Tag: Fair Debt Collection Practices Act

Stay in control: Being a better consumer by keeping prepared for debt collectors

It is not easy being a consumer sometimes, especially when you owe creditors money and the debt collectors start calling you. Knowing your rights under the law is important, but that is just half the battle. The best debt collectors, and best meaning they collect the most money due, are the ones who have a way of getting you to pay, despite ethics and sound business practices. Many of them completely ignore consumer laws. For some, we often wonder if their business model assumes they will have to pay a few fines here and there when smart consumers catch them doing wrong. When you do know the law, there are additional steps you can take and practice becoming a better defender of your rights. Keeping good records and following the steps in this article can help you bring a case against an unscrupulous collector. When more consumers who stand up for their rights, collectors may take notice. Class action lawsuits particularly affect the bottom line for companies in the business of collecting. The Zamparo Group is advocating for consumers and helping fight back against predators engaging in bad acts.

There are few things you should do to prepare for talking to collectors to best protect yourself.

Wherever you manage consumer business from your home and office, consider creating and managing individual file folders for everyone with whom you enter into financial and credit transactions. Keeping a notebook or notepad and a pen nearby is important so you can take notes of each and every phone call. Always ask for the name or operator identification number of everyone you talk to and note the date and time of the call. It can be helpful and empowering later to tell a supervisor who you spoke with, at what time, and exactly what they said. You may also want to keep a recording device nearby and record the telephone calls, on an app on your phone, for example. Be careful however, when it comes to recording others, as the laws are different in every state when it comes to recording conversations and whether you need consent of the other person to record them. Here is a link to Illinois law on recording conversations. Please feel free to contact us to learn more.

Learn the basics of the consumer laws written to protect consumers from unfair debt collectors.

The Fair Debt Collection Practices Act (FDCPA) is the federal statute that protects consumers by limiting what a creditor can do when working to collect a debt. It might be helpful to print and keep the FDCPA basics nearby, to use as a reference when on the phone, or when making notes about what you think may be a consumer law violation.

The FDCPA prohibits debt collectors from:

  • Calling you before 8 a.m. and after 9 p.m.
  • Intentionally annoying or harassing you
  • Calling you at work if your employer does not allow personal office calls
  • Calling or communicating with you after you request them not to in writing
  • Using abusive language or threatening lawsuits they could not legally file or initiate

These are the common violation signs to watch for, and there are additional violations listed in the FDCPA text, published by the Federal Trade Commission (FTC) website. If you believe a collector is doing something that violates the law, we can review your notes and information about the communications and determine what action, if any, can be taken against the collector.

How would you know if they are in their rights to file a lawsuit against you?

First, if a debt collector says they are a lawyer and that is not true, there may be a violation. If someone tells you they have a lawsuit ready to file and they are not a law firm, there may be a violation. Another common concern of consumer attorneys are the collectors or law firms calling for a collector about a lawsuit that is barred by the statute of limitations to sue on a debt. Every state has its own set of limitations laws that prohibit a collector from filing a lawsuit to collect on a debt after a certain time. The best practice for a smart consumer is to make notes of any threats or comments about lawsuits when talking to a collector.

Before you pay, get the proof you need to know you actually owe a collector money.

Collection companies frequently buy lists of debts and try to collect. When the collectors are unable to collect, they might make notes on the list and move on to the next consumer. These lists can be bought and sold many times, and all it takes is one instance of human error and you may receive collection calls, years later, when you do not owe any money. If you paid a debt, keep records of the payment, and demand proof that you owe the debt. It is not on our short list above, but the FDCPA requires a debt collector to send you written proof that you owe a debt.

Prepare for phone calls and communications with debt collectors, and refuse to let them anger you.

Why do debt collectors often call during breakfast, lunch and dinner time? They know if you are busy, there is a better chance your guard will be down and they can push you around. It may be a judgment call for another to make if a collector is abusive or harassing, so good notes of what they say can be important later. If you are cooking or working or otherwise busy, feel free to tell the collector it is not a good time to talk and ask when you may return their call when it is convenient. When you call them back or take their original call, it is a good idea to sit at a desk so you can take notes and treat the phone call like an important business call. Remember that they are likely recording your conversation, and it is important to be careful what you say, because it could come back to haunt you later. When preparing for the phone call, try taking some notes of what you want to ask the collector about the debt. This is helpful if you are working with them to negotiate a reasonable payment arrangement.

Remember that any process of collection takes time and so do legal actions. Do not be worried that the collector is going to run to court the same day, obtain a judgment against you and garnish your wages or seize your bank accounts if you do not pay them immediately over the phone. If anyone tells you that, your next call should be to the Zamparo Law Group!

The Zamparo Law Group is advocating for consumers and sharing information about protecting against unethical and abusive debt collectors who violate the law. When more people stand up for their rights, consumers can win. Together we can protect one another from the wolves in sheep’s clothing.

The Zamparo Law Group, P.C. is a consumer protection law and litigation firm, representing consumer plaintiffs. Zamparo Law Group in the northwest suburbs of Chicago sues and wins against the companies who refuse to follow the law.

