FDCPA Exam

What statements would constitute a fraud claim?

"My identity was stolen and I did not apply for that credit card" and "that was my credit card but half of the balance was charged illegally after the card was stolen

For the purposes of P&F , the Statute of Limitations period that we use in CA is?

4 years from the later of the most recent actual payment or actual charge

As a general rule, as long as it is not inconvenient to the consumer, collection calls may be made within what hours?

8 am to 9 pm local time of the consumer

Which would be considered third parties in a community property state under the FDCPA?

A mortgage company calling to settle an account; the consumer's daughter who states she made the charges on the account

What steps should be taken when a legal account representative is notified of bankruptcy?

Ask for the chapter number, case number and filing date. Ask for attorney name, phone number and or mailing address of the representative who handled the bankruptcy. Full and complete information should be notated and proper system coding should be used

If a collector realizes that a consumer has hired an attorney to handle the debt, the collector must:

Cease communicating with the consumer and deal with the attorney instead. Update all the attorney information in Cogent

According the FDCPA, the term communication means only verbal communications, and not written communications made directly, or indirectly, to any person. (T/F)?

FALSE

An account representative is allowed to disclose non- public information about a consumer to a third party company as long as the account representative is reasonably sure that the third party company's services can benefit the consumer. (T/F)?

FALSE

In a non-community property state, you may speak with the consumer's spouse in connection with the collection of a debt. (T/F)?

FALSE

It is always the best practice for an account representative at P&F to deceive customers as long as a payment is obtained on a delinquent account. (T/F)?

FALSE

It is okay to attempt to collect on an account with a bankruptcy status if the account representative believes that the consumer has assets that they are hiding from the bankruptcy trustee. (T/F)?

FALSE

It is okay to contact the deceased customer's family members to inquire about payment on the delinquent account

FALSE

It is okay to hold the main lobby door open for a fellow employee if he or she forgot their firm issued key card as long as you are reasonably sure that the individual works for the firm. (T/F)?

FALSE

You are allowed to take documents containing customer personally identifiable information home to review. (T/F)?

FALSE

You are authorized to reveal customer personally identifiable information to friends and family as long as you are not doing so in a malicious manner. (T/F)?

FALSE

An attorney who represents a consumer on one P&F account can prohibit debt collection on another account that P&F is collecting on, even if the attorney does not represent the consumer on that account (T/F)?

FALSE- I would need to confirm what account the attorney is on

It is okay to refer to the consumer as a defendant before a lawsuit is filed. (T/F)?

FALSE- We don't call CNS a defendant while on the phone. Just call them by their name.

Contacting a consumer's creditor (not the one holding the account P&F is collecting on) to obtain banking information on the consumer is not a violation of FDCPA. (T/F)?

FALSE- When skip tracing we don't want to actually contact their banking institution

A request for verification of a debt must be in writing. (T/F)?

FALSE- can be accepted over the phone

You have just settled an account with a consumer and see that the following day there is a court hearing. As a courtesy you can tell the consumer that they do not have to go to that hearing. (T/F)?

FALSE- let the CNS know you can't tell them or give them legal advice on what to do about summons or hearing. We won't continue with litigation process if they make payments

After a debt collector knows that an attorney represents a consumer, the debt collector is still permitted to contact 3rd parties for the purpose of skip-tracing the consumer (T/F)?

FALSE- no skip tracing if they are represented by an attorney

A violation under the FDCPA is determined by applying the "Most Sophisticated Consumer" standard. (T/F)?

FALSE- not a violation, so false

Account representatives are not obliged to notify a team lead or collections manager that a third party is claiming the customer is deceased unless documentation is provided supporting the claim

FALSE- we don not have to wait on documentation on any third party

What is the regulatory agency in which oversees the FDCPA?

Federal Trade Commission (FTC)

What message should be left when a debt collector leaves a message on a consumer's answering machine?

Foti message

The bankruptcy status of any account is checked how many times by Patenaude & Felix, APC?

Four times, at initial placement, before printing a civil suit, before the filing of a civil suit, and before the filing of a default judgment

The SCRA, which restricts default judgments against active duty service members, is checked how many times by Patenaude & Felix, APC?

Four times, at initial placement, before printing a civil suit, before the filing of a civil suit, and before the filing of a default judgment. (There is a phone # that we would give them for them to contact)

The "mini miranda" must be made in the initial communication with the consumer. How would you say it to the consumer?

I am a debt collector, not an attorney. This call is an attempt to collect a debt and any information obtained will be used for that purpose

FALSE- If they are requesting validation we can't use against them in court

If the consumer fails to dispute the validity of a debt, it constitutes an admission of liability that can be used against them in court. (T/F)?

Under the UDAAP (Unfair, Deceptive and Abusive Acts or Practices), which of the following terms comprise an abusive collections practice?

Materially interfering with the ability of a consumer to understand a term or condition of the product or service; taking advantage of a consumer's lack of understanding of material risks, costs, or conditions of a product or service; impeding with a customer's ability to understand all agreements, disclosures, fees and charges

If your first communication is in a language other than English, you must?

