1. Understanding the Fair Debt Collection Practices Act
By Michelle Dunn

2. New rules & regulations
CFPB plans new rules for debt collectors
According to the CFPB debt collectors will include banks collecting on loans

3. The CFPB will focus on 4 areas:
Do debt collectors provide required disclosures
Do debt collectors provide accurate information
Do debt collectors have a consumer complaint & resolution process
Do debt collectors communicate civilly and honestly with consumers

4. Debts covered by the FDCPA:
Personal debts
Family debts
Household debts
Personal credit cards
Auto loans
Medical bills
Mortgage

5. Who is a debt collector under the FDCPA & CFPB?
Any person who uses mail, internet or phone to collect a debt
Debt buyers
Third party collection agencies
Collection attorneys

6. The Common questions about the FDCPA
Can I call a debtor at work?
Can I ask someone to give the debtor a message?
Can I leave the mini-miranda on voice mail?
Can I send the mini-miranda in an or text?

7. Last year 4,162 consumers complained about collectors calling them at work.
The law instructs collectors not to call consumers at work if the consumer has stated their employer prohibits such contacts and such contacts may put the employee’s job at risk.

8. The FDCPA requires collectors to:
Identify themselves as a debt collector
Give the name & address of the original creditor
Notify the consumer of their right to dispute the debt
Provide verification of the debt
File a lawsuit in a proper venue
Check time zones before calling debtors
Have written polices in place
Have a compliance plan and a compliance officer to oversee that plan

9. Complaints received by the FTC:
88,190 FDCPA complaints about 3rd party collectors in 2009
78,925 FDCPA complaints about 3rd party collectors in 2008

10. Tips for following the FDCPA
Identify yourself and don’t use a fake name
Give the name and address of the original creditor
Notify the consumer of their right to dispute the debt
Provide verification of the debt
Check time zones before calling a debtor
Have a compliance policy and enforcer

11. Reducing your Risk Training collectors
Monitor collectors and test them
Fire anyone who violates the FDCPA
Retain a FDCPA attorney in your area
Keep copies of the FDCPA in your office
Know your state laws on debt collection
Keep records and have policies in place

12. Resources Blog www.Credit-and-Collections.com
Federal Trade Commission
Feedback to CFPB about new regulations
The CFPB’s debt collection examination procedures (Oct 24,2012)

13. Books by Michelle Dunn
Understanding the Fair Debt Collection Practices Act
Using Social Media in Debt Collections
And many more available online and everywhere books are sold.