How can ARM companies know where their market opportunities exist in the five to ten year time range? We all know that credit card debt is slowly recovering from recent lows and student loans are growing at a silly rate. But what about everything else?
The CFPB today took enforcement action against ACE Cash Express, one of the largest payday lenders in the United States, for using illegal debt collection tactics – including harassment and false threats of lawsuits or criminal prosecution. ACE will provide $5 million in refunds and pay a $5 million penalty for these violations.
Bank card delinquencies declined significantly in the first quarter, falling 16 basis points to 2.44 percent of all accounts as consumers continue to improve their financial situations, according to results from the American Bankers Association’s Consumer Credit Delinquency Bulletin.
The Australian Competition and Consumer Commission (ACCC) and the Australian Securities and Investments Commission (ASIC) Tuesday released an updated version of their debt collection guidelines for both third party collectors and creditors.
At the request of the FTC, a U.S. district court has halted a Georgia-based operation from attempting to collect $3.5 million in phantom payday loan “debts” that consumers do not owe. In an emerging pattern for FTC enforcement, the company got consumer information from online payday lending lead generation portals.
Credit and collection professionals fixated on the CFPB and other regulations may be overlooking a significant developing trend that could pave the way to sustainable increases in placement volumes and improvement in liquidation results from a critical market segment.
Wonga, the UK’s biggest payday lender, has entered an agreement with banking regulator the Financial Conduct Authority (FCA) which will see it pay compensation of over £2.6 million ($4.4 million) to around 45,000 customers for unfair and misleading debt collection practices.
Proposed new debt collection rules are expected in the coming 5-12 months. Wouldn’t it make sense for creditors and collectors to be talking to each other right now to better understand the challenges each group faces?
A new TransUnion analysis found that the reporting of rental payment information to the credit bureaus in a manner similar to other financial obligations could have a positive effect for the majority of subprime consumers’ credit.
The Consumer Financial Protection Bureau (CFPB) today announced that it is ordering GE Capital Retail Bank, now known as Synchrony Bank, to provide an estimated $225 million in relief to consumers harmed by illegal and discriminatory credit card practices. The CFPB said it is the federal government’s largest credit card discrimination settlement in history.