Last week, the FTC announced a new coordinated effort against unlawful debt collection practices, “Operation Collection Protection.” The FTC also announced that federal, state and local law enforcement agencies have brought 30 new actions against debt collectors nationwide.
In targeting debt collectors, the FTC is joining forces with the CFPB as well as the Department of Justice, 47 state attorneys general, 17 state regulatory agencies, one Canadian provincial regulator, and a number of local authorities.
Debt collection continues to be a major CFPB focus, extending to the regulatory, supervisory and enforcement arenas. In addition to challenging the practices of debt collectors, the CFPB has targeted companies for engaging in alleged UDAAP violations in connection with collecting their own debts.
In November 2013, the CFPB issued an Advance Notice of Proposed Rulemaking concerning debt collection. In its Spring 2015 rulemaking agenda, the CFPB indicated that further prerule activities, which are expected to involve the convening of a SBREFA panel, would occur in December 2015.
For more on the FTC’s announcement, see our legal alert.