Everything You Need to Know About Managing a Team of Collectors Can Be Learned by Watching Football 

Managing a team of collectors can sometimes feel like herding cats. Team members often seem more focused on what their peers are doing (or not doing) than on their own tasks. As someone who loves football, I’ve found that the sport offers many valuable lessons for managing a team. In fact, most of my insights come from watching the Detroit Lions. Football teams, like teams of collectors, have rookies, veterans, […]

Debt Collection Trends in 2024: Rising Volumes and Evolving Strategies 

A recent report by TransUnion (NYSE: TRU) sheds light on the evolving landscape of the debt collection industry. Over half (52%) of debt collection companies have experienced a rise in accounts placed or acquired in the last 12 months. Additionally, 62% of these companies anticipate being in a stronger financial position next year. However, this growth comes with challenges, such as declining collectability and increasing concerns over data security and […]

CFPB Orders Block to Refund Consumers and Improve Cash App Practices 

The Consumer Financial Protection Bureau (CFPB) has ordered Block, Inc., the operator of the peer-to-peer payments platform Cash App, to provide up to $120 million in refunds and other redress to consumers and pay a $55 million penalty to the CFPB’s victims relief fund. This enforcement action comes in response to the company’s inadequate security measures and failure to properly investigate unauthorized transactions, leaving many users at risk of financial […]

CFPB Proposes New Rule to Protect Consumer Rights in Financial Contracts 

The Consumer Financial Protection Bureau (CFPB) has proposed new regulations aimed at curbing unfair contractual terms in agreements for consumer financial products and services. The proposal seeks to prohibit certain provisions that waive essential consumer legal rights, limit free expression, and grant financial companies the power to unilaterally amend contract terms. This initiative is part of the CFPB’s broader effort to ensure that consumers are not unfairly burdened by coercive […]

CFPB Proposes New Rules for Data Brokers Under Fair Credit Reporting Act 

The Consumer Financial Protection Bureau (CFPB) has issued a proposed rule to amend Regulation V, which implements the Fair Credit Reporting Act (FCRA). This proposal aims to redefine critical terms such as “consumer report” and “consumer reporting agency” while addressing the conditions under which consumer reporting agencies may share or users may obtain consumer reports.  At its core, the proposed rule seeks to enhance the FCRA’s protections for sensitive consumer […]

Strengthening Cybersecurity in Health Care: Proposed Updates to the HIPAA Security Rule 

The U.S. Department of Health and Human Services (HHS), through its Office for Civil Rights (OCR), has issued a proposed rule aimed at bolstering cybersecurity protections in the health care sector. This initiative seeks to address the increasing frequency and sophistication of cyberattacks targeting health care systems, which pose significant threats to patient safety and trust. The proposed rule aims to update the Health Insurance Portability and Accountability Act of […]

Reviewing Contracts: Like Assembling Toys with a Million Tiny Pieces 

Have you ever bought a toy in a big, impressive box, thinking it’s ready to go, only to open it and find a million tiny pieces and overly complicated instructions? My approach? Grab some superglue, glance at the pictures, and call it a day. My husband, on the other hand, reads every single word of the directions, studies the diagrams, and meticulously checks if all the parts are accounted for. […]

Crafting a 2025 Vendor Oversight Strategy for Collection Vendors 

As the new year begins, it is a perfect opportunity for collection and recovery managers to evaluate and refine their vendor oversight strategies. In an era of evolving regulations, heightened consumer expectations, and advanced technologies, effective oversight extends beyond mere compliance and security. It is certainly about compliance and security, please do not misunderstand my thoughts, but adding elements of operational excellence will ensure you are driving the right results.  […]

Commission Rate Alone Does Not Make You a Profitable Client 

As an auditor, I’ve had the unique opportunity to observe the dynamics between creditors and collection agencies. What I’ve learned is this: being a good client isn’t just about offering the highest commission rate.  If you want to build strong, mutually beneficial relationships with collection agencies and ensure that your accounts receive the attention they deserve, there are several factors to consider.  How to Be a Better Client  Being a […]

Is a Creditor now a Debt Collector? 

As an employee of a major credit issuer, I led collection teams responsible for recovering debts for the Bank. The Bank maintained that these teams were not classified as debt collectors under the FDCPA. However, our collection strategy adhered to FDCPA guidelines to ensure fair treatment of consumers. At the time, I believed that transitioning to full compliance with the FDCPA, if required, would be relatively straightforward for our organization.  […]