Article archive
Every published article, newest first. Page 7 of 13.
ComplianceAddressing the Wire Transfer Scam Threat
Business Email Compromise Schemes Threaten Funds Transfers As updated statistics from the FBI's Internet Crime Complaint Center show, business email compromise (BEC) schemes increasingly put funds transfers at risk. Between June 2016 and December 2021, reported exposed dollar loss associated with BEC schemes was greater than $43 billion. Now more than ever organizations and individuals [...]
LicensingThe Changing Landscape for Collection Agencies
A Greek philosopher notably observed that the only constant in life is change. And so goes the collection industry. Just when collection agencies thought they could breathe a collective sigh of relief after implementing Regulation F, new state and federal statutes and regulations have come to the fore which potentially impact collection agencies. This article [...]
LicensingUnderstanding Insurance: How to Best Protect Your Collection Business
The global cyber insurance market is expected to grow by 25 percent in the next six years. That indicates the serious risk your business faces from surging cyber threats and data breaches. Do you operate a collection agency, and you want to ensure you have the right insurance coverage? Understanding insurance coverage options can help [...]
LicensingAll that Glitters is Not Gold: The CFPB and the State of Maryland on Charging "Pay-to-Pay" Fees
In January, 2022, the Consumer Financial Protection Bureau (the "Bureau") launched an initiative to examine situations in which Americans are charged billions in junk fees. In support of this initiative, the Bureau published a request for information [1] seeking comments from the public related to fees that are not subject to competitive processes that ensure [...]
LicensingHelpful Insights for Debt Buyers
5 TIPS FOR MITIGATING RISK WHEN BUYING DEBT The regulatory landscape in the debt industry is ever-changing, so it's critical that all players, including debt buyers, understand and implement the proper policies and technologies, and partner with the right vendors to ensure they are always compliant. In today's increasingly complex world, there is more [...]
LicensingWhat Is Debt Collection Insurance?
Insurance is critical for protecting the investment you've made in your business. This is especially true when starting a collection agency or debt buying firm. While there is not a single specific product for debt collection insurance, there are several important types of insurance policies that you will need to guard against possible claim scenarios. [...]
LicensingMedical Debt is Top of Mind for Law Makers and Law Enforcers
An Apple a Day Might Keep the Doctor Away, But Medical Debt is Top of Mind for Law Makers and Law Enforcers ... For companies providing revenue cycle services to healthcare providers - services including coding, billing, collections, extended business office or outsourced business or patient support services, this is an important time to review [...]
LicensingReg F Imputed Permission to Contact by Email
Reg F imputed permission to contact by email Agencies and debt buyers would like to take advantage of all forms of collection communication. In order to effectuate collection by e-mail, it may not be practical to independently establish permission to utilize email. Regulation F sets forth the requirements to ensure that the electronic permission received [...]
LicensingTo Outsource or In-Source? The Top 5 Questions to Ask When Considering Outsourced Compliance Licensing
The Top 5 Questions to Ask When Considering Outsourced Compliance Licensing Companies in heavily regulated industries are often surprised at the breadth and complexity of their compliance requirements, especially licensing and the tasks related to licensing. After working through the registration or licensing process in their own state, the idea of obtaining and maintaining licensing [...]
LicensingThe ARM Industry Reaches an Inflection Point - Reg F Anticipated to Drive More M&A Activity
In Q3 2021, CAS witnessed ARM players dedicate a significant amount of time and resources to prepare for the implementation of Regulation F on November 30, 2021. This is a massive regulatory overhaul that will have reverberations across the industry for quarters to come. Implementation of Regulation F To start, one of the largest announcements [...]
LicensingThe Final Countdown to the Effective Date: Ten Tips for a Smooth Implementation
The Final Countdown to the Effective Date: Ten Tips for a Smooth Implementation By Caren D. Enloe On November 30th, the CFPB's Debt Collection Rule (the "Rule") will take effect. While the industry has spent most of the past two years preparing for this date, implementation is finally here. Here are Ten Tips for a [...]
LicensingReconciling the "Rule" Requirements with State Requirements
Reconciling the "Rule" Requirements Where the Rubber Meets the Road By Caren D. Enloe For the past year, the industry's attention has been focused on the Debt Collection Rule (the "Rule"), its changes, and the new expectations it will place on debt collectors; but as the rubber meets the road, collection agencies and other debt [...]
