The Consumer Financial Protection Bureau (CFPB) issued a report documenting the bureau’s efforts to combat illegal debt collection practices.
The report, conducted along with the Federal Trade Commission (FTC), details the agencies’ efforts related to law enforcement, education, public outreach, and policy initiatives to fight illegal debt collection.
“I appreciate the opportunity to work with Acting Chairman [Maureen] Ohlhausen and all our partners at the FTC,” CFPB Acting Director Mick Mulvaney said. “From now on, we will be working closely with the FTC to enforce the FDCPA while protecting the legal rights of all in a manner that is efficient, effective, and accountable.”
In 2017, the CFPB handled approximately 84,500 debt collection complaints, making it one of the most prevalent topics of complaints about consumer financial products or services received by the bureau. It also uncovered several actions that were in violation of the Fair Debt Collection Practices Act (FDCPA).
“The FTC will remain vigilant in our efforts to monitor this industry and stop unlawful conduct that harms both consumers and legitimate businesses and will continue to work with our law enforcement partners, including the CFPB, on this important issue,” Ohlhausen said.
The CFPB reported that it resolved one FDCPA enforcement case, resulting in both consumer relief and a payment to the civil penalty fund. Further, it litigated five others. Also, it conducted several investigations of companies to determine whether they engaged in unlawful collection practices.
The report added that consumer debt collection educational materials are among the most-viewed categories in “Ask CFPB,” an interactive online consumer education tool.
The FTC, in 2017, filed or resolved 10 cases under the FDCPA Act against 42 defendants. It obtained more than $64 million in judgments and banned 13 companies and individuals that engaged in serious and repeated violations of law from ever working in debt collection again.
Also, the FTC distributed 13.8 million print publications to libraries, police departments, schools, non-profits, banks, credit unions, other businesses, and government agencies.