At a glanceWednesday, June 03, 2020

Collection Industry News At A Glance - June 3, 2020
Wednesday June 3, 2020
Mid Week Newsletter:
Subscribe for Free - More Information - Advertising
 

Articles

 
Attorney General Becerra Sues Secretary DeVos and U.S. Department of Education for Failing to Implement Temporary Expanded Public Service Loan Forgiveness Program

California Attorney General Xavier Becerra today announced a lawsuit against Secretary of Education Betsy DeVos and the U.S. Department of Education (ED) for its failure to implement the Temporary Expanded Public Service Loan Forgiveness (TEPSLF) program. While many of the program's applicants have completed the public service and loan payment requirements necessary to qualify for forgiveness of the balance on their federal student loans, nearly all of them have had their applications denied by Secretary DeVos. In the complaint, Attorney General Becerra alleges that ED’s failure to implement the TEPSLF program violates the Administrative Procedure Act (APA).

Read More
Path to the New Normal: Reimagining Collections – Webinar Announced


Join Josh Weiss with Brinks Home Security and Todd Johnsen with Snap Finance as they discuss:

Insights on the Impact of COVID-19 on the collections business including managing through social distancing
Lessons learned and strategies deployed in the heat of the crisis
Vision on the future of collections and what will work going forward as we approach the new normal.   


Webinar Details:

Title: Path to the New Normal: Reimagining Collections

Date: Thursday, June 11, 2020

Time: 12:00 PM Eastern Daylight Time (30 minutes)

Registration page:  https://tinyurl.com/y75ssyrx

Read More
How lenders are preparing for a wave of loan modifications

For the first weeks of the coronavirus crisis, mortgage servicers were in triage mode. As the government issued a flurry of measures to deal with financial hardships resulting from widespread economic shutdown, servicers rushed to grant the CARES Act mandated forbearances for GSE conforming loans. But as the growth rate in forbearances has slowed, lenders are gaming out their plans for the moment when the 12-month forbearance period ends, puzzling over how to prepare themselves for what may come next.

Read More
WEBINAR: The Inception and Evolution of the Telemarking Sales Rule (TSR) in the Debt Relief and Credit Repair Industries

Felix Shipkevich and Bianca Petcu of Shipkevich PLLC will host a two-part webinar to discuss the legal and regulatory evolutions of the U.S. FTC’s Telemarking Sales Rule (TSR). This webinar will discuss the regulatory scope of the TSR and its enforcement application by the FTC and CFPB. We will also discuss the TSR’s application and allegations made in recent CFPB enforcement actions against certain credit repair companies.

Read More
Student loan rates are heading for historic lows — here’s what it will mean for your payments

College students this fall will experience a historic moment and for positive reasons. Starting in July, students taking out federal loans to pay for college will have access to the lowest interest rates in history.  Mark Kantrowitz, vice president of research at Savingforcollege.com, said the new rates will save borrowers thousands of dollars over the life of an average loan. Unfortunately, the terms only apply to future borrowers but there are still ways for people with existing loans to benefit, according to Kantrowitz.

Read More
California sues Education Secretary DeVos for ‘failing’ to implement student loan forgiveness program

California is suing Education Secretary Betsy DeVos and the U.S. Department of Education for what the state alleges is a failure to implement its student loan forgiveness program for people who took on public-service jobs. “Today’s lawsuit reminds Secretary DeVos that she is not above the law,” California Attorney General Xavier Becerra said in a statement Wednesday.

Read More
Fed’s massive ‘Main Street’ business rescue in danger of fizzling

A $600 billion Federal Reserve loan program designed to offer a lifeline to tens of thousands of struggling U.S. companies is heading for trouble before it even gets under way. Some potential borrowers complain that the "Main Street" lending program — so named because it's aimed at helping midsize companies hit hard by the coronavirus crisis — imposes interest rates that are too high and requires businesses to pay back loans too quickly.

Read More
Wells Fargo stops giving loans to most independent car dealerships

(Reuters) - Wells Fargo & Co will stop providing loans to a majority of its independent auto dealer customers due to the economic challenges brought on by the COVID-19 pandemic, a spokeswoman said on Tuesday. “We are doing everything we can to help customers weather the economic impacts of this health crisis ... we also have an obligation to review our business practices in light of the economic uncertainty presented by COVID-19,” the spokeswoman said in an email.