To learn more about consumer protection law and the Zamparo Law Group, please visit the firm’s website. You may also ask for a free case review. The Zamparo Law Group is connected on social media, please follow us and share our resources we share on our FacebookTwitter and LinkedIn pages. You may call the Zamparo Law Group with any questions by dialing (224) 875-3202.

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The Consumer Financial Protection Bureau enforces rules for mortgage settlement and servicing.

Summary: Fair Debt Collection Practices 2016 Annual Report by the CFPB

The Consumer Financial Protection Bureau (CFPB) recently published and submitted to Congress, its Fair Debt Collection Practices Act (FDCPA) 2016 Annual Report[i], detailing its activities in protecting consumers and enforcing consumer laws. In the report, the CFPB lists the number and types of consumer complaints it received, its supervision of debt collection activities, enforcement of Federal Trade Commission (FTC) and other applicable laws, and its efforts in education and outreach. The report begins with a message from CFPB Director, Richard Cordray, who notes that the CFPB “is the only federal government agency dedicated solely to consumer financial protection. Unlawful debt collection practices can cause harm to consumers across virtually all the consumer financial markets we oversee.[ii]” Here at the Zamparo Law Group, advocating for consumers, we frequently publish articles and share resources helping consumers learn the law, be able to spot, and report consumer law violations. We represent victimized consumers, sue, and win against abusive and deceptive business operators who violate consumer law.

Consumers and debt collectors are the primary parties considered in the Fair Debt Collection Practice Act (FDCPA), (the Act), written to protect consumers from unfair business practices by third party debt collectors. The FDCPA protects consumers of goods in the marketplace for personal consumer use, where a debt is due, and a debt collector attempts to collect the amount due. The FDCPA only applies to the actions of debt collectors who are third parties with right to collect the debts of another. Click/tap here to read our blog article about the FDCPA, Consumer protection overview of the Fair Debt Collection Practices Act.

Summary of the FDCPA 2016 Annual Report by the CFPB

Consumer complaints

The CFPB, created July 21, 2011, is authorized by the Dodd–Frank Wall Street Reform and Consumer Protection Act. In July 2013, the CFPB started collecting, investigating and responding to consumer complaints of FDCPA violations. The primary issue reported by consumers and the attorneys representing them concerned debt collectors who continued attempting to collect debts that individuals did not owe; representing 40 percent of complaints received during the 2015 calendar year.[iii]

Following continued attempts to collect debt not owed, in the order of frequent complaints, are debt collector communication tactics, failure to disclose verification of debts, taking or threatening illegal actions, making false statements or representations, and the improper contact or sharing of information.

Bureau supervision of debt collection activities

The Dodd-Frank Act gives the CFPB the authority to supervise banks and similar organizations offering consumer financial products and services. Examples of companies under CFPB supervision include residential mortgage companies, payday lenders, and private student lenders. In the regular course of CFPB supervision, a number of violations by debt collectors were discovered[iv] in the following situations:

  • Failure to state that a call is from a debt collector
  • Failure to implement consumer requests regarding communications
  • False, deceptive or misleading representations regarding credit reporting

CFPB and FTC law enforcement actions

The CFPB takes significant action against FDCPA violators, some of whom are chronic offenders. The report lists summaries of numerous CFPB law enforcement actions for improper debt collection, detailing the millions of dollars violators are ordered to pay to swindled consumers in class action lawsuits. The FTC also files debt collection cases seeking money damages in addition, the “Commission obtained preliminary relief that included ex parte temporary restraining orders with asset freezes, immediate access to business premises, and appointment of receivers to run the debt collection business.[v]

A section of the enforcement section of the report addresses a fight against “phantom debt collectors” who engage in unfair, deceptive and abusive conduct, trying to collect debt that either does not exist or is not owed to the phantom debt collector.[vi]

The remaining sections of enforcement data address debt collection via unlawful text messages and email, egregious collection practices, debt brokering and data security, as well as debt collection advocacy, including the CFPB and FTC cooperative efforts in writing amici (friends of the court) briefs in enforcement actions.

Education and outreach initiatives

The CFPB works to educate consumers and help them make sound financial decisions. Certain consumer populations are targeted with education, the ones who are also most likely to be targets themselves: “students, older Americans, service members, veterans and low-income and economically-vulnerable consumers.[vii]”  Online resources are frequently developed and improved to help consumers learn consumer law in plain English and empower them to take action and fight back against consumer rights violations.

As the CFPB continues developing education and outreach initiatives, the Zamparo Law Group will continue advocating for consumers by sharing the important information consumers need to protect themselves and others from unfair, deceptive and abusive business operators who prey on consumers.

The Zamparo Law Group helps men and women fight back against the individuals and organizations that target them in consumer fraud and ignore the Fair Debt Collection Practices Act. We fight and win in court, individually and in class action lawsuits.

The Zamparo Law Group, P.C. is a consumer protection law and litigation firm, representing consumer plaintiffs. Zamparo Law Group in the northwest suburbs of Chicago sues and wins against the companies who refuse to follow the law.

To learn more about consumer protection law and the Zamparo Law Group, please visit the firm’s website. You may also ask for a free case review. The Zamparo Law Group is connected on social media, please follow us and share our resources we share on our FacebookTwitter and LinkedIn pages. You may call the Zamparo Law Group with any questions by dialing (224) 875-3202.

