Debt Buying

The Court of Appeals for the Fifth Circuit has reversed a lower court’s dismissal of a lawsuit filed by a debt buyer against a creditor that sold portfolios of delinquent and defaulted debt, ruling that the disputed portion of the contract between the two parties was enforceable. A copy of …

Decreasing supply of portfolios available to be purchased led to a marked drop in the amount of portfolio purchases by PRA Group in the first quarter of 2022, according to financials released by the company yesterday, while company Chief Executive Kevin Stephenson noted that, “if history teaches us a simple …

A District Court judge in California has sided with the Office of the Comptroller of the Currency, a federal regulator of banks, after it was sued by three states — California, Illinois, and New York — for allegedly overstepping its authority when it issued a rule ensuring the terms of …

A debt buyer has filed suit against Citigroup, accusing the mega-bank of a “classic ‘bait and switch’ ” by promising to sell delinquent credit card portfolios containing accounts with certain characteristics, but instead putting accounts into the portfolios that had a much lower chance of recovery. A copy of the …

A debt buyer that was sued yesterday by the Consumer Financial Protection Bureau said in a statement that it intends to fight the lawsuit and said the CFPB’s suit referenced six accounts in which allegedly illegal activity took place before the debt buyer was even in business and “embellishes them …

The California state Senate has followed the Assembly in passing AB1020, a bill that would restrict hospitals from selling certain patient debts, require collectors to certify that patients have been screened for public programs and financial assistance before filing a collection lawsuit, and extend the period before a debt could …

Joel Tucker was ordered to immediately begin serving a prison term of 12.5 years yesterday and ordered to pay more than $12 million in unpaid taxes, penalties, and interest after being sentenced by a federal judge after pleading guilty to selling fake debt portfolios that earned him more than $7 …

The governor of Minnesota has signed a number of omnibus bills into law, one of which contains provisions that expand the regulation of the accounts receivable management industry to include debt buyers, a new term that the state is defining for the first time. Gov. Tim Walz signed the bills …

A repeal of a rule that aimed to close a gap in the process of banks selling loans to third parties is a step closer toward its objective and the White House yesterday indicated that should the repeal make it to the desk of President Joe Biden, he will likely …

CHICAGO — April 6 — CMS Services, a leading provider of compliance management services to the Accounts Receivable Management industry, is excited to announce the launch of its Bank Terms & Conditions portal, providing copies of the terms and conditions issued by hundreds of credit grantors and financial institutions nationwide …