Read More
Big banks call for blanket forgiveness of PPP loans under $150,000

Two bank lobbying organizations asked Congress on Tuesday to automatically forgive small-business loans of less than $150,000 that are made under the Paycheck Protection Program. The request comes as the Senate eyes potential changes to the massive emergency relief effort. Last week, the House of Representatives passed legislation that would make it easier for small businesses to get their PPP loans forgiven. One of its provisions would extend the period of time in which companies must use the funds in order to qualify for forgiveness.

Read More
OCC Issues Final “Valid-When-Made” Rule: Does it End the Madness of Madden v. Midland Funding?

Last Friday, the Office of the Comptroller of the Currency (“OCC”) issued a final rule providing that interest rates established on debt originated by a national bank remain valid even after the debt is transferred to a nonbank entity, including a third-party debt purchaser. The move was an answer to the case of Madden v. Midland Funding, LLC, 786 F.3d 246 (2d Cir. 2015) where the U.S. Court of Appeals for the Second Circuit held that a purchaser of a loan originated by a national bank was not entitled to the interest rate protections afforded under the National Bank Act (“NBA”). Specifically, the NBA permits a bank to charge interest at the highest rate allowed by the state where the bank is located and to export this rate to borrowers in other states. Given the Second Circuit’s narrow focus on the NBA to banks rather than non-banks, it remains to be seen whether the OCC’s rule will survive judicial scrutiny. However, the rule certainly is a step towards restoring certainty to the financial services industry following the confusion left by Madden.

Read More
Consumer Financial Protection Bureau Settles with Short-term Lenders for Engaging in Unfair and Deceptive Acts and Practices

WASHINGTON, D.C. — Today the Consumer Financial Protection Bureau (Bureau) announced a settlement with Main Street Personal Finance, Inc. and its subsidiaries—ACAC, Inc., which conducts business under the name Approved Cash Advance, and Quik Lend, Inc.—(collectively, Approved Cash). The companies, which are based in Cleveland, Tennessee, offer payday and auto-title loans and own and operate about 156 stores in eight different states: Alabama, Louisiana, Michigan, Mississippi, Oklahoma, South Carolina, Tennessee, and Virginia.

Read More
Attorney General Becerra Submits Proposed Regulations for Approval Under the California Consumer Privacy Act

SACRAMENTO – California Attorney General Xavier Becerra submitted proposed regulations under the California Consumer Privacy Act (CCPA) to the California Office of Administrative Law (OAL). The regulations will provide guidance to businesses on how to comply with the CCPA and will enable consumers to exercise new rights over their personal information. Under Executive Order N-40-20 related to the COVID-19 pandemic, OAL has 30 working days and an additional 60 calendar days to determine whether the regulations satisfy the procedural requirements of the Administrative Procedure Act. Once approved by the OAL, the regulation text will be filed with the Secretary of State and become enforceable by law.

Read More
Banks have a mountain of deposits, so they don’t need PPP funding

A record surge in bank deposits has given U.S. lenders more cash than they know what to do with. One thing they don’t need: help from the Federal Reserve to fund the government-backed loans they made to small businesses. Banks had tapped only $49 billion from the Paycheck Protection Program Liquidity Facility by May 27 as they loaned $511 billion, according to the central bank and the U.S. Small Business Administration. That’s largely because lenders are sitting on $1.8 trillion of new deposits that have flooded in since March 11 — a 13% increase, and the biggest two-month jump since at least 1973, when comparable data is available.

Read More
Older crowd embraces online banking, rewards firms’ digital push

It took a global pandemic to get many baby boomers to bank online. Lenders have taken notice. Over the past two months, Americans flocked to websites and apps to manage their finances as the coronavirus limited access to branches, according industry executives. For JPMorgan Chase, existing online clients are using the offerings more frequently, while Bank of America found that older customers are seeking out its digital services.

Read More
Nevada Extends Prohibitions on Instate Collections

The Nevada Financial Institutions Division (NFID) has extended prohibitions on instate collections for licensees until June 30, 2020.

Read More
Brian Brooks takes over as Comptroller of the Currency, lays out plans for banking regulator

Just two months after joining the Office of the Comptroller of the Currency as chief operating officer and first deputy comptroller, Brian Brooks has now ascended to the top job at the banking regulator. On Friday, Brooks officially became the acting comptroller of the currency when Joseph Otting stepped down from the role. Otting announced his departure last week, just one day after the OCC released its final rule on “strengthening and modernizing” the CRA, which requires banks to meet the credit needs of all communities they serve, including low- and moderate-income neighborhoods.