[i] CFPB Fair Debt Collection Practices Act 2016 Annual Report

[ii] See Annual Report (HNi) above at page 2

[iii] See Annual Report (HNi) above at page 18

[iv] See Annual Report (HNi) above at page 23-26

[v] See Annual Report (HNi) above at page 39

[vi] See Annual Report (HNi) above at page 43

[vii] See Annual Report (HNi) above at page 89

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Consumer complaints, rising with with new technologies, help warn the public

Technology and the increased access to consumer complaint information may correlate with recent consumer complaint data collected and summarized by the Federal Trade Commission (FTC). The FTC’s mission is to “prevent business practices that are anti-competitive or deceptive or unfair to consumers; to enhance informed consumer choice and public understanding of the competitive process; and to accomplish this without unduly burdening legitimate business activity.” The FTC collects information received about debt collection, identity theft, and improper scams. In response to the analysis of consumer complaints, the FTC compiled a new agency data book, full of state-by-state statistics, as well as they increased enforcement efforts, to take action against companies that violate the laws protecting consumers from illegal debt collection practices and other similar fraudulent behavior. Compared to years past, when consumers were violated and felt alone, today we can easily identify other victims and patterns of negative and abusive behavior, which is increasingly easy to report and fight back through the FTC and attorneys who sue and win individual civil and class action lawsuits.

Frequent consumer complaints about debt collection, tax identity theft and general scams

Reviewing the FTC Annual Summary of Consumer Complaints, one might think debt collection efforts and disputes are at an all time high, rising to the top spot among consumer complaints, with 897,655 recorded FTC complaints, representing 29 percent of the total number of complaints. According to the FTC report, a new mobile app contributed to a significant increase in complaints through mobile devices. The takeaway is when it is easier for consumers to file a complaint, more consumers are likely to do so. When more consumers make complaints, other consumers can find that information and learn to avoid doing business with companies who do not follow consumer laws.

In second and third place, respectively, are consumer complaints about tax identity theft and general scams operated by the typical bad actors. Tax identity theft is particularly threatening because victims usually have no idea there was an identity theft until after the IRS rejects their tax return, telling them they have already filed and received their refund. The FTC report indicates identity theft accounts for 490,220, 16 percent of consumer complaints. To learn more about tax identity fraud and identity theft please refer to our blog article titled, Identity theft awareness, prevent fraudulent use of personal information.

The general, imposter scams make up 11 percent of consumer reports to the FTC, totaling 353,770 complaints in 2015. The FTC publishes consumer information used to spot government imposter scams, where imposters pretend to be government officials as they contact taxpayers and try to get them to pay them directly for taxes or fees they owe. Government imposter scams often target less sophisticated consumers and may involve threats of jail if they do not immediately pay the money the imposter says they owe. When consumers report the details of the scams, the FTC and similar agencies and law firms representing individual clients, are better able to warn the public about the types of scams being used to defraud innocent consumers.

About the new FTC agency data book

The Consumer Sentinel Network Data Book for January – December 2015 is 104 page PDF resource based on consumer complaints received by more than a dozen state and federal agencies to whom consumers report fraud and bad actors and scammers. These agencies share information through the Consumer Sentinel Network, a secure online database only available to law enforcement. The collection of information started in 1997 and the Consumer Sentinel Network has increased its efforts since its inception and today it receives almost 12 million complaints the FTC sorts into 30 complaint categories. The information in the data book is compelling and worth a review, to become more aware of the typical threats to consumers.

FTC enforcement efforts against unscrupulous companies violating consumer laws

The FTC summary addresses the increased enforcement efforts underway in 2015, involving federal, state and local cooperation in sharing information, investigating and prosecuting defendants engaged in illegal debt collection, and banning those offenders from the industry.

The purpose of the FTC is to enforce consumer rights laws, such as the Fair Debt Collection Practices Act (FDCPA) and the Federal Trade Commission Act (FTC Act). For more information, please review our blog article group explaining enforcement of the FDCPA. The joint efforts of agencies engaged in FTC enforcement help bring consumer law violators to justice, and face being banned and paying significant penalties. As more summaries of reports of consumer law violations are promoted to the public, there is an increased opportunity for individual consumers to help law enforcement take down individuals and companies who use deceptive, unfair and abusive debt collection practices.

Being vigilant in addressing consumer fraud: Good consumer habits

The attorneys at the Zamparo Law Group frequently advocate for consumers who have been injured by consumer rights violators. Many victims are already cautious consumers, and are still victimized despite their best precautions. The best defense against consumer fraud can be early detection and damage mitigation. Knowing your finances exactly, and having quick access to all your financial information and records is important. Good record keeping of financial statements may also be important in the event your identity is stolen. In the event of FDCPA abuses, early action in following the right legal procedures is important. There are so many formats of consumer fraud abuse, and it if something does not seem right, it is a good idea to say something and ask an attorney to review your situation.

The Zamparo Law Group can help consumers fight for their consumer rights. Being knowledgeable and aware of consumer law is important. When you see something, say something. We fight and win in court, individually and in class action lawsuits.

