CFPB, FTC, State, and Federal Law Enforcement Partners Announce Nationwide Crackdown on Phantom and Abusive Debt Collection

WASHINGTON — The Consumer Financial Protection Bureau (CFPB), along with the Federal Trade Commission and more than 50 federal and state law enforcement partners, today announced a nationwide law enforcement and outreach initiative to protect consumers from phantom debt collection and abusive and threatening debt collection practices.

October is Oversight Month at RMS – Two for One Offer Extended

Fall and October always reminds us of Oversight at Resource Management Services. Our Oversight Options course will be held virtually on October 20th, from 11:00 a.m. (EDT) to 6:00 p.m. (EDT). An additional hour and one-half is being added on Wednesday, October 21st, from 1:00 p.m. to 2:30 p.m. to specifically address unique aspects for auto finance, including repossession, forwarders and skip tracing. For compliance officers, vendor managers, or collection agency auditors. Sign up now at our two-for-one pricing. Just say you saw it on DebtConnection!  For additional details, contact us at rms@resourcemanagement.com

AG Curtis Hill sues Indiana debt collection agency that operated deceptively and without a license

Attorney General Curtis Hill has filed a civil complaint against an Indiana debt collection agency and its owner, alleging they engaged in deceptive and abusive debt collection practices and acted as a debt collection agency without a license from the state.

Attorney General Becerra Opposes SBA Move to Shut Small Businesses Out of Emergency Loans

SACRAMENTO – California Attorney General Xavier Becerra joined a coalition of 18 attorneys general in a comment letter opposing a proposed Small Business Administration (SBA) rule governing the appeals process for an emergency loan program designed to help small businesses during the pandemic. As the COVID-19 pandemic spurred layoffs across the nation in March, the federal government created the Paycheck Protection Program (PPP) loan as part of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) to provide a direct incentive for small businesses to keep their workers on the payroll during the COVID-19 pandemic.

FTC announces nationwide crackdown on debt collectors

Those mysterious debt collectors who call insisting you’ll be in legal peril if you don’t pay them big bucks are in hot water themselves, accused in a nationwide crackdown of harassing and threatening consumers, often about debts that don’t actually exist. The Federal Trade Commission on Tuesday highlighted enforcement actions filed in recent months against two South Carolina-based debt collection firms accused of bilking people out of a combined $17.2 million, as well as settlements with three other firms accused of using pressure tactics and other shady practices.

TCN Launches Room 303 Software Update for its Comprehensive Cloud-Based Call Center Platform

St. George, Utah – Sept 29, 2020 TCN, Inc., a leading provider of cloud-based call center technology for enterprises, contact centers, BPOs, and collection agencies worldwide, celebrates its platform update with Room 303. This new platform feature allows for easy and seamless agent-to-agent and agent-to-manager communication. Room 303 is built directly into TCN’s software, making collaboration convenient for agents and managers in call centers.

LAFCU named a ‘2020 Best Credit Union to Work For’ in the nation

LANSING, MI (September 29, 2020) — Fifty institutions made Credit Union Journal’s annual ranking of the Best Credit Unions to Work For in the nation, and LAFCU is one of the 50.

Global Lending Market Report 2020-2030: Impact of COVID-19 and Future Recovery

The global lending market is expected to decline from $6875.5 billion in 2019 to $6751.3 billion in 2020 at a compound annual growth rate (CAGR) of -1.9%. The decline is mainly due to economic slowdown across countries owing to the COVID-19 outbreak and the measures to contain it. The market is then expected to recover and grow at a CAGR of 6% from 2021 and reach $7929 billion in 2023.

LendIt Fintech Announces 2020 Award Winners

LendIt Fintech has announced the winners of its annual awards competition recognizing innovators from the financial services sector. This is the 4th annual LendIt Fintech Industry Awards with this years’ event, starting tomorrow, being virtual in nature due to COVID.   LendIt reported that there were over 500 entries from around the world with 30 different judges from the Fintech industry reviewing the various platforms.

