FTC, CFPB Report on Debt Collection Featured

By Staff Writer March 26, 2019 655

The Federal Trade Commission (FTC) and the Consumer Financial Protection Bureau (CFPB) recently reported on their 2018 activities to combat illegal debt collection practices.

The annual report to Congress on the administration of the Fair Debt Collection Practices Act (FDCPA) highlights both agencies’ efforts to stop unlawful debt collection practices, including robust law enforcement, education and public outreach, and policy initiatives.

In the report, the FTC states that it filed or resolved a total of seven cases against 52 defendants, and obtained more than $58.9 million in judgments. The FTC also banned 32 companies and individuals that engaged in serious and repeated law violations from ever working in debt collection again.

The FTC continued its aggressive efforts to curb egregious debt collection practices, including initiating or resolving four actions involving phantom debt collections. The FTC returned $853,715 to consumers who lost money to two phantom debt collection operations previously stopped by the FTC.

In the report, the CFPB states its intent to issue a Notice of Proposed Rulemaking on debt collection that will address issues ranging from communication practices to consumer disclosures.

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Last modified on Tuesday, 26 March 2019 02:58