The Zamparo Law Group, P.C. is a consumer protection law and litigation firm, representing consumer plaintiffs. Zamparo Law Group in the northwest suburbs of Chicago sues and wins against the companies who refuse to follow the law.

To learn more about consumer protection law and the Zamparo Law Group, please visit the firm’s website. You may also ask for a free case review. The Zamparo Law Group is connected on social media, please follow us and share our resources we share on our Facebook, Twitter and LinkedIn pages. You may call the Zamparo Law Group with any questions by dialing (224) 875-3202.

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Federal law requires debt collectors to provide validation notices to consumers

When debt collectors call and attempt to collect a debt they claim you owe them, you have a right to ask for proof of the debt they claim you owe. Under the Fair Debt Collection Practices Act[i] (FDCPA), the debt collector has an obligation to provide written verification of the debt. In fact, within five days of contacting you, every collector must send you a written “validation notice” including the name of the collector, the amount they claim you owe, and your options to dispute the debt if you believe it is not believe you owe the money.[ii] If you want the collector to stop calling you, they must cease their debt collection efforts if you send them a letter indicating that you dispute any portion or the entire amount of the debt.[iii] Despite the clear and well-stated collection practice rules stated in the FDCPA, debt collectors violate Federal law and consumers can sue them and win in court.

Suzanne Husted’s story: fighting back against bad debt collectors

Like many people who experience a cash flow crisis from time to time, Suzanne Husted chose to take out two payday loans, each for $300, and paid them back within a few months. Husted took and repaid the payday loans about 10 years ago. One day recently, Husted started receiving phone calls from two different debt collection companies claiming she still owed $2,400 in principal and interest for the payday loans. She was threatened with being sued and hauled into court if she did not pay.

Assuming the collectors had bad information upon which they relied, Husted asked them to verify when she took out the payday loans. They responded and said she took the loans in 2010 and 2011, half a decade after Husted actually obtained and repaid the loans. Shockingly, when Husted asked for written verification of the loans, she was told she would only see that information when they file lawsuits against her. Husted started sending payments, in fear of being sued, for money she did not owe.[iv]

Consumers have a right to receive a debt validation notice from a creditor.

Federal consumer law is very clear, “Every collector must send you a written ‘validation notice’ telling you how much money you owe within five days after they first contact you. This notice must also include the name of the creditor to whom you owe the money, and how to proceed if you don’t think you owe the money.[v]” If a creditor asks you for money and you do not think their records are correct, ask for the validation notice. There is a good reason a third party collector might not cooperate in sending you validation notice – they have no documentable proof you owe the debt!

Buying and selling lists of debts is big business in the debt collection industry. One of the top consumer complaints about debt collection practices is that debt collectors are trying to collect money the consumer either paid or no longer owe, or debts the consumer never incurred in the first place. An innocent consumer might find it shocking that debt collectors might knowingly try to collect on debts they cannot prove, but it is an unfortunately common practice.

Most common complaints against debt collectors
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Thousands of consumers complain and fight back when collectors refuse to provide debt validations.

The Consumer Financial Protection Bureau (CFBP) receives tens of thousands of complaints about deceptive and fraudulent debt collection efforts. The failure to provide debt verification is a top complaint among consumers and their lawyers who file individual and class action lawsuits against bad debt collectors who violate consumer laws such as the FDCPA. To learn more and read about the worst offenders, read our recent blog article, Report Summary: The most reported abusive and deceptive debt collection companies on the Zamparo Law Blog.

If you receive a suspicious debt collection call, keep a good record. Always make a note of the date and time of a collection call and ask the caller for their name or operator identification number. Ask detailed questions about the debt they claim you owe, and ask for verification. Your time and damage from harassment are compensable by law. You may be entitled to sue for individual damages as well as statutory damages and attorney’s fees.

Fraudulent and deceptive collectors are counting on you not to do anything to stop them. Prove them wrong, and let them know consumers will fight for their rights. The Zamparo Law Group can help.

Zamparo ImageThe Zamparo Law Group, P.C. is a consumer protection law and litigation firm, representing consumer plaintiffs harmed by debt collectors violating the FDCPA and other similar federal and state laws. Zamparo Law Group in the northwest suburbs of Chicago sues and wins against the collection companies who refuse to follow the law and use illegal tactics to force consumers to pay the debts they are hired to collect.

To learn more about consumer protection law and the Zamparo Law Group, please visit the firm’s website. You may also ask for a free case review. The Zamparo Law Group is connected on social media, please follow us and share our resources we share on our FacebookTwitter and LinkedIn pages. You may call the Zamparo Law Group with any questions by dialing (224) 875-3202.

 

[i] The Fair Debt Collection Practices Act, 15 U.S.C. §§ 1692-1692p

[ii] Federal Trade Commission, Consumer Information, Debt Collection.

[iii] Federal Trade Commission, Consumer Information, Debt Collection.

[iv] Los Angeles Times, Business Column, When collectors call, demand proof of your debt, by David Lazarus, Jan 26, 2016.

[v] The Fair Debt Collection Practices Act, 15 U.S.C. §1692g, Validation of Debts.