How peer-to-peer lending is helping SMEs during the pandemic

In recent years small and medium enterprises (SMEs) have been reporting declining sales and trouble with distribution, among a string of other problems. With small businesses contributing more than 60 percent to GDP, the implications are disastrous. However, SMEs have recently been given a lifeline in the form of peer-to-peer (P2P) lending platforms. Recent research has indicated that businesses on P2P lending platforms had seen a significant increase in revenue, helping the economy dramatically. 

Moorhead approves limits on payday lending

MOORHEAD — A proposed new city law in Moorhead that will place limits on payday or short-term loans has passed its first test. The City Council voted 7-1 Monday night, Sept. 28, to adopt the ordinance that limits the interest rate on such loans between $350 to $1,000 to 33%, restricts fees, limits the number of loans to two per year, requires repayment within 60 days and also calls for detailed itemizations of all charges.

Attorney General James Moves to Shut Down Illegal Debt Collecting Scheme

BUFFALO – Attorney General Letitia James filed a lawsuit to put an end to a flagrant debt collecting scheme based out of Buffalo, New York. The scheme, led by Kenneth Thomas and carried out by at least six other persons and entities, consisted of contacting consumers using extremely deceptive and abusive tactics to collect debts.

Cybersecurity lessons learned from data breaches and brand trust matters

Your brand is a valuable asset, but it’s also a great attack vector. Threat actors exploit the public’s trust of your brand when they phish under your name or when they counterfeit your products. The problem gets harder because you engage with the world across so many digital platforms – the web, social media, mobile apps. These engagements are obviously crucial to your business.

Public hearings set for payday lending and gambling initiatives

 Voters can participate in three public hearings in Lincoln for the four ballot initiatives appearing on the Nov. 3 ballot. Secretary of State Bob Evnen is required by state law to host public hearings to help educate voters in each of the state’s three congressional districts whenever an initiative petition measure makes it to the ballot. The four measures cover the topics of payday lending and gambling.

Company Charged With Posing as SBA Lender Settles FTC Charges and Ceases Using ‘SBA Loan Program’ Website and Business Name

A Rhode Island company and its owner will be permanently prohibited from misrepresenting they are affiliated with the U.S. Small Business Administration (SBA) as part of a   settlement resolving Federal Trade Commission charges they misled consumers in the early days of the coronavirus pandemic.

Fannie, Freddie pose risk to financial system, panel says in ‘historic’ finding

Fannie Mae and Freddie Mac, the government-run companies that stand behind about half of the $11 trillion U.S. mortgage market, pose a potential danger to the stability of the broader financial system, a Treasury-led panel said Friday.

Petition could force House vote on bill to reopen Paycheck Protection Program

WASHINGTON (SBG) — A Republican lawmaker has filed a petition that could force a vote on a bill to free up unused Paycheck Protection funds amid a stalemate in coronavirus relief talks.

Fed’s George says strains on financial industry could still mount

WASHINGTON (Reuters) - The current recession’s impact on households and businesses could still risk the sort of damage to the banking system that the United States has avoided so far, Kansas City Federal Reserve president Esther George said on Friday.

Households, businesses fall into financial holes as COVID aid dries up

Americans feeling the economic weight of the coronavirus are about to enter their third month without crucial government aid that helped keep millions of households afloat during the recession. Two months have passed since Congress and the White House allowed emergency COVID-19 protections and safety net programs to expire. Those provisions, enacted in late March under the CARES Act, were credited with preventing an even worse economic downturn. Now, families are struggling to get by without supplemental unemployment funding, and many small businesses are reaching the end of financial lifelines that were extended by the federal government in the spring and summer.

