The State Attorneys General from 30 states and the District of Columbia submitted a comment letter to the CFPB on February 28, 2014, urging the CFPB to “adopt well-tailored, comprehensive, and balanced rules” that will apply to “all persons engaged in the collection of consumer debts” which would presumably include both first and third-party collectors.
The ACA Responds to the CFPB’s Announced Notice of Proposed Rulemaking
The ACA issued its response to the CFPB’s Announced Notice of Proposed Rulemaking. In its comment letter, the ACA suggested a number of considerations that it believes should guide CFPB’s development of new regulations designed to modernize the FDCPA:
- Any new rules should recognize the industry’s diversity, namely the types of debt being collected and
Industry Groups Urge CFPB to Establish Debt Collection Rulemaking Priorities
A recent comment letter from the American Bankers Association, Consumer Bankers Association and the Financial Services Roundtable to the CFPB urged the Bureau to prioritize third-party agencies in its FDCPA rulemakings.
Chief among the group’s concerns is maintaining “the distinction between first and third-party collections recognized by the FDCPA.” The signatories “strongly oppose placing FDCPA-like
New Jersey State Appellate Court Clarifies Burden of Proof for Establishing Ownership of Accounts Subject to Collections
On March 5, 2014, the Appellate Division for the Superior Court of New Jersey issued a 46-page consolidated opinion clarifying the type of documentation necessary to demonstrate ownership of an account for collections purposes.
In establishing ownership of an account, the opinion affirmed the sufficiency of electronic business records or data files as adequate proof
FTC Highlights 2013 Enforcement Actions, Pledges Vigorous Enforcement Going Forward
As part of the CFPB’s annual report to Congress on the federal government’s efforts to implement the FDCPA, the FTC submitted highlights from its 2013 enforcement actions signaling that the Commission will continue to play an active role in enforcing the FDCPA in collaboration with the CFPB and state attorneys general.
The FTC noted that
9th Annual Credit and Collection News Conference
Troutman Sanders’ lawyer, Ashley Taylor, spoke at the 9th Annual Credit and Collection News Conference in Naples, FL about the newly formed Collection Agency Coalition. The Coalition is designed to address frivolous lawsuits brought against the industry from attorney mills. CCN’s 9th annual Credit and Collection News Conference will be held April 2-4, 2014 at
Recent FTC Report and CFPB Bulletin Highlight Importance of Investigating Identity Theft Claims
A report issued by the Federal Trade Commission (FTC) and a bulletin issued by the Consumer Financial Protection Bureau (CFPB) both highlight the continued federal regulatory interest in endemic identity theft as well as the significant risk to businesses that fail to address complaints related to identity theft.
The FTC’s Report on the Top Categories
The CFPB Extends the Comment Deadline for the Announced Notice of Proposed Rulemaking for the Debt Collection Industry
In a notice published in the January 14, 2014 Federal Register, the CFPB announced that it would be extending the comment deadline for the Announced Notice of Proposed Rulemaking (“ANPR”) that it issued on November 6, 2013 (discussed here). The ANPR seeks to modernize the Fair Debt Collection Practices Act (“FDCPA”) and will
Ninth Circuit Holds that Plaintiff has Alleged Adequate Constitutional Standing Under FCRA Based on Claimed Statutory Violations
On February 4, 2014, the United States Court of Appeals for the Ninth Circuit reversed the decision of the district court, which had previously dismissed a lawsuit under the Fair Credit Reporting Act (FCRA) due to the plaintiff’s lack of Article III standing. If adopted more widely, the Ninth Circuit’s decision could create an additional
Major Development: CFPB Issues Advance Notice of Proposed Rulemaking for Debt Collectors
On November 6, 2013, the Consumer Financial Protection Bureau (CFPB) issued an Advance Notice of Proposed Rulemaking (ANPR) directed at the debt collection industry. The CFPB is seeking comments, data and information from the public regarding a variety of rules proposed to govern collection agencies as well as first-party debt collectors, such as banks and