On December 13, 2021, the Federal Trade Commission (FTC) announced that it reached a settlement with a group of South Carolina-based debt collection companies to resolve allegations that the companies violated the Federal Trade Commission Act (FTC Act) and the Fair Debt Collection Practices Act (FDCPA). The FTC’s complaint, originally filed in July…
On November 8, 2021 the Federal Trade Commission (FTC) announced that it entered into a stipulated order with a payment processor, resolving allegations that the payment processor violated Section 5 of the Federal Trade Commission Act (FTC Act) and the Telemarketing Sales Rule (TSR) by facilitating payments related to an unlawful student…
On September 23, 2021, the West Virginia Attorney General’s Office (AG) announced that it had filed a complaint against a New York-based debt collection agency for violations of the West Virginia Consumer Credit and Protection Act (WVCCPA) . The complaint alleges that the debt collection agency violated West Virginia law by operating without proper authorization and by using illegal, high-pressure…
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, including threatening to sue consumers and garnish wages, and for submitting negative information to credit bureaus without first providing required notice, in violation…
On September 20, 2021, the Department of Justice (DOJ) announced that it reached a settlement with the New Jersey Higher Education Student Assistance Authority (HESAA), resolving allegations that the state agency unlawfully obtained default judgments against two military servicemembers for student loan debt in violation of the Servicemembers Civil Relief Act (SCRA). In a…
On September 8, 2021, the Washington Attorney General’s Office (AG) announced that it had reached a settlement agreement with a debt collection company, resolving allegations that the company had violated the Washington Consumer Protection Act (CPA), RCW 19.86, and the Washington Collection Agency Act (CAA), RCW 19.16. The settlement concludes a lawsuit originally filed June…
On September 7, 2021, the Massachusetts Attorney General (AG) announced that it reached a settlement with a debt collection company, resolving allegations that the company engaged in unfair and deceptive debt collection practices in violation of state law. In particular, the company is alleged to have (1) initiated more than two…
On August 17, 2021, the Consumer Financial Protection Bureau (CFPB) filed a proposed settlement order that would resolve allegations that a debt collection company had violated the Consumer Financial Protection Act (CFPA), the Fair Credit Reporting Act (FCRA) and its implementing regulation, Regulation V, and the Fair Debt Collection Practices Act (FDCPA). The CFPB’s complaint, filed in…
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) and the Georgia Fair Business Practices Act (GFBPA). After conducting an investigation, the Georgia AG alleged that the company engaged in…
On August 12, 2021, the Massachusetts Attorney General (AG) announced a settlement with an online loan servicer, resolving allegations that the company engaged in abusive debt collection practices in violation of the AG’s debt collection regulations. After the AG’s Office conducted an investigation into the company, the Massachusetts AG alleged that the company, which…