News & Analysis as of

Fair Debt Collection Practices Act Debt Collectors Enforcement Actions

Troutman Pepper Locke

California Federal Court Halts Allegedly Deceptive Debt Collection Practices by Blackrock Services, Inc. and Affiliates

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On February 27, the Federal Trade Commission (FTC) successfully obtained a temporary restraining order against Blackrock Services, Inc. and its associated entities and individuals. The court order aims to halt the defendants’...more

Goodwin

FTC Sues Debt Collector Over Alleged Deceptive Practices

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​On November 4, 2024, the FTC​ an​nounced ​that it had filed suit against a ​Georgia-based debt collector​ for engaging in allegedly deceptive and abusive​ debt collection practices, in violation of the FTC Act, 15 U.S.C. §...more

Troutman Pepper Locke

FTC Halts Debt Collector Over Alleged $7.6 Million Scheme

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Late last month, the Federal Trade Commission (FTC) filed suit against Global Circulation, Inc. (GCI) and its owner for engaging in deceptive and abusive debt collection practices. According to the FTC, the Georgia-based debt...more

Ballard Spahr LLP

Federal judge orders debt collector Global Circulation Inc. to temporarily cease operations

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A federal judge has ordered debt collector, Global Circulation Inc. (GCI) to temporarily halt operations, following an FTC complaint that alleged GCI tricked consumers into paying more than $7.6 million in bogus debt by...more

Sheppard Mullin Richter & Hampton LLP

CFPB Issues Guidelines for Medical Debt Collection

On October 1, the CFPB issued an advisory opinion highlighting that debt collectors engaging in certain practices with respect to the collection of medical debts are strictly liable under the FDCPA and Regulation F....more

Ballard Spahr LLP

CFPB: Most debt collection complaints in 2023 were attempts to collect debts not owed

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The most frequent consumer debt collection complaints filed with the CFPB in 2023 were attempts to collect debts that actually were not owed, the bureau said in its annual Fair Debt Collection Practices Act report....more

Orrick, Herrington & Sutcliffe LLP

District Court prevents FTC from collecting $1.5M from judgment

On July 26, the U.S. District Court for the District of Nevada ruled that the Federal Trade Commission (FTC) could not collect $1,529,292.52 from a relief-defendant in an enforcement action. This origin of this case was a...more

Goodwin

2023 Year in Review: Debt Collection and Debt Settlement

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Welcome to the Debt Collection and Debt Settlement chapter of our annual report Consumer Financial Services 2023 Year in Review. Looking Ahead to 2024 - Enforcement actions related to debt collection and debt...more

Hudson Cook, LLP

CFPB Bites of the Month - 2023 Annual Review - Debt Collection

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In this article, we share a timeline of our monthly "bites" for 2023 applicable to debt collection. If debt collection in 2023 had a theme it would be medical debt....more

Ballard Spahr LLP

NY federal court denies motion to dismiss CFPB lawsuit against debt buyer companies and their owners/officers for unlawful debt...

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A New York federal district court has denied a motion to dismiss the lawsuit filed in January 2022 by the CFPB against three companies that purchase portfolios of defaulted debts (Corporate Defendants) and three individuals...more

Hudson Cook, LLP

CFPB Orders Medical Debt Collection Company to Cease Certain Collection Practices and Pay $1.675 Million Penalty

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On June 8, 2023, the CFPB filed an administrative consent order against a medical debt collection company headquartered in Indianapolis, Indiana. In the order, the CFPB detailed several alleged violations of the Fair Credit...more

Ballard Spahr LLP

CFPB announces consent order with third-party collector of medical debt

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The CFPB announced at the end of last week that it had entered into a consent order with Phoenix Financial Services, LLC (Phoenix), a third-party debt collector that collects primarily past-due medical debts and furnishes...more

Troutman Pepper Locke

CFPB Enters Consent Order Against Medical Debt Collector for Alleged FCRA and FDCPA Violations

