CFPB report examines Fair Debt Collection Practices Act


The Consumer Financial Protection Bureau’s (CFPB) annual report to Congress regarding the implementation of the Fair Debt Collection Practices Act (FDCPA) highlights efforts to protect consumers, particularly amid the COVID-19 pandemic. 19.

© Shutterstock

The analysis also noted the CFPB’s collaboration with the Federal Trade Commission (FTC) in administering the legislation.

According to the report, the agencies worked to end illegal debt collection practices while pursuing law enforcement, consumer education, public awareness and policy initiatives.

Last year, the CFPB engaged in four enforcement actions stemming from alleged violations of the FDCPA, according to the report, indicating that the CFPB resolved two of the cases and issued two judgments ordering nearly 15.2 million in consumer redress and $80,000 in civil penalties. And two cases remain in active litigation.

Additionally, the report notes that the CFPB has released content to help consumers navigate the COVID-19 pandemic financially; released a report highlighting military complaints data from 2019; published information on debt collection activity during the pandemic for student loans; and the published results of an online quantitative survey of over 8,000 respondents as a means of testing multiple versions of disclosures to support understanding of prescribed debt and recovery by informing the CFPB’s final rules on debt collection .

The CFPB and the FTC share the enforcement authority of the FDCPA and work closely together to coordinate efforts to protect consumers from unfair, deceptive, and abusive debt collection practices.


Comments are closed.