LicensingGet your Questions Answered about the California Debt Collection License Application
Part 1 - Everything You Need to Know about the California Debt Collection License Application - September 2, 2021 Part 2 - California Debt Collection Licensing Application Q&A - October 4, 2021 Click here to rely on the experts for this license
LicensingCrucial Conversations for a Smooth Transition to Reg. F
Crucial Conversations for a Smooth Transition to Reg. F By Caren D. Enloe With the CFPB having decided to leave the effective date of the Debt Collection Rule as November 30th, the push is on for debt collectors to ensure their compliance with the Rule by that date. As debt collectors make the final push [...]
LicensingConsiderations when Completing the California Debt Collection License Application
On September 1, 2021, the California Department of Financial Protection and Innovation (DFPI) began accepting applications for debt collection licenses under the Debt Collection Licensing Act. This article walks through the information you must provide in the application and in the NMLS, plus key considerations for completing it accurately.
LicensingDebt Collection Licensing is Coming to California. Are You Ready?
Debt Collection Licensing is Coming to California. Are You Ready? Beginning January 1, 2022, the California Department of Financial Protection and Innovation (DFPI) will require all debt collectors operating in California to be licensed under the Debt Collection Licensing Act ("DCLA"). However, DFPI will be accepting applications starting September 1, 2021. Under the DCLA, "debt [...]
Licensing2021 Cybersecurity Risks & Trends for the ARM Industry
The ARM industry runs on data and information management. Debt collection and debt buying firms, collection law firms, and repossession partners all control or process large volumes of sensitive personal information. The industry is ready to use the benefits of digital innovation, but ransomware, hybrid work, and an evolving risk landscape make attention and planning worthwhile now.
LicensingMulti-Factor Authentication: A Must-Have for Cyber Coverage
Over the last 18-24 months the rate of ransomware attacks has skyrocketed in both frequency and severity, driving significant changes in the cyber insurance marketplace. In years prior, cyber submissions were simple and it was easy to obtain bindable quotes from multiple markets. When it came to renewals, underwriting typically only required updates around major [...]
LicensingWill Hunstein Require a Reset?
Last month, the entire ARM industry was caught by surprise when the Eleventh Circuit held that a debt collector's transmittal of information to a third-party letter vendor violated Section 1692c(b) of the FDCPA. Hunstein v. Preferred Collection and Management Services, Inc., 2021 U.S. App. LEXIS 11648, 994 F.3d 1341 (11th Cir. 2021). While the case [...]
LicensingFinding Shelter in the Storm
Using the Bona Fide Error Defense with the Final Debt Collection Rule By: Caren D. Enloe The FDCPA provides a bona fide error defense for debt collectors who can show by a preponderance of the evidence that their violation was not intentional and resulted from a bona fide error notwithstanding the maintenance of procedures reasonably [...]
LicensingCornerstone's Strategic Assessment Services
As you are aware, each state has the right to enact its own set of debt collection laws and requirements. Most jurisdictions have very different licensing and registration requirements. Failure to comply with state licensing and registration requirements could prove costly (civil and/or administrative action, negative press, etc.) not only to the collection agency but [...]
LicensingAdjusting Procedures for Deceased Consumers
Adjusting Procedures for Deceased Consumers By: Caren D. Enloe Section 1692a(3) defines a consumer as any natural person obligated or allegedly obligated to pay a consumer debt. The final debt collection rule interprets the definition of a consumer to include deceased natural consumers, as well. Looking towards a November 30th effective date, here are some [...]
LicensingAvoiding the Traps of Debt Validation Notices
Picking Apart the Validation Notice Requirements Under the Debt Collection Rule By: Caren D. Enloe With the CFPB undergoing leadership changes, one thing that remains clear about the Debt Collection Rule is that collection agencies should begin readying themselves for a November 30th effective date. Now that the Rule has been fully published, this article [...]
LicensingDissecting the Final Debt Collection Rule: What You Need to Know
The CFPB Publishes the Remainder of its Final Debt Collection Rule - Here's What You Need to Know By: Caren D. Enloe The FDCPA defines a consumer as any natural person obligated or allegedly obligated to pay a consumer debt. Section 1006.2(c) of the Rule interprets 1692a(3) to include deceased natural persons. This definition dovetails [...]