Last week I described the awkward authentication dance that consumers and debt collectors must endure before a collector can reveal the purpose of his call. This dance is required because the FDCPA prohibits a collector from communicating with a third party about a consumer's debt.  Because of technology advancements and, unfortunately, the growth of scams, the current way this prohibition is interpreted has become more and more problematic for all parties.

Can this really be as difficult as it appears to be? In today's video, I share a perfect illustration in the form of a real life scenario described by a commenter on a recent insideARM article. I also describe a solution to the problem, which the Consumer Relations Consortium proposed to the CFPB last November. We are all looking forward to the long-awaited Notice of Proposed Rulemaking from the CFPB (expected sometime in the next couple of months) to see whether this -- and other challenges that have been raised by industry over the last five years -- will be addressed.



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