DEBTCONNECTION.COM BECOMES AGENCYEXAMINER.COM

Resource Management Services, Inc. started in business in 1986 to audit and consult with creditors regarding their third-party vendor management and oversight. We continue to provide those auditing and consulting services. Our first newsletter was called Agency Examiner, and we’re going back to our roots with the AgencyExaminer.com site. Watch for more in the way of news you need to know, profiles of agencies, attorneys, vendors, etc, AND more resources and content. We continue to be here for you – with the information and sources for oversight, management, operations and new technology in the collection and recovery space. Bookmark us at https://agencyexaminer.com (Agency Examiner) Or sign up for our twice weekly 3-news – it’s Wednesdays and Fridays – and it’s complimentary. Sign up here: Subscribe to Newsletter | Agency Examiner

Unconstitutional ‘Self-Actualizing, Perpetual Funding Mechanism’ May Pose New Problem for Consumer Financial Protection Bureau

On October 19, the Fifth Circuit Court of Appeals vacated the Consumer Financial Protection Bureau’s (CFPB) 2017 Payday Lending Rule. Although the holding is narrow, its rationale suggests—at least according to one court—that the CFPB cannot constitutionally act. Despite agreeing that the CFPB was within its power to make the Rule, the Fifth Circuit determined that the CFPB “lacked the wherewithal to exercise that power via constitutionally appointed funds.” Cmty. Fin. Servs. Ass’n of Am., Ltd. v. CFPB, No. 21-50826, 2022 WL 11054082 (5th Cir. Oct. 19, 2022).

FCC Launches Plan to Close Gaps in STIR/SHAKEN Caller ID Authentication

The Federal Communications Commission unanimously approved a notice of inquiry Thursday to identify and resolve gaps in its caller ID authentication plans.

NMLS Renewal Season Is Here – Things to Keep in Mind When Renewing Your Company Licenses

For companies that maintain consumer finance licenses on the Nationwide Multistate Licensing System and Registry (NMLS), it’s time to request renewal of your licenses. The 2023 NMLS renewal season opens on November 1, 2022. Licensees can prepare by keeping the following in mind:

‘Make-Whole’ Payments Face Potential Game-Changer in Bankruptcy

A recent Fifth Circuit decision has put certain lenders on notice that a popular method of collecting lump sum, interest-like payments won’t help them if their borrower is an insolvent company going through bankruptcy.

Bob Schofield Joins Phin Solutions as SVP of Business Development

Ramsey, MINN — Phin Solutions, LLC an information services company in the Accounts Receivable Management industry, announced today that Robert “Bob” Schofield has joined the Phin Solutions team as their Senior Vice President of Business Development. Prior to joining Phin, Bob has held numerous executive roles throughout the industry in companies including Northland Group Inc, Fourscore Resource Capital LLC and Unifund LLC. Most recently Bob worked for LTD Financial as their SVP of Business Development.

SCOTUS Grants Certiorari, Remands U.S. Trustee Fee Dispute to Second Circuit

The ramifications of uneven increases to fees in chapter 11 bankruptcies continue to ripple through federal courts.  As we discussed previously, Congress enacted legislation in 2017 that temporarily increased U.S. Trustee fees chapter 11 debtors had to pay in virtually every district in the U.S.

Office of Research blog: Update on student loan borrowers during payment suspension

In April, we released a report on the credit health of student loan borrowers during the pandemic and identified the types of borrowers who may struggle when the federal payment suspension ends. Since that report was released, inflation has risen and delinquencies and balances have increased  for consumers across credit products. These developments may signal or contribute to potential payment difficulties for borrowers going forward.

DOE Announces Regulations to Improve Federal Student Loan Programs

The U.S. Department of Education (DOE) released final regulations on Monday that streamline and improve the rules for major targeted debt relief programs, according to a press release from the department.

Harper Urges Credit Unions to Embrace Fair Lending and Diversity, Equity and Inclusion

ALEXANDRIA, Va. (Nov. 2, 2022) – Federally insured credit unions must be “all in” on diversity, equity, and inclusion and their commitment to these principles should be reflected in the results of credit union lending and performance, National Credit Union Administration Chairman Todd M. Harper said today at the 2022 DEI & ACCESS Summit.

