by Jeff Sovern A number of sources have reported on a survey of more than one thousand metastatic breast cancer patients presented recently at an American Society of Clinical Oncology (ASCO) symposium that found that debt collectors had contacted about half about cancer care bills. HCP said that 49% had heard from debt collectors while AccountRecovery.net put […]
Category Archives: Debt Collection
Today, the Center for Responsible Lending released a new report examining the repayment experiences of borrowers of longer-term payday loans in Colorado. The report is based on focus groups that were conducted in four Colorado cities in September 2017. The full report is worth the read, but here are the key takeaways: In many cases, […]
by Jeff Sovern We just posted to SSRN the draft of our article, Validation and Verification Vignettes: More Results from an Empirical Study of Consumer Understanding of Debt Collection Validation Notices, Forthcoming in the Rutgers U. L. Rev. (with Kate Walton & Nathan Frishberg). Comments welcome! Here's the abstract: The federal Fair Debt Collection Practices Act obliges debt […]
The issue is whether the FDCPA applies to non-judicial foreclosure proceedings. The case is Obduskey v. McCarthy & Holthus LLP. More from SCOTUSBlog here.
by Jeff Sovern Here, against Security Group, Inc. As expected, the case involves debt collection problems but the Bureau also found FCRA issues. Here's an interesting thing about the case: remember how Mulvaney suggested that enforcement actions ought to be based on the numbers of complaints received? Well, I ran the three names in the CFPB's […]
by Jeff Sovern The NY Times has the story here. Excerpt: The director, Andrew M. Smith, has recently represented Facebook, Uber and Equifax — all companies with matters before the commission — and plans to recuse himself from dozens of cases now that he has been confirmed for the post. And in 2012, Mr. Smith was also […]
Dalié Jiménez of Irvine, Connecticut and Harvard has written Ending Perpetual Debts, 55 Houston Law Review (2018). Here is the abstract: Consumer debts in the United States can effectively live (and grow) forever: most statutes of limitations do not extinguish them; they can morph into relatives’ obligations after the debtor’s death; and they sometimes rise from […]
by Jeff Sovern H.R. 5802 passed the House Financial Services Committee today, on a 35-25 vote. The bill would exempt from the FDCPA any lawyer to the extent that the lawyer "is engaged in litigation activities in connection with a legal action in a court of law to collect a debt . . ." If […]
Ryan Sandler and Charles J. Romeo, both of the CFPB have written The Effect of Debt Collection Laws on Access to Credit. Here's the abstract: Debt collection by third party collection agencies is an important part of the market for consumer credit, but has been little studied in the economics literature. Regulations on debt collection practices […]
by Jeff Sovern I am very late to this particular party, but back in November, the Second Circuit decided ARIAS v. GUTMAN, MINTZ, BAKER & SONNENFELDT LLP, an important FDCPA case dealing with a collector-law firm's attempt to collect funds that were exempt from collection. After the firm froze the money in the consumer's bank account, the […]