While not all of the details and provisions of the Consumer Financial Protection Bureau’s debt collection rule are new, that does not mean that regulations which have been on the books for years — but are still included in the rule — should be overlooked, especially since there are important opportunities for refresher lessons, noted John Bedard of Bedard Law Group in the latest episode of “You Wanted a Rule, You Got a Rule.” In this episode, John continues his analysis of Section 1006.6, Communication in connection with debt collection and notes that there are times when collectors do not stick to the script, which could land them — and their agency — in legal trouble.
While discussing Section 1006.6, subsection D, which addresses communications that collectors may have with third parties, Bedard notes that collectors are not “strictly adhering” to the rules that govern location information calls. Location information calls allow a collector to speak with a third party to try and confirm or correct the location of an individual. During these calls, there are rules that govern what collectors can and can not say when speaking with third parties. Collectors have to identify themselves by name and then they have to state that they are calling to confirm or correct the location information of the consumer in question. And that is the statement that is most often overlooked, Bedard notes.
“I often do not hear that language when I am listening to phone calls,” Bedard says during his breakdown of this particular section of the rule. “We have to state that they are calling to confirm or correct the location information of the consumer.”
Bedard also reminded collectors that they are also not allowed to identify the name of their employer unless they are specifically asked to do so by the third party on the other end of the phone and are not allowed to say they are calling in connection with a debt that is owed by the consumer.
Check out all the episodes in the series here: You Wanted a Rule, You Got a Rule