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Report Summary: The most reported abusive and deceptive debt collection companies

The Alliance for a Just Society is an organization dedicated to addressing economic, racial and social inequalities. This month, the group published an extensive research study, profiling the companies with the most complaints filed with the Consumer Financial Protection Bureau (CFPB) for debt collection complaints. Federal law requires third party debt collectors to follow certain strict guidelines controlling how they are allowed to collect debts, and our article, Consumer protection overview of the Fair Debt Collection Practices Act (FDCPA), published on the Zamparo Law Group, Consumer Protection Blog explains the law in detail.

Some of the common complaints about debt collectors include: (1) Continued attempts at collecting debts not actually owed; (2) Improper communication tactics; (3) Disclosure of verification of the debt; (4) False statements or representations about debts; (5) Improper contact or sharing of consumer information; and (6) Threatening or taking illegal actions against individuals.

When a debt collector violates the FDCPA, our law firm can help clients enforce the law and seek a court’s award of actual damages suffered, statutory damages and attorney’s fees. Many people assume the aggressive debt collectors make significant money (a $13 billion industry in the U.S.[i]) using abusive tactics, and they may consider it a cost of doing business, to sustain lawsuits and judgments entered against them in Federal court. To help stop these unethical collection companies, we should learn and be aware of how they violate the law, and share this information with other consumers who may be victims of abusive and deceptive collection practices.

Most common complaints against debt collectors
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The following summary highlights and lists four of the worst offenders, identified by the Alliance for a Just Society in their January 2016 report, Unfair Deceptive and Abusive Debt Collectors Profit from Aggressive Tactics. Notice in the review below, the most common consumer complaints are the continued attempts at collecting debts not owed.

  1. Encore Capital Group, Inc.[ii]

The CFPB received more than twice the complaints about the Encore Capital Group than any other debt collection company, totaling more than 6 percent of all the debt collections complaints in the CFPB database. Between July 7, 2013 and August 7, 2015, the CFPB received 4,684 consumer complaints. Encore is the second-largest debt collector, pursing collections of 7.5 percent of the debts in the U.S.; their President and CEO’s 2014 executive compensation was $5,190,334.

The three most common issues raised by consumers were: (1) Continued attempts to collect debt not owed; (2) Disclosure verification of debt; and (3) Communication tactics.

Example of a consumer complaint: “I have been receiving numerous calls from [Encore subsidiary] Midland Credit. They are looking for someone else, not me, for over a month. Sometimes it is automated and they just ring the phone; I called them back XXXX times and asked them to take off my number — calls keep coming. Today I spoke to a person that said he would remove it from the automated calls and now the manual calls have begun.”

  1. PRA Group, Inc.[iii]

The CFPB received 2,216 complaints about the PRA Group between July 7, 2013 and August 7, 2015. PRA is the third-largest debt collector, pursing collections of 6.9 percent of the debts in the U.S.; their Chairman of the Board, President and CEO’s 2014 executive compensation was $5,606,441.

The three most common issues raised by consumers were: (1) Continued attempts to collect debt not owed; (2) Communication tactics; and (3) Disclosure verification of debt.

Example of a consumer complaint: “My XXXX died owing a credit card debt. The debt collectors say I now owe the debt. My name is not on the application for credit nor have I benefited from the credit card. The debt collectors reported it to the credit reporting corps. And it appears on my credit report as a debt I failed to pay and fraud. I am applying to refinance my home and I am being denied because of the report. I have no other blemishes on my credit report. I can’t sleep with the fear of losing my home.”

  1. Enhanced Recovery Company, LLC.[iv]

The CFPB received 2,016 complaints about the Enhanced Recovery Company between July 7, 2013 and August 7, 2015. Enhanced Recovery pursues collections of 2.7 percent of the debts in the U.S.; their President and CEO’s 2014 executive compensation is not publicly available.

The three most common issues raised by consumers were: (1) Continued attempts to collect debt not owed; (2) Disclosure verification of debt; and (3) False statements or representation.

Example of a consumer complaint: “I received many calls from a debt collector, to the point where I had to change my phone number. This is a debt that is from 6+ years ago, which I don’t have proof that I paid but in fact did pay. They have gone ahead and reported it in my credit reports. I tried calling XXXX last time in an effort to solve this issue and was threatened that if I did not pay they would contact my XXXX and contact my employer (which they repeatedly called and that’s how we found out it was a false collection agency).”

  1. Citigroup, Inc.[v]

The CFPB received 1,553 complaints about the Citigroup between July 7, 2013 and August 7, 2015. Citigroup’s top paid executive, the Co-President’s 2014 executive compensation was $15,892,220.

The three most common issues raised by consumers were: (1) Continued attempts to collect debt not owed; (2) Communication tactics; and (3) Disclosure verification of debt.

Example of a consumer complaint: “Letter sent to me pertaining to my DEAD husband’s account. My husband died on XXXX XXXX, 1991 (almost XXXX years ago). I believe the account was paid off, but I might be wrong. But I do believe there is a statute of limitations with debt collections. I would consider XXXX years within that limit. Also, it was sent to my current address that has never been associated with my dead husband at all. I am not listed on this account at all.”

