Debt Collectors “Get the Message” on Consumer Communication

How many times do you use your cell phone on an average day? Are you using it to text, email, surf the web or actually make phone calls? Your phone may feel like an extra appendage, but to the debt collection industry, it’s a whole new technology that brings with it a whole new slew of compliance risks.

For instance: How are companies handling calls to cell phones where consent to use an auto-dialer is not in place yet? What changes are on the horizon for auto-dialers and cell phones? And how many calls is too many calls?

Recent court rulings have weighed in on the issue: In August, the 3^rd U.S. Circuit Court of Appeals in Philadelphia ruled unanimously that, under the Telephone Consumer Protection Act, consumers may withdraw their consent to have robo-callers contact them by cell phone. And of course, the ruling in Zortman v. J.C. Christensen & Associates, Inc. stated that leaving a voicemail in which a debt collector identifies as such doesn’t violate the FDCPA’s violation on third party communication.

Get expert insight on collection communications, and the court cases that matter, with our To the Point reports. We’ve compiled the top questions from our popular Ask the Attorney webinars into user-friendly briefs for when you need the latest legal thinking on a specific topic.

To the Point: Telephone Consumer Protection Act (TCPA)

• What is the current understanding around EFTA violations and recurring Automated Clearing House (ACH) transfers/authorizations?
• Do calls to a residential line using Voice Over IP violate the TCPA if an auto-dialer or pre-recorded voice is used?
• And much more!

To the Point: Telephony and Voicemail Messages

• Should first-party collections’ departments also have measurements for abandoned call rates?
• Can a message for a consumer be left with a live third party?
• When should the mini-Miranda be used? Should it be used on a dialer call? And if it’s used on the dialer call, how is that not third-party disclosure?
• And much more!

To the Point: Written and Verbal Communication

• Is a verbal Cease and Desist as valid as a written Cease and Desist under the FDCPA?
• Are there any disclosures (FDCPA or state law) that should only appear on the front page, and not on a backer?
• Is it appropriate to insert “buck slips” in collection letters – i.e., items of interest or incentive programs?
• And much more!

We also have our ARM Case Law: Zortman in Focus report, which details the critical elements of this landmark case for debt collectors. We fully annotated the case, giving you the relevant sections of the FDCPA and TCPA that the Court cites when reaching its conclusions. We’ve also hyperlinked all the court cases referenced in the document, making it easy for you to further explore the case.