Wells Fargo the subject of SEC probe, CFPB settlements

As the regulator questions the bank’s hiring practices, Wells Fargo also seeks to settle with a consumer watchdog on lending practices.

California Issues Second Draft of CPRA Regulations

The California Privacy Protection Agency (CPPA) released the second version of draft regulations under the California Privacy Rights Act (CPRA) on Oct. 17. Because California was initially required to provide final regulations by July 2022, having another draft issued just three months before CPRA takes effect in January 2023 creates challenges for businesses preparing for CPRA compliance. Adding further frustration, many changes within the updated draft regulations include qualifying language that certain requirements were removed “to simplify implementation of these regulations at this time.” This seemingly leaves the door open to additional CPRA compliance requirements in the future.

US Credit Card Balances Are Up 23% From Their Pandemic Lows – How Much More Interest Are You Paying

Total U.S. card balances hit $916 billion in September 2022 — almost identical to where they were in December 2019, according to a new report from credit rating agency Equifax. Balances have risen 9% year to date and are up roughly 23% from their pandemic low in April 2021, the Wall Street Journal reported.

CFPB Responds to 5th Circuit’s Decision—But in a Different Case

The Consumer Financial Protection Bureau has responded to a request to dismiss an enforcement action from TransUnion, signaling its stance on challenges to the constitutionality of the bureau’s funding structure.

myFICO: Common Student Loan Debt Scams to Look Out For

SAN JOSE, Calif.--(BUSINESS WIRE)--Ever since President Biden announced his student forgiveness plan in August, which would erase $10,000 of debt for low- and middle-income borrowers, student debt scams overall have been on the rise. According to the Better Business Bureau's (BBB) Scam Tracker, there was an increase in reports of student debt scams shortly after the announcement. Furthermore, according to the Federal Trade Commission (FTC), in 2020 there was a grand total of nearly 25,000 fraud reports on federal student loans, an 88% uptick from the year prior.

NCUA Releases 2021 Credit Union Diversity Self-Assessment Results

ALEXANDRIA, Va. (Nov. 1, 2022) – The National Credit Union Administration today released the results(opens new window) of the 2021 Credit Union Diversity Self-Assessment (CUDSA). The NCUA administers the voluntary CUDSA as a tool to help federally insured credit unions assess, guide, and monitor their diversity, equity, and inclusion (DEI) efforts and compare their progress with peer organizations.

Education Department Releases Final Regulations to Expand and Improve Targeted Debt Relief Programs

Today, the U.S. Department of Education (Department) released final regulations that streamline and improve the rules for major targeted debt relief programs. The regulations expand eligibility, remove barriers to relief, and encourage automatic discharges for borrowers who are eligible for loan relief because their school closed, they have a total and permanent disability, or their loan was falsely certified. The rules also establish a fairer process for borrowers to raise a defense to repayment, while preserving borrowers’ day in court by preventing institutions of higher education (institutions) from forcing students to sign away their legal rights using mandatory arbitration agreements and class action waivers

FTC Brings Action Against Ed Tech Provider Chegg for Careless Security that Exposed Personal Data of Millions of Customers

The Federal Trade Commission is taking action against education technology provider Chegg Inc. for its lax data security practices that exposed sensitive information about millions of its customers and employees, including Social Security numbers, email addresses and passwords. Chegg allegedly failed to fix problems with its data security despite experiencing four security breaches since 2017. The FTC’s proposed order requires the company to bolster its data security, limit the data the company can collect and retain, offer users multifactor authentication to secure their accounts, and allow users to access and delete their data.

TNS Robocall Report: Robocalls Down 8% in 2022, accelerated by STIR/SHAKEN and Regulatory Enforcement

RESTON, Va.--(BUSINESS WIRE)--Progress by top US carriers implementing STIR/SHAKEN, aggressive regulatory enforcement efforts, and the use of advanced call analytics helped drive down robocall volume 8% in the first half of 2022 compared to the same period last year (from 37.9 billion down to 34.9 billion). However, scammers and spammers are continuing to launch robocall campaigns from smaller carrier networks - and adding robotexts to the arsenal - to evade detection.

