"In 2024, the Consumer Financial Protection Bureau received approximately 207,800 debt collection complaints. A meaningful share of those complaints traces back to basics that are hard to "paper over" after the fact, including disputes where consumers say the debt stems from identity theft or fraud and the collector is pursuing an obligation they never incurred. When that volume is flowing into the complaint system, the operational details of collections keep moving from back-office workflow into front-line scrutiny."
"At the same time, regulators are getting far more specific about what control looks like in practice. Regulation F's call-frequency framework turns contact governance into a matter of documented patterns across time. It establishes a presumption tied to whether a collector places more than seven calls within seven consecutive days to a particular person about a particular debt and whether calls occur within seven days after a telephone conversation about that debt."
About 207,800 debt collection complaints were filed with the CFPB in 2024, with many alleging identity-theft or fraud-related debts pursued by collectors. High complaint volume shifts operational collection details into front-line scrutiny. Regulation F creates specific control expectations, including a call-frequency presumption tied to more than seven calls in seven consecutive days and calls within seven days after a telephone conversation about the debt. Examiners cite failures to provide required validation information in initial communications or within five days. Lenders now require portfolio-level proof of compliance, prompting vendors to centralize governance, unify documentation, and assign leadership for IT and cybersecurity oversight.
Read at London Business News | Londonlovesbusiness.com
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