The CFPB and FTC this week said in a court brief that “actual or threatened litigation is not a necessary predicate for an FDCPA violation in the context of time-barred debt.” The brief argues that under certain circumstances, a settlement offer — and other collection activity — on an out-of-statute account can mislead the consumer and could be a violation of the FDCPA.
The student loan market is often framed in terms of the Next Big Thing for the ARM industry. Unpaid student loans make up the highest-growth collections market in the country, topping $1 trillion in 2013. However, the market segment remains confusing for those that want a chance to work student loan paper.
Knock knock. Who’s there? CFPB. CFPB who? CFPB auditors. May we please see your account records and compliance policies? Once you’ve picked yourself up off the floor from laughing so hard at the punch line, check out our latest homepage poll to let us know where your compliance policies stand. At the most recent insideCompliance […]
We asked readers, in a poll last week, how much it costs to train a new collector. There was an equal split between $2,500-$5,000 and $5,000-$7,500. Should new employees feel like they’re wearing a price tag? “Well, of course, no, not exactly,” said one anonymous hiring manager. “But it’s important that everyone involved understands the […]
The Federal Trade Commission Wednesday issued its annual report on enforcement of the Fair Debt Collection Practices Act in a letter to the Consumer Financial Protection Bureau. The letter noted that the FTC has stepped up its law enforcement actions under the FDCPA as the CFPB takes over most other responsibilities.
Colorado Attorney General John Suthers announced this week that his office has filed a civil lawsuit against collection agency Apollo Credit Agency, Inc. and General Manager James P. Saddoris. The lawsuit was filed after Apollo’s clients contacted the Consumer Protection Section of the Office claiming they had not been paid on accounts placed with Apollo for collection.
A judge in the US District Court for the Eastern District of New York this week sided with a debt collection agency in dismissing a case, with prejudice, that alleged violations of the FDCPA in collection letter language. The judge offered interesting commentary on the “least sophisticated consumer” standard in her opinion.
The social media revolution has given consumers a powerful voice in dealing with companies. And we’ve seen the same trend recently across the debt collection industry where the customer’s voice is now being heard, loud and clear.
insideARM.com today announces the launch of the latest portal page designed to help the ARM industry navigate the current legal and regulatory environment: Collection Complaints Resources.
With debt collection agencies and other ARM firms now required to actively respond to each consumer complaint sent from the CFPB, we felt that a page dedicated to debt collection complaints was sorely needed.
The Federal Trade Commission last week released the 2013 annual report on its Consumer Sentinel complaints collection system. The highlights: identity theft complaints once again topped the list and debt collection complaints increased very slightly to 204,644. But an analysis of CFPB debt collection complaint data shows only a fraction of the FTC’s number.