Newsroom

November 08, 2013

CFPB asks 162 questions in debt collection ANPR

CFPB, until Feb. 10, will accept responses to 162 questions posed in an advance notice of proposed rulemaking on debt collection practices published today in the Federal Register.

The ANPR, 34 pages long in the Federal Register, divides its questions related to debt collection into nine subject areas. And while the topic is "debt collection," the ANPR poses a number of questions that pertain to creditors – both their engagement of third parties to perform debt collection services and the types of information debt collectors are provided at the outset.

"The Bureau is considering using its rulemaking authority to develop requirements related to the transfer of specified information or documents as part of the sale of a debt or the placement of a debt with a third-party collector," the draft ANPR says on page 26.

The CFPB is considering a rulemaking under authority it possesses under the Fair Debt Collection Practices Act. It says it may also, through this rulemaking, address other concerns related to debt collection under its Dodd-Frank Act authority to promulgate rules addressing unfair, deceptive and abusive acts or practices and set requirements for disclosures to consumers.

Questions in the ANPR are organized under the following topics:

  • debt collection and consumer protection;
  • transfer and accessibility of information upon sale and placement of debts;
  • validation notices, disputes, and verifications;
  • debt collection communications;
  • unfair, deceptive and abusive acts and practices;
  • time-barred debts;
  • debt collection litigation practices;
  • state and local debt collection systems; and
  • recordkeeping, monitoring and compliance requirements.

CFPB issued two bulletins this summer on debt collection practices; it also participated in a roundtable on this topic with the Federal Trade Commission in June.

The bureau only has direct supervision and enforcement authority over institutions with $10 billion or more in assets, but its rules apply to all institutions regardless of asset size.

NAFCU is preparing a Regulatory Alert for members.