The new year ushers in many changes for the accounts receivable industry on every front. We just released our Fourth Quarter 2011 report in which we covered the important topics impacting the ARM industry but legal, legislative and regulatory trends may be the most impactful.
Rozanne Andersen is a good friend of our firm and the leading authority on this front. We are thrilled to share her perspective on this critical topic.
For every company involved in any facet of collections and accounts receivable management, new laws and regulations—even proposed versions—will involve significant changes to workflow, technology and day-to-day operational policy. As Rozanne has taken stock of thousands of regulations, case law decisions and recent legislation, she successfully encapsulated the most critical trends for our industry which include:
- Lawsuits against collection industry companies
- State attorneys general file lawsuits and take action
- What’s happening at the Federal and state level?
- How the new CFPB will impact ARM
- A look forward at what to expect
Download our Fourth Quarter report for more details on Rozanne’s vision for 2012.
Rozanne and I agree that it is unlikely lawsuits against collection agencies and asset purchasers will abate in 2012. Negative press, high levels of consumer complaint filings, ambiguous laws and regulations and the resolve state and federal regulators have to fill the coffers with money extracted from the industry in the form of fines and penalties does not bode well for the industry. Establishing reasonable compliance programs, increasing the time and resources spent on collector training and using technology that is designed to prevent law violations is critical to any agency or asset buyer’s successful navigation of the legal, legislative and regulatory environment we predict for 2012.