Read More
Powell says the Fed is ‘days away’ from making the first loans in the Main Street lending facility

Federal Reserve Chairman Jerome Powell said Friday the central bank’s long-awaited program to lend to small- and medium-sized businesses is about to get off the ground. The Main Street lending facility, which will target companies with up to 15,000 employees, has been difficult to set up but is just about ready, Powell told Princeton University economist and former Fed official Alan Blinder in a webinar interview.

Read More
I’m reading the CFPB’s mail about the pandemic’s effect on family finances

I’ve been reading the CFPB’s mail. It’s okay, you can too. It’s public. Not surprisingly, the latest CFPB consumer complaints paint a grim picture of the pandemic’s effect on family finances. I ask: Why isn’t the CFPB doing more to help the struggling consumers it was designed to help? The CFPB itself has reported that complaint volume set new records in March, then again in April. This weekend, I looked at some of the 91,081 complaints posted since March 1.

Read More
AB 2501 (LIMON) COVID-19: HOMEOWNER, TENANT AND CONSUMER RELIEF OPPOSE – AS AMENDED MAY 11, 2020

The California Chamber of Commerce and the organizations listed are OPPOSED to AB 2501 (Limon), which has been labeled a JOB KILLER by CalChamber. This bill imposes significant new obligations on financial services businesses, that will limit the financial opportunities for Californians, further harming the housing market, and creating job loss. Specifically, the bill requires financial institutions to carry homeowner loans for a year or more without payment and without assessing fines or penalties, prohibits repossession of mobile homes or motor vehicles for non-payment and without assessing fines and penalties, and places onerous restrictions on deferred deposit loans. The provisions of the bill are unprecedented and will restrict Californians’ ability to access credit now and in the future.

Read More
Federal student loans will be at cheapest level ever this school year

College students who plan to take out a student loan to pay for school next year will be the beneficiaries of the cheapest borrowing costs in history. For the 2020-2021 academic year, undergraduate loans will be 2.75 percent, a drop from 4.53 percent last year. Loans for parents of undergraduate students, meanwhile, will fall to 5.3 percent from 7.08 percent. The lower rates will only apply to new loans for the upcoming academic year.

Read More
Small-business loan terms eased under U.S. House-passed bill

WASHINGTON (Reuters) - The U.S. House of Representatives on Thursday approved legislation increasing the amount of time, to 24 weeks from the current eight weeks, for small businesses to use Paycheck Protection Program (PPP) loans spurred by the coronavirus outbreak.

Read More
U.S. mortgage rates tumble to a record 3.15% for 30-year loans

U.S. mortgage rates fell to a record low for the third time since the coronavirus started roiling global markets. The average for a 30-year fixed-rate loan was 3.15 per cent, down from 3.24 per cent last week and the lowest in Freddie Mac data going back to 1971. The previous record, 3.23 per cent, was reached last month, shattering March’s low of 3.29 per cent.

Read More
Summary of Commentary on Current Economic Conditions By Federal Reserve District

Economic activity declined in all Districts – falling sharply in most – reflecting disruptions associated with the COVID-19 pandemic. Consumer spending fell further as mandated closures of retail establishments remained largely in place during most of the survey period. Declines were especially severe in the leisure and hospitality sector, with very little activity at travel and tourism businesses. Auto sales were substantially lower than a year ago, although several Districts noted recent improvement.

Read More
House votes to ease restrictions on coronavirus small business loans

The House passed a bill Thursday designed to give small businesses owners more flexibility in how they spend money from a key coronavirus aid program.  The chamber approved the legislation in a nearly unanimous 417-1 vote. The Senate has put forward a plan similar to the House bill, but has not yet passed it. Senators will not convene again until next week.

Read More
CFPB study examines retirees’ finances

The Consumer Financial Protection Bureau (CFPB) has released a first of its kind study examining the financial resources and expenses of retirees. The study examined the first five years of retirement among Americans who retired between 1992 and 2014.   “Given that a growing number of retirees are not experiencing the expected gradual reduction in spending after they retire, the study helps identify ways to protect retirees from overspending their savings in early retirement,” the CFPB said.

Read More
U.S. mortgage applications rise for sixth straight week

WASHINGTON (Reuters) - U.S. applications for home mortgages jumped last week, in a sixth straight weekly increase, suggesting the housing market could lead the economy’s recovery from the novel coronavirus crisis even as high unemployment is expected to linger.

