Now that the industry has had the chance to take a deeper dive into the details of the New York Department of Financial Services’ proposed regulations for debt collection by third-party debt collectors and debt buyers, experts and organizations are submitting their feedback on how to further improve the regulations. Specific questions remain about the correct language to use in consumer notices, and how the rules may impact creditors.
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.
The Federal Reserve said late Friday that U.S. consumers expanded their use of credit cards at the fastest rate in six-and-a-half years.
JP Morgan Chase’s annual 10-K report to the SEC reveals some critical details about the mega-bank’s debt collection practices. In 2013, JP Morgan Chase recovered $593 million of charged-off credit card debts, continuing a three-year trend of anemic debt recovery. In 2010, the country’s biggest bank recovered $1.37 billion from unpaid credit card bills it had […]
A new report from the Office of the Inspector General of the U.S. Postal Service proposes using the Postal Service for a variety of financial services for low-income Americans, including small loans and debt collection. The idea got a high-profile endorsement from Sen. Elizabeth Warren (D-Mass.) Saturday in an op-ed for Huffington Post. According to […]
Mississippi Attorney General Jim Hood sued JP Morgan Chase for allegedly violating consumer protection laws when going after credit card debt. The suit claims that Chase used “robo-signing” and other harmful practices for at least six years to pursue consumers for debts they did not owe, already paid or had excused in bankruptcy.
Average credit lines continue to decline across all risk categories, monthly purchase volumes rebounded and cardholders are paying less interest as a percent of outstanding credit card credit, according to the latest edition of the American Bankers Association’s Credit Card Market Monitor.
According to the latest Equifax (NYSE:EFX) National Consumer Credit Trends Report, the total number of open retail-issued credit cards is greater than 183 million, the most since September of 2009.
Both the credit card delinquency rate (the ratio of borrowers 90 days or more delinquent on their general purpose credit cards) and the average credit card debt per borrower dropped on a yearly basis during Q3 2013.
The percentage of American consumers with at least one account in the third party debt collection system fell sharply in the third quarter of 2013, according to data released Thursday by the Federal Reserve Bank of New York. But the average balance of accounts in collection increased sharply.