While the debt collection climate may be changing in West Virginia, nationally, lawsuits and sanctions abound in order to punish abusive collectors and protect consumers.
As the Consumer Financial Protection Bureau (CFPB) continues to sanction and regulate the industry, Ohad Samet, co-founder and CEO of the debt recovery company TrueAccord, recently made headlines for speaking out in defense of the CFPB. His message: regulations are good for everyone.
Samet believes that the CFPB’s rules will lead to invested infrastructure and automation to fulfill expected data consistency and disclosure requirements. He goes on to say that the debt collection industry has suffered from under-investment for years and that in the long term, both consumers and collectors will benefit from more regulation.
Other voices counter Samet’s statements by pointing out that legitimate collections’ companies are penalized by being forced to spend millions of dollars each year on compliance.
What do you think? Do you think the debt collection industry is over- or under-regulated? Share your thoughts in the comment section.