The multi-billion dollar debt buying industry has taken another hit from lawmakers. Encore Capital Group was recently fined by lawmakers in New York for faulty collection practices which included vague affidavits and non-specific testimony. They were fined over $650,000 and were forced to vacate over 4,000 judgments because they were not following proper collection procedures. This latest crackdown is another step in the right direction in the world of sleazy debt collectors.
The world of debt collection has been able to thrive all while breaking numerous collection laws. These debt buyers buy billions of dollars’ worth of delinquent credit card debt, medical bills, auto loans and the like. They often prey on the vulnerability of those going through financial difficulty and will often go to any length to collect. Most Americans do not know they are protected by debt collection laws and have rights during the collection process. The public needs to educate themselves on the topic of the Fair Debt Collection Practices Act (FDCPA) to prevent these bottom feeders from thriving.
Author: Kevin Fallon McCarthy