Credit and Collection Industry Pushes Back Against Inflammatory Statements of CFPB Director at House Hearing

WASHINGTON, D.C. -- ACA International, the Association of Credit and Collection Professionals, is disappointed by the opening statement and testimony by Richard Cordray, director of the Consumer Financial Protection Bureau, during Wednesday's hearing of the House Financial Services Committee. The hearing, scheduled in order to receive the semi-annual report of the CFPB to Congress, was the first appearance by Director Cordray before the committee since the inauguration of President Trump.

"We continue to be distressed at Director Cordray's habit of insulting and mischaracterizing an entire industry of professionals and small businesses that work incredibly hard on behalf of consumers every single day. Our members and industry work collaboratively in a legal and compliant manner with millions of American consumers to resolve their justly-owed debts," said ACA International CEO Pat Morris. "We are not, and will never be, a 'dead-end.' We are an essential part of the financial services cycle. We help put consumers back on their feet; and in many cases, back on the road to financial recovery and financial literacy."

Consumers, creditors, and the economy as a whole benefit from the existence of the professional debt collection industry, which is committed to upholding the highest standards of ethical and legal practices. ACA International works diligently to ensure that its membership has the tools and information necessary to educate its workforce—emphasizing the importance of training and understanding diverse consumer needs.

In part of his opening statement before the committee, Cordray said: "Another dead-end market for consumers is debt collection…people deserve to be treated with dignity, whether or not they owe a debt."

Treating consumers with respect and dignity is a bedrock principle for ACA International, and our members work tirelessly to promote professionalism throughout the industry. Debt collectors are highly regulated and seek to help rid the industry of bad actors that taint the image of the vast majority of collectors. Perhaps the testimony should be amended to read: "People deserve to be treated with dignity, whether or not they work in the credit and collection industry."

About ACA International

ACA International (ACA), the association of credit and collection professionals, is the largest membership organization in the credit and collection industry. Founded in 1939, ACA brings together third-party collection agencies, law firms, asset buying companies, creditors and vendor affiliates, representing tens of thousands of industry professionals. ACA produces a wide variety of products, services and publications, including educational and compliance-related information; and articulates the value of the credit and collection industry to businesses, policymakers and consumers. www.acainternational.org.