Read More
Coronavirus crisis mobile banking surge is a shift that’s likely to stick

Digital banking isn’t new, but with the coronavirus pandemic, young and old Americans suddenly flocked to online and mobile banking en masse. The sudden uptick in online and mobile traffic even created outages. Among those affected: online platforms for U.S. Bank, PNC, Fifth Third Bank, Bank of America, T.D. Bank and BB&T. 

Read More
Consumer Financial Protection Bureau and Commonwealth of Massachusetts File Suit Against Credit-Repair Telemarketers

WASHINGTON, D.C. – The Consumer Financial Protection Bureau (Bureau) and Commonwealth of Massachusetts Attorney General Maura Healey today jointly filed a lawsuit against Commonwealth Equity Group, LLC, which does business as Key Credit Repair, and Nikitas Tsoukales (also known as Nikitas Tsoukalis), Key Credit Repair’s president and owner. As alleged in the complaint, from 2016 through 2019 alone, Key Credit Repair enrolled nearly 40,000 consumers nationwide, and since 2011, it collected at least $23 million in fees from consumers. The Bureau alleges that in their telemarketing of credit-repair services, the defendants violated the Consumer Financial Protection Act’s (CFPA) prohibition against deceptive acts or practices and the Telemarketing Sales Rule’s (TSR) prohibitions on deceptive and abusive telemarketing acts or practices.

Read More
 

Portfolios For Sale

 
$736,681.17 Retail
Bayview Solutions LLC

(866) 546-9088

Read More
$1,365,518.79 Other
Bayview Solutions LLC

(866) 546-9088

Read More
$18,855,643.84 Credit Cards
Bayview Solutions LLC

(866) 546-9088

Read More
$35,636,880.88 Retail
Bayview Solutions LLC

(866) 546-9088

Read More
$191,784,533.20 Auto Deficiencies
Bayview Solutions LLC

(866) 546-9088

Read More
$1,120,675.77 Consumer Loans
Bayview Solutions LLC

(866) 546-9088

Read More
$1,516,051.92 Consumer Loans
Bayview Solutions LLC

(866) 546-9088

Read More
$ 1,391,898.71 Checks
Bayview Solutions LLC

(866) 546-9088

Read More
$ 6,529,185.34 Commercial
Bayview Solutions LLC

(866) 546-9088

Read More
$ 55,178,738.20 Credit Cards
Bayview Solutions LLC

(866) 546-9088

Read More
 

Profiles

 

   Debt Seller 

Wills Hayes Associates LLC

(770) 599-7280

   Skip Tracing 

Whooster

(512) 419-4200

 

Industry Events

 
WEBINAR: The Inception and Evolution of the Telemarking Sales Rule (TSR) in the Debt Relief and Credit Repair Industries

Felix Shipkevich and Bianca Petcu of Shipkevich PLLC



June 09 - 11 , 2020
Digital Banking 2020 – Postponed to December 7 – 9

American Banker

Austin Convention Center 500 East Cesar Chavez Street
Austin , TX
June 08 - 10 , 2020

(212) 803-8456

NACTT 55th Annual Seminar 2020

National Association of Chapter 13 Trustees (NACTT)

Marriott Marquis San Diego Marina 333 West Harbor Drive San Diego, CA 92101
San Diego , CA
July 08 - 11 , 2020

800-445-8629 | 803-765-0860

RMAi EXECUTIVE SUMMIT 2020

Receivables Management Association International


The Lodge at Spruce Peak
July 28 - 30 , 2020

https://rmaintl.org/events/executive-summit-2020/

Debt Connection Symposium & Expo 2020

Resource Management Services, Inc.

Red Rock Casino Resort & Spa
11011 W Charleston Blvd , Las Vegas, NV 89135
September 15 - 17 , 2020

562-906-1101

LendIt Fintech USA

Save 15% with our Discount Code: DC15%

Javits Center, New York
New York
September 30 - October 01 , 2020

www.lendit.com

LendIt Fintech Europe 2020

LendIt Fintech Europe

Hilton London Angel Islington 53 Upper Street
London , N1 0UY, UK
October 19 - 20 , 2020

646-971-1645

Auto Finance Summit 2020 – Virtual

Royal Media

Wynn Las Vegas
3131 S Las Vegas Blvd , Las Vegas, NV 89109
October 20 - 22 , 2020

https://www.autofinancesummit.com/contact-us

More information about Debt Connection Symposium
More information about Oversight Without Travel - Call Monitoring
More information about Resource Management Services, Inc.
More information about Debt Connection Symposium
More information about RMN Networking
Advertise With us!