Patrick is the senior editor of insideARM.com. Patrick edits the ARM insider and all content appearing on insideARM. His work has appeared in numerous industry trade publications. Since 2002, he has covered or broken nearly every major news story impacting the accounts receivable management industry for insideARM.com. Previously, he was at finance research and consulting firm Corporate Executive Board after initially working in publishing out of college. Patrick holds a Bachelor of Business Administration degree from the University of Georgia, the flagship school of his home state. He currently lives in Silver Spring, Maryland with his wife and two daughters.
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.
At least two private debt collection agencies have filed notices with their states notifying officials that they will be forced to lay off employees in the wake of the U.S. Department of Education’s announced winding down of collection contracts with five of its vendors. Separately, President Obama today is unveiling a Student Aid Bill of Rights that may further impact the student loan collection market.
A federal judge in Illinois recently granted final approval to a $40 million TCPA class action settlement between plaintiffs and credit card issuer HSBC. It is believed to be the third largest settlement ever under the statute with the same judge coincidentally approving the largest ever settlement with Capital One just weeks prior.
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.”
After a blockbuster employment report to begin 2015, the Labor Department reported early Friday that the labor market corrected itself a bit in February. While job growth was robust last month, 295,000 added, and the unemployment rate dropped to 5.5 percent, wage growth was very slow and the labor participation rate fell slightly.
Like similar efforts over the past several years, a Republican lawmaker has introduced legislation that would change the structure of the CFPB, and even its name. But unlike previous attempts, this particular bill is narrow enough in focus that it has a good chance of passing Congress, especially given the recent change in power in the Senate.
Next Tuesday, March 10, the Consumer Financial Protection Bureau (CFPB) will convene a public field hearing in Newark, N.J., to discuss arbitration. The field event will feature remarks by CFPB Director Richard Cordray, followed by a panel discussion with consumer groups and industry representatives.
Late last year, we asked our readers their opinion on the viability of the student loan debt collection sector in light of certain developments. In light of recent developments in the student loan space, we thought it was a good time to ask this question again and compare results.
Kentucky Higher Education Student Loan Corporation (KHESLC) today is issuing a Request for Proposal (RFP) for Collection Services for accounts held by the organization outside of Kentucky.
Publicly traded debt buyers Encore Capital Group (NASDAQ: ECPG) and PRA Group (NASDAQ: PRAA) recently announced financial results for the full year 2014 marked by record cash collections and revenues driven by acquisitions and global growth. But both also made special note of specific, ongoing CFPB investigations and the potential financial impact of resolving the actions.