The remaining debt buyers and collectors on the Alliance for a Just Society list[vi] are:

  1. Expert Global Solutions.
  2. Resurgent Capital Services L.P.
  3. Capital One Financial Corp.
  4. Synchrony Financial.
  5. Convergent Resources, Inc.
  6. JPMorgan Chase & Co.
  7. Allied Interstate LLC.
  8. Bank of America Corporation.
  9. Navient Corp.
  10. Dynamic Recovery Solutions, LLC.
  11. Wells Fargo.

If you are experiencing similar complaints about these or any other debt collector, the Zamparo Law Group can help protect you and your consumer rights.

Zamparo ImageThe Zamparo Law Group, P.C. is a consumer protection law and litigation firm, representing consumer plaintiffs harmed by debt collectors violating the FDCPA and other similar federal and state laws. Zamparo Law Group in the northwest suburbs of Chicago sues and wins against the collection companies who refuse to follow the law and use illegal tactics to force consumers to pay the debts they are hired to collect.

To learn more about consumer protection law and the Zamparo Law Group, please visit the firm’s website. You may also ask for a free case review. The Zamparo Law Group is connected on social media, please follow us and share our resources we share on our FacebookTwitter and LinkedIn pages. You may call the Zamparo Law Group with any questions by dialing (224) 875-3202.

[i]Fair Debt Collection Practices Act: CFPB Annual Report 2015.” Consumer Financial Protection Bureau, Mar. 2015, p. 7.

[ii] See the Unfair Deceptive and Abusive Debt Collectors Profit from Aggressive Tactics (hereinafter “Consumer Complaints Profile Report”) at page 10.

[iii] Consumer Complaints Profile Report at page 12.

[iv] Consumer Complaints Profile Report at page 14.

[v] Consumer Complaints Profile Report at page 16.

[vi] Alliance for a Just Society, Unfair Deceptive and Abusive Debt Collectors Profit from Aggressive Tactics, Jan. 2016.

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What exactly is “Consumer Law?”

When we tell people that we are lawyers, they inevitably ask, “What kind of lawyer are you?” When we say that we are consumer lawyers, they quickly move on to another topic of discussion. We find that few people—other lawyers included!—have an accurate conception of what consumer law is. Even other monikers like “consumer rights law” and “consumer protection law” still leave people at a loss concerning what we do.

It’s true: “consumer law” can be a bit confusing because it encompasses so many areas of the law. Generally, however, it deals with issues arising out of consumer credit transactions and deceptive sales practices. These seemingly simple areas involve a host of laws including federal laws like the Fair Debt Collection Practices Act, the Fair Credit Reporting Act, the Telephone Consumer Protection Act and the Driver Privacy Protection Act, and state laws prohibiting unfair and deceptive business practices, mortgage foreclosure, and fraud, just to name a few!

  1. Defending Debtors’ Rights

Stopping harassment, defending collections lawsuits, providing consumer credit counseling, and working to settle and eliminate consumer debt short of bankruptcy.

  1. Credit Reporting

Fighting the effects of identity theft and employment background check errors, correcting improper credit reporting; advising about bankruptcy, and stopping unauthorized credit inquiries.

  1. Mortgage Lending

Defending foreclosure suits, fighting foreclosure “rescue” scams; stopping predatory lending.

  1. Telephone Consumer Protection Act

Stopping abusive patterns of excessive and harassing collection calls to cell phones without consent.

  1. Unfair and Deceptive Business Practices

Holding businesses accountable for playing fair in the marketplace.

credit card sharksWe once met a client who had been searching online for a lawyer regarding a debt harassment issue that had plagued him for over five years. His searches, frustratingly, consistently led him to personal injury attorneys. Finally, a friend told him to look up “consumer” attorneys. He immediately found our firm and found the help he needed. Don’t let this be you! If any of the above describe what you’re dealing with, contact us today.

As consumer lawyers, we are proud to advocate for and protect the rights of everyday people from all walks of life. We look forward to serving you, too.

To learn more about consumer protection law and the Zamparo Law Group, please visit the firm’s website. You may also ask for a free case review. The Zamparo Law Group is connected on social media, please follow us and share our resources we share on our Facebook page. You may call the Zamparo Law Group with any questions by dialing (224) 875-3202.

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Stopping scam and spam phone calls and text messages

Do you receive unwanted phone calls and text messages from strange numbers, day and night? Have you added your number to the National Do Not Call Registry but receive calls anyways? Advances in communication technology and software make it easier than ever for scammers and spammers to inundate you with sales pitches and offers you did not solicit. Many telemarketers use computerized autodialing systems that do not check to see whether your number appears on the National Do Not Call Registry. Being aware of your consumer rights is important. The Federal Trade Commission (FTC) and the Zamparo Law Group can help protect and enforce your rights.

Consumer protection laws generally allow certain types of non-sales phone calls where your permission is not required:

  1. Political subject matter;
  2. Fundraising by charitable organizations;
  3. Individuals and organizations with general information;
  4. Debtors to whom you may owe money;
  5. Surveys from research and business groups;
  6. Individuals and organizations with whom and which you do business.

