You Wanted a Rule; You Got a Rule

The Consumer Financial Protection Bureau instituted a number of safeguard to protect debt collectors when communicating with individuals via text messaging and email. But in order to receive the protections of those safeguards, collectors have a lot of steps that need to be followed. In this episode of You Wanted a Rule, You Got a Rule, sponsored by Bedard Law Group, John Bedard walks through the steps that need to be followed in order for a collector to be able to invoke the Bona Fide Error defense when communicating via email and text messaging. For any collector that is planning on using these communication channels because the CFPB is now allowing it, understanding these conditions under which the Bona Fide Error defense can be used will be of critical importance.

The Consumer Financial Protection Bureau calls for opt-out messages for electronic communications, including email and text messaging, to be “clear and conspicuous” and that opting out of receiving such messages needs to be “reasonable and simple.” In this episode of “You Wanted a Rule, You Got a Rule,” John Bedard of Bedard Law Group walks through what those terms mean and how collectors need to approach this important provision of the debt collection rule. 

When is it inconvenient for a collector to try and communicate with an individual? In this episode of You Wanted a Rule, You Got a Rule, John Bedard of The Bedard Law Group starts breaking down Section 1006.6 — communications in connection with debt collection — by discussing the importance of understanding when it is convenient and inconvenient to speak with a consumer.

While a definite page-turner, the CFPB’s debt collection rule should not be read like a traditional book. In this episode, John Bedard breaks down how to properly digest the rule and in what order the rule should be read to ensure maximum comprehension.

When it released its debt collection rule, the Consumer Financial Protection Bureau included a safe harbor protecting collectors from third-party disclosure violations under the Fair Debt Collection Practices Act when sending emails. In this episode, John Bedard of the Bedard Law Group breaks down the steps that collectors need to take in order to be able to invoke the Bona Fide Error defense. 

Collectors are prohibited from directly contacting individuals who are represented by attorneys. But, there is an exception if the attorney does not respond to a communication from a debt collector in a reasonable amount of time. What is reasonable? In this episode of “You Wanted a Rule, You Got a Rule,” which is sponsored by The Bedard Law Group, John Bedard talks about how the CFPB’s debt collection rule addresses this situation.

When engaged with an individual on the phone as part of a location information conversation, do your collectors know all the requirements that need to be met? In this episode of “You Wanted a Rule, You Got a Rule,” John Bedard of the Bedard Law Group breaks down how the CFPB’s debt collection rule addresses these requirements and the language that he sees often left out of those conversations.

On its face, the limited content message can be seen as a godsend for the collection industry. The chance to leave a voicemail for a consumer and not have it count as a communication under the FDCPA. But, as John Bedard points out in this episode of “You Wanted a Rule, You Got a Rule,” the conditions under which a limited content message may be left for a consumer may be such that it does not make business sense to use it. Collection agencies are going to have to test the effectiveness of the limited content message in order to determine if it is worth using it.

In this episode of “You Wanted a Rule, You Got a Rule,” John Bedard of the Bedard Law Group starts to break down the specific sections of the CFPB’s debt collection rule. Up first — Section 1006.1, Authority, purpose, and coverage, and most of Section 1006.2, definitions.

In the first episode of this new video series, John Bedard of the Bedard Law Group walks us through the process that has led us to the precipice of a new debt collection rule being released by the Consumer Financial Protection Bureau.