Multiple data breaches suggest ed tech company Chegg didn’t do its homework, alleges FTC

Chegg, Inc., sells educational products and services directly to high school and college students. That includes renting textbooks, guiding customers in their search for scholarships, and offering online tutoring. But according to the FTC, the ed tech company’s lax security practices resulted in four separate data breaches in a span of just a few years, leading to the misappropriation of personal information about approximately 40 million consumers. The FTC complaint and some notable provisions in the proposed settlement suggest that it’s time for a data security refresher course at Chegg. Are there lessons your company can learn from where the FTC says Chegg failed to make the grade?

Your voices help drive our work

Ten years ago, we began sharing information with the public from the complaints submitted to us in the Consumer Complaint Database. Earlier this month, we published the three millionth complaint. Though many federal agencies accept complaints, too often those complaints are hidden from public view. By making complaint data publicly available, we increase transparency and create accountability to the public by making clear the problems consumers face.

CFPB seeks further public input on big tech payment platforms

In October 2021, the CFPB ordered six large technology and peer-to-peer platforms that operate payment services (Amazon, Apple, Facebook, Google, PayPal and Square) to provide information about their business practices, including their data collection and use, their policies for removing individuals or businesses from their platforms, and their policies and practices for adhering to key consumer protections like addressing disputes and errors. Today, the CFPB is announcing that it will re-open the public comment period for 30 days and add additional questions.

Understanding the Hunstein decision’s impact on debt collection

October 28, 2022 - An 11th U.S. Circuit Court of Appeals case has left the debt collection world on pins and needles for a year wondering if a ministerial part of their business practice was suddenly a violation of the Fair Debt Collection Practices Act (FDCPA). For years, it was common practice to share consumer debt information with third-party mail vendors to send collection letters, but one ruling threw that all into chaos.

FTC, California Act to Stop Ygrene Energy Fund from Deceiving Consumers About PACE Financing, Placing Liens on Homes Without Consumers’ Consent

The Federal Trade Commission and State of California are taking actionagainst home improvement financing provider Ygrene Energy Fund Inc. for deceiving consumers about the potential financial impact of its financing, and for unfairly recording liens on consumers’ homes without their consent.

U.S. auto sales to rise in October as supply chains improve – report

Oct 26 (Reuters) - U.S. auto retail sales are expected to rise in October as supply chain snags ease, making more vehicles available at dealerships amid higher demand, an industry report from consultants J.D. Power and LMC Automotive showed on Wednesday.

CFPB Responds to 5th Circuit’s Decision—But in a Different Case

The Consumer Financial Protection Bureau has responded to a request to dismiss an enforcement action from TransUnion, signaling its stance on challenges to the constitutionality of the bureau’s funding structure.

Statement of CFPB Director Rohit Chopra, Member, FDIC Board of Directors, at the FDIC Advisory Committee on Economic Inclusion Meeting

Today, the Advisory Committee will be discussing the results of the FDIC’s Survey of Unbanked and Underbanked Households, conducted in partnership with the U.S. Census Bureau. The survey highlights the roles of unexpected and high fees, privacy concerns, and other impediments that contribute to Americans staying away from banking with an insured bank or credit union.

CFPB Kicks Off Personal Financial Data Rights Rulemaking

Washington, D.C. – Today, the Consumer Financial Protection Bureau (CFPB) outlined options to strengthen consumers’ access to, and control over, their financial data as a first step before issuing a proposed data rights rule that would implement section 1033 of the Dodd-Frank Act. Under the options the CFPB is considering, consumers would be able to more easily and safely walk away from companies offering bad products and poor service and move towards companies competing for their business with alternate or innovative products and services.

Veterans: Filing for benefits is free

Veterans Day is almost here and it’s a fitting time to honor veterans for their service. It’s also a good reminder that scammers may be targeting you as a veteran. Of course, many of the scams that impact civilians hit veterans as well. But scammers also try to get in your good graces by emphasizing — maybe even stretching the truth about — their time in service. They hope to gain your trust so you won’t stop and ask questions about their pitches.

OCC to Open Office of Financial Technology

Noting the rapidly changing banking landscape, the Office of the Comptroller of the Currency (OCC) has announced it will establish an Office of Financial Technology next year.

