Jonathan Pompan of Venable has released a good set of five tips for credit counseling groups to consider to make sure they remain in compliance. This is a great article to be read in conjunction with My Debt Relief Industry Forecast for 2012.
Pompan’s tips include:
- Include class action arbitration language in client contracts.
- Get ahead of the Consumer Financial Protection Bureau (CFPB) on transparency and just be aware the CFPB is going to be looking hard at the credit counseling industry. {Currently Cambridge Credit Counseling is the leader in this field. They just released another transparency report on performance.)
- Make sure you have reviewed if your credit counseling group needs to be registered or licensed under the state money transmitter laws in states you operate in.
- It’s time to review your liability insurance policies.
- Annual privacy notifications are due customers.
You can read the entire advice by Pompan and his extended descriptions on each topic, here.
I can always use your help. If you have a tip or information you want to share, you can get it to me confidentially if you click here.
