As we have mentioned for several months now, the CFPB’s new rules that affectively clarify or change some of the rules initiated in The Fair Debt Collection Practices Act (FDCPA; March 1978), will go into effect this November, 2021. With these rules, most of which will be up to third-party collection agencies to adopt into their practices, come some items that will require their clients to hand over more information on their patients and consumers in their placement files.
Turning Red to Black Blog: Discussing Topics Related to Revenue Cycle Management, Debt Collection, Debt Recovery, Debt Management, Billing Operations and Billing Procedures
Preparing for the New CFPB Rules for Debt Collection
Rules, Regulations, and CFPB, Oh My!
If you’ve been living in a bunker for the last year or so – and it’s entirely possible you have! – you may not have noticed the litany of new rules and regulations that have been thrust upon third-party collection agencies, not to mention the ever-evolving state rules and consumer-oriented notices that have coalesced around the collections industry as a whole, in particular regarding the means and methods by which we communicate with consumers.
Common Sense Prevails… Part 2: Defining an ATDS
Previously we published an article, “Commonsense Prevails… When Consent is Contractual,” which outlined a district court ruling* that basically means it is not a violation of the Telephone Consumer Protection Act (TCPA) – in other words, it is entirely legal to call a consumer – when he or she signs a document that says you or your third-party collection agency can contact them at the number of their choosing using automated phone calling technology if they fail to pay their bill.
Common sense, right? But for some reason, in districts across the country, courts are hearing and punishing first and third-party companies for doing just that. Our colleagues across the board are shaking their heads while coughing up hundreds of thousands, if not millions, of dollars along the way. Well, there may just be a silver lining appearing on the December horizon. Enter Facebook.
Accelerating Your Collections
With the Coronavirus Pandemic wreaking havoc across the board for retailers, physicians, and healthcare organizations, furloughs and layoffs have become a daily assault on our newsfeeds and colleagues’ livelihoods. With this in mind, it might be time for you to start thinking about accelerating your bad debt collections and letting your specialized third-party collectors handle your accounts sooner. Just like the services your organization expertly provides, debt collection is a specialized service that is best left to the professionals so you can get back to doing what you do best, and often do exceptionally well.
The Simon's Way
In the last 6 months of 2020 during the most trying time in the world, we at Simon's Agency, Inc. have found that we could work, hire, and train remotely. We have always prided ourselves in promoting the "Simon's Way" of debt collection throughout the industry by using empathy and emotional intelligence in working with our clients' patients and customers.