CFPB: Debt Collectors Now Under Federal Supervision

For the first time, the federal government will directly supervise non-bank consumer debt collectors. On October 24, 2012, the Consumer Financial Protection Bureau (CFPB) published its second “larger participant rule,” defining those debt collectors who will be subject to the CFPB’s enforcement power. The CFPB also released the field guide that examiners will use to ensure that companies and banks engaging in debt collection are following the law.

In an attempt to touch as many companies as possible, the three types of businesses which are included in this rule include…

To read the full Troutman Sanders CFPB advisory, click here.