No forgiveness: Small businesses still on hook for rescue loans

When the government pledged to give small businesses billions of dollars in rescue loans during the pandemic, it was an offer almost too good to refuse: The loans could be forgiven if employers only maintained payroll. In little more than four months, the Paycheck Protection Program doled out $525 billion in loans to 5.2 million borrowers, which economists estimate saved millions of jobs. But to date, none of the loans have been forgiven.

Consumers Remain Resilient Despite Broader Economic Challenges

Serious delinquency rates in August improved once more across all consumer credit segments even as the number of people in accommodation programs dropped for the second consecutive month. Despite positive consumer credit performance, TransUnion’s (NYSE: TRU) latest Monthly Industry Snapshot also points to potential challenges in the near future.

Student debt is at an all-time high — what that means for borrowers

U.S. student loan debt hit an all-time high of nearly $1.5 trillion in November 2019, according to a Bloomberg analysis. Almost 81% of this debt consists of federal direct loans, as reported by Federal Student Aid (FSA), an office of the U.S. Department of Education. In early 2020, the number of student loans in repayment reached $686.5 billion in the U.S., while $119.8 billion worth of student loans were in default.

Oversight Options Virtual Training – October 20th – Two for One Offer Extended

For compliance officers, vendor managers or collection agency auditors. Learn audit/oversight strategies, as well as practical tips and processes for evaluating the risks associated with utilizing third party collection vendors. A solid, practical and insightful oversight program can not only reduce risk, but maximize results. Learn skills and techniques to audit your third party collection vendors for compliance with regulations, to validate consumer protection and to verify that your contract requirements and expectations are being met. Just added - an extra session specifically for repossession and auto finance lenders.

Navient to judge: Pay no attention to CFPB’s argument for ratification

HARRISBURG (Legal Newsline) – The battle continues over whether the Consumer Financial Protection Bureau can pursue a lawsuit it filed years ago when its structure was unconstitutional.

RPT-Fed’s Powell says Main Street may use up to $30 bln by year end

Sept 24 (Reuters) - The Federal Reserve’s Main Street Lending facility may lend as much as $30 billion by the end of the year, Fed Chair Jerome Powell said in testimony before the Senate Banking Committee. “The total loans might be, I don’t know, you know, $10, $20, $30 billion by the end of the year, that’s with leverage” he said in the last of three hearings in which he testified before Congress this week. (Reporting by Howard Schneider, Ann Saphir Editing by Chizu Nomiyama)

U.S. new home sales vault to near 14-year high in August

WASHINGTON (Reuters) - Sales of new U.S. single-family homes increased to their highest level in nearly 14 years in August, suggesting the housing market continued to gain momentum even as the economy’s recovery from the COVID-19 recession appears to be slowing.

House passes CUNA-backed diversity, fraud prevention bills

The House voted to pass two CUNA-supported pieces of legislation, The Ensuring Diversity in Community Banking Act of 2019 (H.R. 5532) and the COVID-19 Fraud Prevention Act (H.R. 6735). CUNA sent a letter of support to House leaders earlier this week in support of the bills.

Banks and small businesses look to Congress to streamline PPP forgiveness

One of the main draws of the Paycheck Protection Program was the ability to have loans forgiven if the money was used as the law permitted — with 60% of the capital going to payroll and 40% to other allowable expenses. But as forgiveness opened up last month, some banks and small businesses are reporting difficulty navigating the process, and advocates are pushing for simplicity for already struggling companies.

STATE OF NEVADA – Extended Temporary Guidance Regarding Working from Home

On March 12, 2020, Governor Steve Sisolak declared a state of emergency for Nevada. In addition, the Nevada Financial Institutions Division (“NFID”) issued a memorandum of temporary guidance regarding working from home initially until May 31, 2020. Excerpt from that guidance: This Guidance does not amend current Nevada Revised Statutes (“NRS”) or Nevada Administrative Code (“NAC”) and does not create new statutory framework. All licensees and registrants must comply with the applicable NRS, NAC, and other state and federal laws and regulations, which includes establishing and maintaining proper security protocols to ensure maximum data, records and transaction security. Click read more to get additional information on the Division’s Guidance.

