Getting frustrated with attempts by debt collection companies to collect a debt that you may not even owe? If so, you are not alone.
A recent press release from the Consumer Financial Protection Bureau (CFPB), the federal agency tasked with protecting consumers, stated approximately one-third of consumers were contacted this past year by creditors or collectors attempting to collect on a debt. Within this group, one-third report the attempted collection efforts were made for the wrong debt.
In an effort to reduce these issues and better protect consumers, the CFPB recently announced a proposal that would "overhaul the debt collection market."
What is the proposal about? The changes proposed would include a limitation to the number of attempts to contact a consumer that allegedly owes money. The proposal also recommends adjustments to help better ensure the collection company is attempting to collect the correct debt.
How would this proposal meet these goals? The proposal requires that debt collection companies have more information before they attempt their collection efforts.
When they do attempt to make contact with consumers and begin these efforts, there will also be limitations on the number of contacts allowed. In addition to limiting their contact attempts, if approved the proposal would also ease the ability of the consumer to dispute the debt.