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On June 8, the Consumer Financial Protection Bureau (CFPB) announced that it had entered a consent order against medical debt collector Phoenix Financial Services for alleged violations of the Fair Credit Reporting Act (FCRA)...more

Goodwin

New York Attorney General Shuts Down Buffalo Debt Collection Firm

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On November 23, 2021, the New York Attorney General (“NYAG”) announced an agreement shutting down a Buffalo, NY based debt collection firm that the NYAG alleges violated the Fair Debt Collections Practices Act (“FDCPA”), the...more

Wiley Rein LLP

Wiley Consumer Protection Download (July 12, 2022)

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Regulatory Announcements- CFPB Issues Advisory Opinion on FCRA Permissible Purposes for Providing Consumer Reports. On July 7, the CFPB issued an Advisory Opinion on the Fair Credit Reporting Act (FCRA) that outlines...more

Goodwin

CFPB and NY AG Reach $4 Million Settlement with Debt Collectors

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On May 23, 2022, the Consumer Financial Protection Bureau (CFPB) and the New York Attorney General (NY AG) announced that they have settled a case filed against six New York debt collection companies and affiliated...more

Venable LLP

Debt Buyer Sued for Deceptive Practices of Downstream Third-Party Collectors; CFPB Uses Its Substantial Assistance Authority

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On January 10, 2022, the Consumer Financial Protection Bureau (CFPB) filed a complaint in federal district court against three affiliated debt-buying businesses and the individuals who founded and operated them for "knowingly...more

Ballard Spahr LLP

CA DFPI brings first enforcement action against a debt collector and debt buyer for violating the state’s Consumer Financial...

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Last week, the California Department of Financial Protection and Innovation (DFPI) brought its first enforcement action against a debt collector and debt buyer for violating the state’s Consumer Financial Protection Law...more

Goodwin

California DFPI Issues $375,000 Sanction Against Debt Collector

Goodwin on

On September 22, 2021, the California Department of Financial Protection and Innovation (DFPI) announced that it issued its first enforcement action against a debt collection company for various practices,...more

Goodwin

Georgia AG Reaches Settlement with Debt Collector for Alleged Unlawful Debt Collection Practices

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On August 12, 2021, the Georgia Attorney General’s Office (AG) announced​ it had entered into a settlement with a debt collector, resolving allegations that the company violated the Fair Debt Collection Practices Act (FDCPA)...more

Wiley Rein LLP

Wiley Consumer Protection Download (April 12, 2021)

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Welcome to Wiley’s update on recent developments and what’s next in consumer protection at the Consumer Financial Protection Bureau (CFPB) and Federal Trade Commission (FTC). In this newsletter, we analyze recent regulatory...more

Alston & Bird

What Do the CFPB’s and FTC’s 2020 Debt Collection Activity Forecast for 2021?

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Debt collectors can expect the Consumer Financial Protection Bureau and Federal Trade Commission to be active regulators in the Biden Administration, especially during – and in the wake of – the COVID-19 pandemic. Our...more

Wiley Rein LLP

Wiley Consumer Protection Download (March 29, 2021)

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Welcome to Wiley’s update on recent developments and what’s next in consumer protection at the Consumer Financial Protection Bureau (CFPB) and Federal Trade Commission (FTC). In this newsletter, we analyze recent regulatory...more

Goodwin

CFPB Settles with Telecommunications Debt Collector for Alleged FCRA and CFPA Violations

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On November 12, 2020, the Consumer Financial Protection Bureau (CFPB) announced ​​that it had entered into a consent order with an Illinois-based debt collector that collects debts on behalf of telecommunications companies...more

Ballard Spahr LLP

New York City Department of Consumer Affairs Releases Glossary and Translations of Commonly-Used Terms Just Before October 1, 2020...

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The enforcement grace period for the New York City Department of Consumer Affairs’ (“DCA”) new debt collection rules, ends today, October 1st....more

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