1 Customer

  • Banking and non-banking

2 Business Situation

  • Examiners found that one or more debt collectors claimed and collected from consumers, interest not authorized by the underlying contracts between the debt collectors and the creditors.
  • Impact - Collection of an unauthorized debt by falsely representing the amounts due is a direct FDCPA violation prohibiting the use of any false, deceptive, or misleading representation or means in the collection of any debt

3 Solutioning

  • Highlights the loans where amounts collected were more than the actual amount due or filters any exception being made on the account for collection of a higher or lesser amount than the actual amount due.

4 Execution

  • Records are classified as ‘Compliant’ when the amount collected is the actual amount due and ‘Non-compliant’ when the amount collected is more than actual amount due.

5 Value Delivered

Initiating certain debt collection testing rules coupled with effective remediation activities helps:
  • Significantly reduce the consumers risk of financial loss and/ or initiation of inadequate default activities.