How canceled student-loan and mortgage debts could affect your taxes in the COVID-19 era

In this COVID-19 ravaged economy, debts can pile up beyond a borrower’s ability to repay. However, lenders are sometimes willing to forgive (cancel) debts that are owed by especially beleaguered borrowers. While forgiveness can help you survive financially, it can trigger negative tax consequences. Or maybe not. This column summarizes the most important things borrowers need to know about the federal income tax implications of forgiven debts. Here goes.

Cybersecurity: Your supply chain is now your weakest link

More than 80% of organisations have experienced a data breach as a result of security vulnerabilities in their supply chains, as cyber criminals take advantage of the poor security of smaller vendors as a means of gaining access to the networks of large organisations. Research by cybersecurity company BlueVoyant found that organisations have an average of 1,013 vendors in their supplier ecosystem – and that 82% of organisations have suffered a data breach in the past 12 months due to cybersecurity weakness in the supply chain.

Attorney General Becerra Announces $7 Million Settlement Against Multinational Bank HSBC for Overcharging CalPERS on Foreign Exchange Transactions

SACRAMENTO – California Attorney General Xavier Becerra announced a $7 million settlement involving multinational bank and financial services company HSBC for overcharging the California Public Employees Retirement System (CalPERS) in foreign currency trading. 

Several regional Fed banks are researching central bank digital currency initiatives

The U.S. Federal Reserve, the country's central bank, has been researching digital currencies along with several regional Federal banks. The detail was revealed by Loretta Mester, president of the Cleveland Federal Reserve Bank, at a virtual event on Wednesday. Mester said several staff members of reserve banks, including Cleveland Fed software developers, are contributing to the research effort.

Phin Solutions, LLC Celebrates 20 Years of Service

Ramsey, Minn – Phin Solutions is celebrating their 20th anniversary in 2020. Phin Solutions is a national information services company specializing in compliance monitoring services. Phin Solutions offers software and services to help organizations identify and manage consumer life stage events and events that impact their credit accounts and accounts standing. By using their Vigilant-CMS(SM) software and services platform, Phin provides clients a secure environment while delivering complete and timely bankruptcy and deceased information, litigious debtor identification, active duty military certification, as well as filing bankruptcy proof of claims.

Second Round of Refunds, Totaling $147 Million, Sent to Consumers As a Result of Multi-Agency Case Against Western Union

Approximately $147 million is being mailed to 33,000 consumers in the second distribution of refunds resulting from the law enforcement actions brought against Western Union by the Federal Trade Commission (FTC), the U.S. Department of Justice (DOJ), and the U.S. Postal Inspection Service. Affected consumers are receiving compensation for 100 percent of their verified losses. 

Attorney General Becerra Testifies Before U.S. Senate Committee on Commerce, Science and Transportation Regarding California Privacy Laws

State law is the backbone of consumer privacy in the United States, and federal law serves as the glue that ties our communities together. In the data privacy space, the optimal federal legal framework recognizes that privacy protections must keep pace with innovation. That's the hallmark of our data-driven economy. To keep pace, we must all work from the same playbook, yet be nimble enough to adapt to real-world circumstances on the field where we meet them. 

LendIt Fintech USA – Virtual – September 30 – October 1

Save 15% with our Discount Code: DC15%

Oversight Options for Third Party Auditors – Virtual Class 10/20/20

Learn Oversight Tips of Key Risk Areas: Financial, Operational, Contractual and Compliance

LendIt Fintech Europe 2020 – Virtual – October 19 – 20

Be Sure To Use for Your 15% Discount: DC15%

Auto Finance Summit 2020 – Virtual – October 20 – 22

Royal Media

NCUCA 6th Annual Conference – October 28 – 30th