FDCPA Defense

MAY 27, 2014

Does a consumer need to be “protected” from repaying his own debts? Can a consumer be “harmed” if he voluntarily makes a payment on a debt that he admittedly owes? The CFPB apparently believes that sometimes the answer is “yes.” The CFPB and the FTC have forcefully argued that debt collectors should make an affirmative disclosure to consumers when they are seeking to collect debts that cannot be judicially enforced, and that the failure to make this disclosure may violate the FDCPA.

Creditors 40

Creditors Debt collector Consumer Credit Collections 40

FDCPA Defense

MAY 6, 2014

The CFPB does not want debt collectors to tell consumers that paying their debts might help them to improve their credit score. Nor does the CFPB want collectors to encourage consumers to pay by informing them that their failure to do so might harm their credit. The Bureau made this point crystal clear in the Bulletin that it issued in July 2013 entitled “ Representations Regarding Effect of Debt Payments on Credit Reports and Scores ” where it claimed that making such statements might amount to

Creditworthiness 40

Creditworthiness Debtor Debt collector Consumer Credit 40