Collector Sued for Allegedly Continuing to Report Fraudulent Accounts After Dismissing Its Own Collection Suit
- A debt buyer allegedly dismissed its own collection lawsuit with prejudice after seeing a police report documenting identity theft, then kept verifying the accounts as accurate for months. The complaint is a case study in how a fraud dispute can snowball into FCRA, FDCPA, and defamation claims.
- More details here
- This series is sponsored by WebRecon
New Bill Would Regulate AI Chatbots, Require Disclosure and Human Transfer Option in Customer Service Interactions
- Two House Democrats have introduced a bill that would require any company using an AI chatbot to disclose it upfront and transfer consumers to a U.S.-based human on request, with statutory damages up to $10,000 per violation and liability even when providers exercise reasonable care. If your operation is deploying or even considering AI-powered consumer communications, this is the bill to read now.
- More details here
NYC Adopts First Municipal Click-to-Cancel Rule, Proposes Junk Fee Ban
- The same agency that licenses debt collectors in New York City is stepping into the void left by federal regulators, finalizing the nation’s first municipal Click-to-Cancel rule and proposing a citywide junk fee ban. With a former FTC consumer protection chief now running DCWP and promising restitution and penalties, collectors doing business in the five boroughs should pay attention.
- More details here
Middle-Class Consumers Are Sliding Backward, and Assets Are the Dividing Line, Equifax Data Shows
- New Equifax data shows the financial middle hollowing out, record card balances funding daily expenses, and one stat every collections professional should sit with: more than 13% of the most financially strained consumers have credit scores above 780. A pristine credit file is no longer a reliable proxy for ability to pay.
- More details here
Judge Grants MJOP for CRAs in FCRA Case Over Disputed Rental Debt
- A federal judge in Wisconsin ruled that credit reporting agencies were not required to resolve the legal validity of a disputed rental debt during a reinvestigation, tossing the FCRA claims against them. The decision draws a useful line between factual disputes and legal ones that reinvestigations are not built to answer.
- More details here
Judge Dismisses Rosenthal Act Claim Against Healthcare Provider in Medical Debt Suit
- A federal judge in California ruled that a healthcare provider threatening to send a $26,000 disputed bill to collections was not enough to make it a debt collector under the Rosenthal Act. But the court let an unfair competition claim built on federal billing transparency rules move forward, a theory worth watching.
- More details here
Study: 73% of Healthcare Websites Running Ad Trackers Despite Consumer Opt-Out Signals
- Nearly three-quarters of major hospital websites are running ad trackers even when visitors have activated legal opt-out signals, in a space that has already produced more than $100 million in tracking-related settlements. For anyone working with healthcare clients, it is another reminder that inherited compliance infrastructure is still your compliance exposure.
- More details here
WORTH NOTING: The three states where its affordable for the average person to own a home … The best place to get a hot dog in every state … The CEO of Microsoft warns AI users that you are paying for the technology twice … AI companies are creating “generative ghosts” using the emails, texts, and social media posts of deceased individuals … What is keeping parents awake at night these days when it comes to worrying about their kids … Why you shouldn’t feel guilty about enjoying that ice cream cone … Just how much Americans are eating meals in their cars these days … The 100 most influential creators of 2026.
Trailer Tuesday, part I
Trailer Tuesday, part II
The Daily Digest is sponsored by TCN. Today, contact centers need to do more with less. TCN’s cloud-based predictive dialing tools and services help clients to leverage the most sophisticated inbound, outbound, and blended calling technologies available. TCN’s award-winning platform offers multiple features to assist in compliance while improving performance with no hardware, no monthly minimums, or maintenance fees. Call 866-745-1900 or visit tcn.com today.