Notify your team lead so new dunning letter can be sent out; transfer the call to a collector who speaks that language; notate the file

Without a cease and desist on the account or an attorney representing the debtor, how often may a collector communicate with a consumer? (Under the FDCPA)

Once every seven days; once after notice is sent or payment is received; as often as needed, as long as the contacts are not harassing to the consumer

When skip tracing , the employer of the consumer may be contacted how many times by the collector?

Once, unless the collector believes the employer has more correct or complete information AND never, if the collector knows, or should know, the consumer is represented by an attorney

If the receptionist at a consumer's place of employment advised you not to call the consumer at work you should:

Place a cease and desist on the work number, and discontinue calling the place of employment

Which of the following steps must be taken if an account representative at the firm is notified that a customer qualifies for SCRA protection?

Place the account "on hold" in Cogent; properly code and notate the account; notify your team lead via email

What is the purpose of the Gramm-Leach- Bliley Act?

Regulates the disclosure of non- public information by financial institutions

Under the FDCPA, a collector may communicate information about a consumer's debt to all of the following people:

Spouse; consumer attorney; credit reporting agency; a relative with whom you have been given verbal permission by the consumer to speak to

An account representative should escalate a call to a team lead or manager if a consumer inquires about their right to opt out of information sharing practices. (T/F)?

TRUE

If a debt collector learns from the consumer that they are represented by an attorney in connection with this debt, the debt collector can only communicate with the attorney, unless the attorney gives permission to speak with the consumer. (T/F)?

TRUE

Per P&F requirements, when leaving a message on a consumer's answering machine you must also leave a 'mini miranda' (T/F)?

TRUE

Placing calls, and making contact with the consumer without revealing the collector's identity is a violation of FDCPA. (T/F)?

TRUE

The GLBA allows for consumers to "opt out" if they do not wish for their information to be disclosed to non- affiliated third parties. (T/F)?

TRUE

When a customer makes a verbal complaint over the phone, an account representative should always report the complaint to the collection manager via email. (T/F)?

TRUE

When speaking with a consumer, the collector must always identify himself, and that they are actually a debt collector, or representative of a debt collection company, before continuing the conversation. (T/F)?

TRUE

Your P&F issued key card must be used at all times when entering secure office locations. (T/F)?

TRUE

Under P&F policy, a verbal C&D will be honored. (T/F)?

TRUE-

When obtaining location information for skip tracing, prior to requesting any information you are required to disclose that you are attempting to locate the consumer. (T/F)?

TRUE- We don't contact 3rd parties for skip tracing. We don't call neighbors or employers for skip tracing

According to the FDCPA only, in a community property state, you may speak with the consumer's spouse in connection with the collection of a debt. (T/F)?

TRUE- can always speak with spouse in a community property state

If the consumer has multiple accounts that this office is collecting on, the consumer can state how they wish for their payment to be applied on those accounts (T/F)?

TRUE- consumer can pay $75 on one account and pay $25 on another account

When skip tracing, a debt collector should only give his name, unless he/she is specifically asked where they are calling from. (T/F)?

TRUE- don't just offer a company name to a third party

It is a violation of FDCPA to try to collect a debt after the consumer has timely disputed the account either orally, or in writing and before P&F has verified the debt. (T/F)?

TRUE- for new placement, 45 day validation (to dispute debt)

What would constitute inappropriate customer treatment?

Talking over a customer to prove your point; using sarcasm; yelling; threatening; failing to listen to a customer

Which regulatory agency enforces the UDAAP?

The CFPB

When a consumer claims that he/she has been a victim of identity theft or fraud:

The account representative must notate the account; We must stop all collection activity while the investigation is going on

A debt collector's response to a written "cease communications" notice from the consumer may include the following except:

To make a final demand for payment from the consumer

If the statue of Limitations has run out

We can take phone calls from the consumer and accept what the consumer is willing to pay if the client authorizes it

When must P&F Account Representative check to make sure that the Statute of Limitations has not run out

Whenever they receive an account as "new business"; whenever they receive an account through a "queue-roll"; whenever you are in an account

Can a collector contact a consumer at his place of employment?

Yes, unless the collector knows or should know that it is not convenient for the consumer; Yes, unless it is prohibited in that particular state; Yes, unless the collector knows or should know the consumer is represented by an attorney

Identify which of the following word(s) or statements communicated to a consumer would constitute an abusive collection practice, and a violation of the FDCPA

deadbeat; dishonest; loser; liar; debtor

Under the provisions of the FDCPA what is prohibited?

failing to disclose to the consumer that you are a debt collector; verifying the employment of a consumer who you know is represented by an attorney; falsely representing or implying that you are a debt collector who is employed by a consumer- reporting agency

When notified that a customer is deceased, a legal account representative should NOT:

recommend that the paralegal department begin litigation (ask for date of death and email John to close account)

What information are considered personally identifiable information and should not be divulged to unverified third parties?

social security number, address, birth date, banking or checking information

If there is a conflict between state and federal laws, which is used?

the laws that give the consumer the most protection