CFPB Issues Final Regulation F Debt Collection Rules – Debt Settlement

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The Consumer Financial Protection Bureau (CFPB) has published the final rules that modify the Fair Debt Collection Practices Act. These rules amend Regulation F, 12 CFR part 1006, which implements the FDCPA. If you really want to take a deep dive into the changes, read CFPB Updates Fair Debt Collection Practices Act – What You … Read more

CFPB Updates Fair Debt Collection Practices Act – What You Need to Know

The Consumer Financial Protection Bureau (CFPB) has issued its final rule to update the Fair Debt Collection Practices Act (FDCPA). The FDCPA provides the framework of rules that serve to protect consumers from abusive debt collection practices. [November 30,2020 – The final rules were published here.] The CFPB states the following important changes are part … Read more

Can Creditors Still Contact Me After I Enroll in a Debt Relief Program?

Question: Dear Steve, Loss of income, just need some relief. Once you enter the debt relief program, are creditors still allowed to contact you? Curtis Answer: Dear Curtis, While your question is missing a lot of detail and information, you raise a great question. The answer is not as easy as you would hope. I … Read more

Proposed Law Will Make it More Likely Debtors Will be Sued Faster if in Collections

A proposed law has been introduced in Congress that would make it more likely debtors in collections will be sued. The bill is HR 4550 and would protect attorneys from the Fair Debt Collection Practices Act which regulates unfair, deceptive, illegal, and bad behavior by collectors. The proposed legislation states: “To amend the Fair Debt … Read more

My School Took Out a Navient Student Loan in My Name I Didn’t Want

Question: Dear Steve, I had taken out a student loan to go hair styling school…I went from December 2013 to February 2014…I found that I did not like it and pursued something else. I paid $1,000 down to the school also took a student loan if needed….well in February when I found I did not … Read more

The Debt Collection Firms Hate the CFPB Today

WASHINGTON, D.C. – Today the Consumer Financial Protection Bureau (CFPB) is taking action against two medical debt collection law firms and their president for falsely representing that letters and calls were from attorneys attempting to collect on a debt when no attorney had yet reviewed the account. The law firms also did not ensure the … Read more

A Day In the Life of A Debt Collector

An Account From a Real-Life Collector I arrive at work with a long list of people to call, knowing that if all goes well, I may call 125 people today. Today, I’ll hear stories of businesses gone sour, failed marriages and terrible illnesses. I’ll hear outright lies: “The check’s in the mail,” or “The stamp … Read more

What Happens to a Debt Collector That Gets Shut Down

Travell Thomas is desperately trying to save his business, or at least part of it. His debt collection firm, Four Star Resolution, was raided during the morning on Feb. 11, as a result of a lawsuit filed by the Federal Trade Commission. Employees were told to leave immediately. A temporary restraining order now prevents Thomas … Read more

FTC Versus NCO Debt Collector. FTC Wins $3.2 Million Penalty.

The world’s largest debt collection operation, Expert Global Solutions and its subsidiaries, has agreed to stop harassing consumers with allegedly illegal debt collection calls and to pay a $3.2 million civil penalty – the largest ever obtained by the Federal Trade Commission against a third-party debt collector. In its complaint, [which you can read here] … Read more

Debt Defense Services is Back and Making Some Disturbing Claims

Recently a debt relief insider and tipster (send in your tips here) sent me documents that were being circulated by Debt Defense Services. I’ve written about them before, see this. This time they are trying to recruit people by telling them how debt settlement companies switch to selling their debt relief services once they hear … Read more

Having Problems With a Debt Collector. Affordable Legal Help Available Here.

One of the common requests I hear from readers is for legal help with issues surrounding their debt problems when they feel they’ve been hurt or abused by a debt collector. In the past I’ve always referred people to the National Association of Consumer Advocates and the GetOutOfDebt.org legal friends and protectors to find an … Read more

Debt Collector and Debt Collection Law Firm to Pay Big for Violations

After allegedly misleading consumers into paying unnecessary fees and falsely threatening consumers with lawsuits, defendants in a debt collection operation have agreed to settle Federal Trade Commission charges. The FTC alleged in its complaint that the defendants – a debt buyer and a debt collection law firm, both based in Mississippi – violated the FTC … Read more

Debt Collectors and Credit Bureaus to Report to the Consumer Financial Protection Bureau

The CFPB has just announced they will be rolling out new proposed rules that will regulate consumer debt collection and consumer reporting markets. Proposed rules would mark the first time these important markets would be subject to federal supervision. “Our proposed rule would mean that those debt collectors and credit reporting agencies that qualify as … Read more

FTC And CFPB Pledge To Work Together To Protect Consumers

It was announced today that the Consumer Financial Protection Bureau (CFPB) and the Federal Trade Commission (FTC) have signed an agreement to coordinate efforts to protect consumers in an effort to avoid duplication of federal law enforcement and regulatory efforts. The memorandum of the two agencies’ understand can be viewed here. The Dodd-Frank Wall Street … Read more

Defendants In Payday Lending Case To Pay More Than $294,000 For Illegal Garnishment Of Consumers’ Paychecks

Defendants in a payday lending case have been ordered to pay more than $294,000 for illegal garnishment of consumers’ paychecks. A federal court has ordered, at the request of the Federal Trade Commission (FTC), one of the individuals behind a payday lending scheme and two companies he controlled to pay $294,536 for illegally trying to … Read more