Understanding State Requirements for Medical Debt Collections
Medical debt affects an estimated three in 10 U.S. adults, and for collection professionals who work these accounts, that statistic comes with a compliance landscape that continues to grow more complex. State laws governing financial assistance, billing, and collections vary widely, and accounts receivable management (ARM) companies serving healthcare clients must understand which requirements apply to the accounts they handle. A recent Commonwealth Fund report examining state laws highlights how
Texas Medical Debt Reporting Law Preempted by Federal Credit Reporting Law
The U.S. District Court for the Western District of Texas has granted partial summary judgment to the Consumer Data Industry Association (CDIA) in Consumer Data Industry Association v. State of Texas, finding that the Fair Credit Reporting Act (FCRA) expressly preempts a Texas law restricting the reporting of certain out-of-network emergency medical debts. The court determined that Section 1681t(b)(1)(E) of the FCRA preempts Texas Business & Commerce Code Section 20.05(a)(5)
SBA Refers $34 Million in Past-Due SVOG Debt to Treasury for Collection
The U.S. Small Business Administration (SBA) has referred $34 million in past-due Shuttered Venue Operators Grant (SVOG) awards to the U.S. Department of the Treasury for collection. According to the SBA, this marks the first time the federal government has taken this step for the SVOG program. The referrals are part of SBA Administrator Kelly Loeffler’s ongoing efforts to recover pandemic-era funding that the agency says was awarded improperly or
CFPB to Stop Publishing Unverified Consumer Complaint Narratives
The Consumer Financial Protection Bureau (CFPB) announced Aug. 14 that it will stop publishing unverified consumer complaint narratives and data visualizations on its Consumer Complaint Database. In a statement, the bureau said publishing complaint narratives is “entirely discretionary” and that “many years of experience have demonstrated that the utility of such publication is minimal, while often causing confusion and providing misleading data.” The CFPB noted that complaint narratives present only
FTC Halts Credit Repair Scheme That Allegedly Scammed Consumers Out of Nearly $200 Million
The Federal Trade Commission (FTC) and an Arizona federal district court have temporarily halted a credit repair operation that allegedly impersonated legitimate debt collection companies and creditors and collected nearly $200 million in illegal fees from consumers. According to the court complaint, Credit Glory and 16 related entities allegedly made false and misleading claims about their credit repair services, impersonated debt collection companies and creditors, collected illegal upfront fees, and
Financial Services Groups Urge FCC to Strengthen Caller ID Authentication Requirements
A coalition of 13 leading financial services trade associations filed joint comments on the Federal Communications Commission’s proposed Know-Your-Upstream-Provider and caller ID authentication requirements. The groups emphasized that voice service providers should be held accountable for verifying callers before assigning the highest-level caller ID trust signal. The coalition expressed support for the FCC’s efforts to combat illegal robocalls and impersonation fraud while calling for additional requirements for voice service providers