Keeping track of incoming phone calls is useful when you work to protect the privacy of your phone numbers. Some people pay a surcharge to their phone providers to keep their numbers unlisted. An unlisted phone number however is only as private as you keep it, and by listing that number on websites and social media can open the door to a private number landing on an autodialing call list.

To avoid the risk of more communications, it is a good idea not to return a call to an unwanted spam call made by a live caller or a “robocaller.” Instead, make a record of the call and report a violation to the FTC. You may notice phone numbers that appear many times, and the Zamparo Law Group attorneys may be able to help you take legal action against violators of your consumer rights.

Register with the National Do Not Call Registry and submit complaints of violating sales calls.

It is quick and easy to add your home and cell phone numbers to the Do Not Call Registry by either visiting donotcall.gov or calling 1-888-382-1222. From the website, click the registration link to add your home and mobile numbers to the Registry. You can add three numbers at a time, and your email address, where a verification email will be sent and contain a link to click and finish the process. After 31 days of your numbers being added to the National Do Not Call Registry, you may submit a complaint with the FTC.

Landline and cell phone numbers are added to the Registry quickly and you can use this verification link to make sure your numbers are included. You may also review the Registry to find yours and other phone numbers that may not be called and texted by sellers and telemarketers (note: you will have to register and create a profile to access the Registry).

What to do about unwanted text messages from numbers you do not recognize.

Not everyone has unlimited text messaging and many people pay per text message. It is generally illegal for companies to send you text messages without your permission. However, there are exceptions and it is lawful for an individual or company to send you text messages if you (1) have a prior existing business relationship, or (2) the text is a non-commercial survey or fundraising message.

The FTC recommends you delete unwanted texts, do not engage or respond, do not give out personal information via text, place your cell phone number on the National Do Not Call Registry. Additionally, if you use AT&T, Sprint, Verizon, T-Mobile or Bell, you may forward the unwanted text, free of charge to 7726 (SPAM ). The Federal Communications Commission (FCC) also publishes information about unwanted text and email communications as well as a link to file a complaint online.

Are Debt Collectors are calling you and violating your consumer rights?

This short video by the FTC explains your rights under the Fair Debt Collection Practices Act (FDCPA). A debt collector may only call between 8 a.m. and 9 p.m., and when they do, they may not curse, insult or lie to you, or demand more money than you owe. They also may not claim the paperwork they send you are legal forms if they are not. Debt collectors may not invent consequences for not paying your debt. If your employer does not allow you to receive collection calls at work, the collectors may not contact you there. If you want to exercise your right to stop debt collectors from calling you, you can, and it can be done by sending them a letter.

Attorneys at the Zamparo Law Group can help you fight for your consumer rights and collect damages.

Whether there are statutory damages allowed by law or there is a class action lawsuit you might be able to join, the consumer rights attorneys at the Zamparo Law Group can tell you how they may be able to help you collect damages where the law allows.

To learn more about consumer protection law and the Zamparo Law Group, please visit the firm’s website. You may also ask for a free case review. The Zamparo Law Group is connected on social media, please follow us and share our resources we share on our Facebook page. You may call the Zamparo Law Group with any questions by dialing (224) 875-3202.

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Consumer protection overview of the Fair Debt Collection Practices Act

Consumers and debt collectors are the primary parties considered in the Fair Debt Collection Practice Act (FDCPA), (the Act), written to protect consumers from unfair business practices by third party debt collectors. The FDCPA protects consumers of goods in the marketplace for personal consumer use, where a debt is due, and a debt collector attempts to collect the amount due. The FDCPA only applies to the actions of debt collectors who are third parties with right to collect the debts of another. The FDCPA does not apply to original creditors collecting debts originally owed to them. Third parties, usually credit references, are referred to by the Act and there are limitations to how a debt collector can make contact with a third party of the debtor, when attempting to collect a debt.

There are three main legislative objectives of the FDCPA:

  1. Stopping, preventing and remedying unfair consumer debt collection practices;
  2. Protecting legitimate and rule abiding debt collectors from competitors with unfair debt collection practices; and
  3. Establishing a congressionally enacted uniform body of law controlling the legal collection of consumer debts with statutory standard practices.

There FDCPA contains multiple requirements debt collectors must follow exactly or be in violation of the Act, triggering remedial penalties.

Violations of the FDCPA include several prohibited actions that are abusive or harassing, false and/or deceptive, and unfair and unconscionable acts. These violations of these congressional prohibitions can lead to financial and marital instability, bankruptcies, loss of work and invasions of individual privacy. When a debt collector breaks one of the following consumer debt collection rules, they are subject to the legal penalties and fines and attorneys fees when a lawsuit is filed in the local federal court within one year of the date of violation.

Abusive or Harassing Acts by a debt collector, Violating the FDCPA are generally prohibited.[i] Acts or threats of violence or criminal activity violate the Act. Using obscene, profane or racially motivated language is a violation of the Act. Publishing or advertising a list of bad debtors, or threatening to put a consumer debtor on such a list is an Act violation. Debt collectors making excessive telephone calls to a debtor, or third party, or making their phone ring repeatedly to harass them are violators of the Act. A violation of the Act also occurs if the debt collector makes phone calls to the consumer debtor and fails to make meaningful disclosures of their identity.

