its leadership role in the recently announced security measures that provide guidance to ensure that adequate security protocols are followed which offer greater protection of consumer data during the review of portfolios in the buying and selling valuation process.
We just celebrated our nation’s veterans this week, but we should really focus on making sure they are appreciated every day.
The Consumer Financial Protection Bureau (CFPB) Wednesday released a report highlighting debt collection as a top complaint for older Americans, many of whom say they struggle with debt in retirement. The CFPB also issued a consumer advisory to help older Americans deal with harassing debt collectors.
Before you get caught up with the holidays, be sure to remember those who you work with and who you work for — your clients.
The CFPB today proposed strong, new federal consumer protections for the prepaid market. The proposal would require prepaid companies to limit consumers’ losses when funds are stolen or cards are lost, investigate and resolve errors, provide easy and free access to account information, and adhere to credit card protections if a credit product is offered in connection with a prepaid account.
Credit grantors and third party ARM firms alike are taking a closer look at their compliance procedures and systems. And with good reason. Though an already tight regulatory environment, the increased oversight from the CFPB makes compliance even more critical.
Account Control Technology, Inc. (ACT), a national leader in delivering debt recovery and business process outsourcing solutions, recently donated $32,014 to Susan G. Komen®, a nonprofit organization which works to end breast cancer in the U.S. and throughout the world through support for groundbreaking research, community health outreach, advocacy and programs in more than 30 countries.
ACA International, the trade association for debt collectors, and DBA International, a group that represents debt buyers, issued statements Wednesday commending federal prosecutors for bringing down a large debt collection scam operation.
Employing an effective debt-collection strategy, with the right information solutions provider, helps increase Right-Party Contacts (RPC) and drive operational effectiveness for any company, large or small.