Understanding the Hunstein decision’s impact on debt collection

October 28, 2022 - An 11th U.S. Circuit Court of Appeals case has left the debt collection world on pins and needles for a year wondering if a ministerial part of their business practice was suddenly a violation of the Fair Debt Collection Practices Act (FDCPA). For years, it was common practice to share consumer debt information with third-party mail vendors to send collection letters, but one ruling threw that all into chaos.

These cybersecurity vulnerabilities are most popular with hackers right now – have you patched them?

Cybersecurity researchers detail some of the security flaws that are most associated with attacks in recent times. One is years old.

WEBRECON STATS FOR SEPT 2022: LAST MONTH WAS SO LAST MONTH

In August, all of the rows were green, meaning CFPB complaints, TCPA, FDCPA and FCRA lawsuits were all up over July. However, in September all of the rows are red, meaning, well you know. Everything went boom in comparison to August. And all by double-digits, except for FCRA which “only” dropped by -6.4%. CFPB complaints fell -11.1%, FDCPA fell -18% and TCPA was down -20.2% for the month.

CONSUMER ALERT: Attorney General James Reminds Public Servants to Apply for Student Debt Relief Ahead of Deadline

NEW YORK – New York Attorney General Letitia James today reminded public servants to apply for the Limited Waiver Public Service Loan Forgiveness (PSLF) Program ahead of the October 31^st deadline. The PSLF program offers forgiveness of any remaining federal student loan debt after a borrower makes 120 qualifying payments while working full-time for a government or qualifying nonprofit.

11th Cir. Holds Florida’s ‘Standard Search Logic’ Exception Did Not Save Incorrect Debtor Name in UCC-1s

The U.S. Court of Appeals for the Eleventh Circuit recently held that a bank did not perfect its security interest in a business debtor’s assets because the two UCC-1 Financing Statements filed with the Florida Secured Transaction Registry that failed to correctly name the debtor were “seriously misleading” under Florida Statute Section 679.5061(2), as the Registry does not implement a “standard search logic” necessary to trigger the safe harbor exception set forth in Florida Statute Section 679.5061(3).

Education Department Unveils Final Rules to Protect Veterans and Service Members, Improve College Access for Incarcerated Individuals and Improve Oversight When Colleges Change Owners

Today, the U.S. Department of Education (Department) announced final rules that will better protect veterans and service members from predatory recruitment practices, implement access to Pell Grants for incarcerated students in high-quality prison education programs, and increase accountability when colleges and universities change ownership.

OCC Announces Office of Financial Technology

WASHINGTON—The Office of the Comptroller of the Currency today announced it will establish an Office of Financial Technology early next year to bolster the agency’s expertise and ability to adapt to a rapidly changing banking landscape. The Office of Financial Technology will build on and incorporate the Office of Innovation, which the OCC established in 2016 to coordinate agency efforts to support responsible financial innovation.

5th Circuit’s CFPB Decision Brings Challenges to Enforcement Actions

Since the Consumer Financial Protection Bureau’s funding structure through the Federal Reserve was deemed unconstitutional by the U.S. Court of Appeals for the 5th Circuit, groups with pending enforcement actions from the bureau are seeking dismissal, and one state official has urged the bureau to follow the court’s ruling.

CFPB Kicks Off Personal Financial Data Rights Rulemaking

Washington, D.C. – Today, the Consumer Financial Protection Bureau (CFPB) outlined options to strengthen consumers’ access to, and control over, their financial data as a first step before issuing a proposed data rights rule that would implement section 1033 of the Dodd-Frank Act. Under the options the CFPB is considering, consumers would be able to more easily and safely walk away from companies offering bad products and poor service and move towards companies competing for their business with alternate or innovative products and services.

$14,509,828.20 Credit Cards

BAL Financial LLC

(617) 595-5794

$12,260,111.16 Credit Cards

BAL Financial LLC

(617) 595-5794

ACA Fall Forum 2022

ACA International

RMAi 2023 Annual Conference

Join us in Las Vegas, February 6-9, for the 2023 RMAI Annual Conference. Registration opens October 3, 2022.