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Home Daily Digest

Daily Digest – August 25. Mass. Courts Sued For Not Considering Exempted Income in Repayment Plans; CFPB Files Brief in Student Loan Lawsuit

mikegibb by mikegibb
August 25, 2017
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The Daily Digest is sponsored by TCN, a leading provider of cloud-based call center technology for enterprises, contact centers, BPOs, and collection agencies worldwide. 

LAWSUIT FILED AGAINST MASS. COURTS FOR FAILING TO CONSIDER EXEMPTED INCOME WHEN DETERMINING REPAYMENT PLANS

  • Northeast Legal Aid has filed a lawsuit against 10 different district courts in Massachusetts, claiming that the courts do not take into account exempted income when determining repayment plans on debt collection orders. The legal aid group found at least 101 cases  where collection orders were based on exempted income — such as income from public benefits. Courts routinely failed to ask individuals about the source of their incomes, even though regulations required them to do so.

CFPB FILES BRIEF AGAINST ORDER HALTING COLLECTION OF DEFAULTED STUDENT LOANS

  • The Consumer Financial Protection Bureau has filed an amicus brief saying that a federal judge went “too far” in preventing billions of dollars in defaulted student loans from being sent to collection agencies. The judge blocked the accounts from being sent to collection agencies as part of a suit challenging how the Department of Education awarded contracts to collection agencies last year.

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The Daily Digest is sponsored by TCN, a leading provider of cloud-based call center technology for enterprises, contact centers, BPOs, and collection agencies worldwide. 

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