The Consumer Financial Protection Bureau has taken action against CarHop, one of the country’s biggest “buy-here, pay-here” auto dealers, and its affiliated financing company, Universal Acceptance Corporation, for providing “damaging, inaccurate consumer information to credit reporting companies.” The CFPB found that CarHop and Universal Acceptance Corporation violated the Fair Credit Reporting Act and the Consumer
Consumer Health Care Products Company and Staffing Agency Hit with FCRA Disclosure Class Action
A multinational consumer health care products company and its staffing agency are the latest companies to be hit with a putative class action accusing them of violating the Fair Credit Reporting Act. Plaintiff T. Jason Noye alleges that the company and staffing agency violated the FCRA by rescinding his job offer based on a criminal
Please Join Us at DBA International’s Annual Conference – Moving Forward Together
On February 9-11, 2016, DBA International will host its annual conference – Moving Forward Together – at the Aria Resort & Casino in Las Vegas.
We are pleased to announce that two of our Consumer Financial Services lawyers will serve as faculty at this year’s event.
David Anthony will present “The Devil is in the
CFPB Issues Semi-Annual Report to Congress, Highlighting Debt Collection Issues
On November 20, the Consumer Financial Protection Bureau released its eighth semi-annual report.
The principal focus of the report was an articulation of the data collected by the CFPB through consumer complaints, including those from the debt collection industry. According to the report, 30 million consumers currently have accounts in collection, with an average
District Court Rules That Debt Collection Representatives’ Identity Not Required Under FDCPA
The stating of a representative’s personal name is immaterial to whether there is a meaningful disclosure of the caller’s identity as required by the Fair Debt Collection Practices Act , said the district court for the District of Oregon. In Moore v. Account Control Technology, Inc., the court granted the defendant’s motion for summary
Report Indicates Reputation is Key in Determining Whether to Outsource Debt Collection Efforts
A recent report from researchers at the Federal Reserve Bank of Philadelphia posits that creditors’ concerns about their reputations incentivize the outsourcing of debt collection to third-party debt collection agencies. In the report titled “The Economics of Debt Collection: Enforcement of Consumer Credit Contracts,” authors Viktor Fedaseyeu and Robert Hunt developed a research model for
Federal Court in New York Holds that Internal Tracking Number Visible through Envelope Window Does Not Violate FDCPA
On October 23, Judge Katherine Polk Failla of the Southern District of New York held that a fifty-character internal tracking number visible through the glassine window of the plaintiff’s collection letter envelope fell within the benign language exception and did not violate the Fair Debt Collection Practices Act.
Dish Network Fights Class Certification After Background Check Company Settles Claims
After a settlement involving claims against Sterling Infosystems, Inc. received final approval, Dish Network, LLC (Dish) continued to fight class certification against satellite television installers who have accused Dish of violating the Fair Credit Reporting Act (FCRA) regarding its use of background checks.
One of the claims asserted against Dish is that it did not
CFPB Leaves Charge for Consumer File Disclosure Unchanged at $12
Section 612 of the Fair Credit Reporting Act (“FCRA”) provides consumers with the opportunity for a free disclosure of their file, with certain exceptions, during any 12-month period. For file disclosures for which the FCRA allows consumer reporting agencies to charge, the statute sets the price of these disclosures at $8, subject to a yearly
The CFPB Issues Warning and Guidance on Obtaining Consumer Authorization for Preauthorized Electronic Funds Transfers that Confirms a Recording of a Consumer’s Oral Authorization Can Satisfy Regulation E’s Requirements
On November 24, 2015, the Consumer Financial Protection Bureau (CFPB) issued a Compliance Bulletin (2015-06), warning companies that they must ensure that consumer authorization is obtained before automatically debiting a consumer’s account and that required notifications to consumers must clearly describe the terms of the preauthorized electronic funds transfers (EFTs).
Importantly, for the first