Each week we bring you 10 of our most favorite stories from around the industry.
Week of August 22, 2010
1. BBB Warns About Bogus Debt Collectors; Local Woman Targeted
(KWTX.com, 08/27/10)
The Better Business Bureau issued a bulletin Friday warning about phony debt collection callers who claim to be from the Kentucky-based payday loan company U.S. Cash Advance.”
2. HEPSEN v. J.C. CHRISTENSEN AND ASSOCIATES, INC.
(Leagle.com, 08/25/10)
This appeal concerns an award of attorneys’ fees under the Fair Debt Collection Practices Act (“FDCPA”), 15 U.S.C. § 1692 et seq. After a one-day bench trial before a magistrate judge, Defendant J.C. Christensen and Associates, Inc. (“Christensen”), was found to have committed two violations of the FDCPA. The magistrate judge awarded Plaintiff Ahmet Hepsen (“Hepsen”) $500 in statutory damages. Having prevailed in his FDCPA action, Hepsen filed a motion for an award of attorneys’ fees under the FDCPA. At the time the magistrate judge ruled on the motion, Hepsen sought $54,273.50 in attorneys’ fees. Hepsen did not receive the requested $54,273.50..”
3. Debt collector accused of continuing to run an agency from prison
(Buffalo News, 08/25/10)
A Lancaster man imprisoned on a parole violation has been accused by Attorney General Andrew M. Cuomo of illegally operating his Buffalo debt collection agency from federal prison.
4. Ramos bill would set criteria for reporting outstanding health care debt
(NJ.com, 08/24/10)
Hoboken Assemblyman Ruben Ramos Jr. will introduce legislation that would require health care providers to notify patients with outstanding debt before reporting them to a private collection agency or consumer reporting agency.”
5. City approves new system to collect unpaid taxes
(Lancaster Eagle Gazette, 08/24/10)
Lancaster will enter into a new agreement with a tax collection agency in an effort to acquire money owed to the city, but not paid.”
6. Lawsuits Filed Against Agencies, Creditors Decline
(Credit & Collections Risk, 08/24/10)
The number of collection agencies and creditors sued between August 1-15 totaled 426, down from 488 sued in the July 16-31 period, but up from 389 in the first half of July, according to data from U.S. District Courts.”
7. Collection Agencies Maintain Growth Posture in Tough Economy
(insideARM.com, 08/18/10)
An increase in placements and portfolio supply has prompted collection agencies and debt buyers to hire people recently. Meanwhile, the performance outlook for the ARM industry remains strained.”
8. Kaulkin Gingsberg’s Michael Lamm asks, “What is Your “Plan of Attack”?
(insideARM.com, 08/24/10)
I love the summer. Who doesn’t? It is a great time to be with your family and friends and to be outside if it is not 100 degrees and humid, like it has been in the Philadelphia area recently! It is also a good time to reflect on how the year has been going with your debt collection agency, and to figure out your “plan of attack” for the remainder of the year and 2011.”
9. Final Changes Restricting Credit Cards will have Lingering Impact on ARM
(insideARM.com, 08/23/10)
The rules of the game governing credit cards are changing yet again, as the final provisions of federal legislation involving credit card interest rates and fees went into effect yesterday. The big buzz this is creating is centered on credit card interest rates reaching a nine-year high, expected to go up even further in light of these new restrictions.”
10. TOTAL U.S. BANKRUPTCIES IN FIRST HALF OF 2010 UP 14 PERCENT OVER FIRST HALF OF 2009
(American Bankruptcy Institute press release, 08/17/10)
The total number of U.S. bankruptcies filed during the first six months of 2010 increased 14 percent over the same six-month period in 2009, according to data released today by the Administrative Office of the U.S. Courts. Total filings reached 810,209 during the first half of the calendar year of 2010 (January 1-June 30), compared to 711,550 cases filed over the same period in 2009. The totals represent the highest number of filings for the first six months of a calendar year since 2005, when the Bankruptcy Code was amended.”