False and/or Deceptive Acts by a debt collector, Violating the FDCPA are generally prohibited.[ii] If a debt collector falsely represents himself or herself as a lawyer, there is a violation of the Act. Debt collectors are prohibited from threatening criminal prosecution for nonpayment, or they violate the Act. Debt collectors also may not threaten lawsuits, garnishments or property seizures if they have no real legal ability to do so, for example, when the debt is old and past the statute of limitations to collect on the debt, and if the debt collectors do make those threats, there is an Act violation. Threatening to report false credit information is also prohibited and a debt collector violates the Act in making that credit reporting theft.

Unfair and Unconscionable Acts by a debt collector, Violating the FDCPA are generally prohibited.[iii] Debt collectors may not collect any monies from consumer debtors except for the amounts authorized by law, and extra fees and charges for payments of full or partial amounts cannot be charged to the consumer debtor or there is a violation of the Act. Post-dated checks also have special rules if they are accepted by debt collectors. First, is a debt collector agrees to accept a post-dated check, they must give the consumer debtor a minimum of three days written notice before endorsing and depositing the check for collection. Second, a debt collector may not ask for or accept a post-dated check under the debt collectors’ threat of criminal prosecution.

In addition to several bad debt collector acts that lead to Act violations there are FDCPA regulations and duties to comply with the rules for communication among debt collectors and consumer debtors.

The FDCPA regulates how a debt collector must communicate with a consumer owing a debt. The original communication in which the debt collector makes contact, they must specifically speak or state the language: “This communication is from a debt collector in an attempt to collect a debt. Any information obtained will be used for that purpose.” All subsequent communications must include a spoken or written statement, “This communication is from a debt collector,” or “This is an attempt to collect a debt.” [iv] In addition, there are five-day notice requirements a debt collector must satisfy to legally inform a consumer debtor of the nature of details of the debt they seek to collect.

Enforcement of the FDCPA rights and remedies for consumers involves damages, fines and the compensation for actual and statutory attorney fees where applicable.

Within one year of an act by a debt collector in violation of the Act, the consumer debtor, or third party receiving an abusive amount of phone calls, for example may file a lawsuit against the debt collector in a federal district court.

The remedies for violations of the Act include the following:

  1. A court’s award of actual damages suffered by the consumer debtor;
  2. Statutory damages allowed by the Act, up to $1,000; and
  3. Actual amounts of attorneys fees incurred and/or allowed by the Act.

In some cases, a violation of the FDCPA can be used as leverage in settlement efforts where debt collector may agree to accept less money than originally sought if the consumer debtor agrees to not file a lawsuit for violations of the Act.

The Zamparo Law Group, P.C. is a consumer protection law and litigation firm, representing consumer plaintiffs harmed by debt collectors violating the FDCPA and other similar federal and state laws. Zamparo Law Group in the northwest suburbs of Chicago sues and wins against the collection companies who refuse to follow the law and use illegal tactics to force consumers to pay the debts they are hired to collect. To learn more about consumer protection law and the Zamparo Law Group, please visit the firm’s website. You may also ask for a free case review. The Zamparo Law Group is connected on social media, please follow us and share our resources we share on our Facebook page. You may call the Zamparo Law Group with any questions by dialing (224) 875-3202.

[i] 15 USC § 1692d

[ii] 15 USC § 1692e

[iii] 15 USC § 1692f

[iv] 15 USC § 1692e(11)

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Roger Zamparo Jr. Attorney

Consumer Protection Podcast: Roger Zamparo walks us through an issue spotting exercise in a variety of consumer protection laws, state and federal.

Roger Zamparo recently presented an overview of consumer protection law and litigation on the podcast hosted by the Illinois Professional Licensing Consultants. The program titled, Spotting consumer protection issues and litigation with Roger Zamparo, highlights sources of consumer protection law and several examples of how unfair and deceptive business practices affect consumers.

Zamparo Law Group

The Zamparo Law Group defends consumers from deceptive and unfair business practices, abusive collection tactics, identity theft, and a host of other anti-consumer behaviors.

Topics covered in this podcast interviewclick here to listen now!

  • What is consumer protection law and how do attorneys help you recover from harm?
  • Does an injured victim pay attorneys fees or collect at the end, like in personal injury law?
  • What are the sources of law identifying conduct resulting in a consumer protection violation?
  • A brief overview of fair debt collection laws and what types of wrongs to watch for.
  • How the fair credit rules work and what the credit reporting agencies should do to protect you.
  • About the Driver Privacy Protection Act and concern about motor vehicle records.
  • What the Telephone Consumer Protection Act requires of telemarketers.

Roger Zamparo received a B.A. from Ohio University and his J.D. from The John Marshall Law School (where he is currently serves as a member of the Board of Trustees). In his 35-year litigation practice, he has represented individuals and corporations in both state and federal courts. He has concentrated on several areas, including consumer law and legal malpractice. Please contact the Illinois Professional Licensing Consultants at (224) 847-3202 to be connected with Roger Zamparo if you have a consumer protection question or need to consult on your legal matter.

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