Comments on: Check Diversion Programs to be Made Exempt from Debt Collection Laws http://www.zipdebt.com/blog/check-diversion-exemption Straight Talk by Charles Phelan on Debt Settlement & Other Debt Reduction Strategies Thu, 04 Dec 2008 20:20:46 +0000 http://wordpress.org/?v=2.6.1 By: The ZipDebt Blog»Blog Archive » Catching Up on Industry News http://www.zipdebt.com/blog/check-diversion-exemption#comment-624 The ZipDebt Blog»Blog Archive » Catching Up on Industry News Wed, 04 Oct 2006 21:50:05 +0000 http://zipdebt.com/blog/?p=30#comment-624 [...] 3. Congress passed, and President Bush is expected to sign, the Financial Services Regulatory Relief bill, which includes clarifications to the Fair Debt Collection Practices Act. Most of the updates deal with technicalities, such as the language of the “mini-Miranda” warning (”this is an attempt to collect a debt,” etc.), the rules regarding collection activity within the initial 30-day dispute period (collection activity is ok in the absence of a known dispute by the consumer), and whether or not certain forms of communication (privacy notices, 1099-C forms, etc.) constitute debt collection attempts. One of the most important provisions of the bill is the exemption of certain bad check collection firms will not be regulated as debt collectors under the FDCPA. (This is an incredibly bad idea. See my blog post of May 4, 2006 for further info on this point.) Naturally, there was nothing in the bill that benefited consumers in any way. • • • [...] [...] 3. Congress passed, and President Bush is expected to sign, the Financial Services Regulatory Relief bill, which includes clarifications to the Fair Debt Collection Practices Act. Most of the updates deal with technicalities, such as the language of the “mini-Miranda” warning (”this is an attempt to collect a debt,” etc.), the rules regarding collection activity within the initial 30-day dispute period (collection activity is ok in the absence of a known dispute by the consumer), and whether or not certain forms of communication (privacy notices, 1099-C forms, etc.) constitute debt collection attempts. One of the most important provisions of the bill is the exemption of certain bad check collection firms will not be regulated as debt collectors under the FDCPA. (This is an incredibly bad idea. See my blog post of May 4, 2006 for further info on this point.) Naturally, there was nothing in the bill that benefited consumers in any way. • • • [...]

]]> By: Charles http://www.zipdebt.com/blog/check-diversion-exemption#comment-9 Charles Mon, 08 May 2006 18:09:39 +0000 http://zipdebt.com/blog/?p=30#comment-9 Michelle Singletary, Personal Finance Columnist for the Washington Post, in an article published May 6th, stated the following: "It's preposterous to amend the Fair Debt Collection Practices Act to grant private, for-profit companies the same immunity given to state and local prosecutors. What won't be fair is if Congress allows check-diversion companies to go unchecked for abusive and unfair practices." Exactly right, although on a technical note the FDCPA is not being amended. Rather, legislation is about to be passed that makes the check diversion companies exempt from that law. But the result will be the same: arrogant, abusive, and deceptive collection practices run amok. Michelle Singletary, Personal Finance Columnist for
the Washington Post, in an article published May 6th,
stated the following:

“It’s preposterous to amend the Fair Debt Collection
Practices Act to grant private, for-profit companies
the same immunity given to state and local prosecutors.
What won’t be fair is if Congress allows check-diversion
companies to go unchecked for abusive and unfair practices.”

Exactly right, although on a technical note the FDCPA is not
being amended. Rather, legislation is about to be passed that
makes the check diversion companies exempt from that law. But
the result will be the same: arrogant, abusive, and deceptive
collection practices run amok.

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