New Rule to Improve Consumer Protection: Establishing a Public Registry of Nonbank Orders 

The Consumer Financial Protection Bureau (CFPB) has issued its final rule requiring nonbank entities, including debt collectors, to register with the bureau when they are subject to local, state, or federal court or agency enforcement actions.  Debt collection companies that bring in more than $10 million annually are considered a nonbank entity.  This substantial move to enhance consumer protection involves the creation and maintenance of a registry to collect information […]

FTC’s 2023 Report to CFPB: Key Highlights and Consumer Protections

The Federal Trade Commission (FTC) has recently submitted its annual report to the Consumer Financial Protection Bureau (CFPB), detailing its enforcement and related activities for 2023. This report covers the FTC’s efforts under the Truth in Lending Act (TILA), the Consumer Leasing Act (CLA), and the Electronic Fund Transfer Act (EFTA), reflecting the changes instituted by the Dodd-Frank Act.  Signed into law on July 21, 2010, the Dodd-Frank Act significantly […]

The Cake Theory of Collector Scorecards

When I meet with collection teams, I always ask collectors, “How do you know you are doing well every month?” Their answers give me a good sense of how much leadership values performance and recognizes the team.  If the response is something like, “Well, I am still here,” or “I got a bonus last month,” it indicates limited discussion regarding individual performance. However, if the answer is, “Let me show […]

CFPB Classifies Buy Now, Pay Later Lenders as Credit Card Providers: What It Means for Consumers

The Consumer Financial Protection Bureau (CFPB) has recently issued an interpretive rule that classifies Buy Now, Pay Later (BNPL) lenders as credit card providers. This decision, announced through a press release, mandates that BNPL lenders extend key consumer rights and legal protections typically associated with traditional credit cards. This move aims to address growing concerns about consumer protection in the rapidly expanding BNPL market.  Key Protections Under the New Rule  […]

Supreme Court Upholds Consumer Financial Protection Bureau’s Funding 

In a notable ruling, the U.S. Supreme Court has upheld the funding structure of the Consumer Financial Protection Bureau (CFPB), concluding that it does not violate the Constitution’s separation of powers clause. Justice Clarence Thomas authored the decision, which passed with a 7-2 majority. Justices Samuel Alito and Neil Gorsuch dissented.  The case, Community Financial Services Association of America Ltd. (CFSA) v. CFPB, revolved around whether funding the CFPB through […]

Sample Size for Oversight – Call Monitoring 

Back in school during statistics class, I remember thinking, “When will I ever use this stuff?” Population size, variance, and margin of error—all critical components of establishing a statistically valid sample size—seemed like distant concepts at the time. That convoluted formula we had to memorize felt more like a test of endurance than a practical tool.  Yet, here I am in the world of collections, realizing the importance of those […]

Wisconsin’s Debt Collection Laws Get an Update: What You Need to Know 

In a notable development for debt collection in Wisconsin, the Great Lakes Credit & Collection Association (GLCCA) has played a pivotal role in securing updates to the state’s debt collection statutes after several years of collaboration with the Wisconsin Department of Financial Institutions (WDFI). The result of this collaborative effort is Wisconsin Act 267, formerly Senate Bill 668, signed into law by Wisconsin Governor Tony Evers on April 4, with […]

Navigating Florida’s New Healthcare Pricing and Medical Debt Legislation 

In an important move affecting healthcare services and the collection of medical debts, Florida Governor Ron DeSantis signed legislation into law on May 10th. The bill, known as H.B. 7089/S.B. 1640, was unanimously approved by the Florida Senate and House on March 8th, marking the conclusion of Florida’s legislative session.  This legislative development, which brings with it many implications, has garnered attention from various parties, including the Florida Collectors Association (FCA), […]

Empowering Privacy: FTC’s 2023 Update on Safeguarding Consumer Data 

The Federal Trade Commission (FTC) has recently released its Privacy and Data Security Update for 2023, offering insights into its efforts to safeguard consumer privacy in an era of rapidly evolving data usage. The report highlights the FTC’s proactive stance in protecting consumers against indiscriminate data collection and exploitation by companies.  Key highlights from the report include:  Enforcement Actions: The FTC has been proactive in taking legal action against companies […]

Federal Court Ruling on Language Accessibility in New Jersey’s Fair Credit Reporting Act 

A federal district court recently addressed a complex issue involving New Jersey’s Fair Credit Reporting Act and its implications for national credit reporting agencies (CRAs). The law, amended in 2019, mandated that CRAs provide credit file disclosures in English, Spanish, and at least 10 other languages upon consumer request.   However, this requirement faced legal challenge from the Consumer Data Industry Association (CDIA), representing major CRAs like Equifax, Experian, and TransUnion. […]