Archives for April 2022

SANTA ROSA, Calif. — StopLitigators.com is a new, free, crowdsourced database of Telephone Consumer Protection Act (TCPA) litigators compiled from demand letters submitted by industry users. StopLitigators.com is offering free access to check phone numbers against the database in exchange for signing up. Marketers can sign up at StopLitigators.com, submit their demand letters and lawsuits to the crowdsourced litigator list, help contribute to an industry-wide resource to eliminate predatory litigators from the marketing ecosystem, and receive free access to check their calling lists against the database. 

“The abusive act of predatory litigation presents a significant challenge even for those that make every effort to manage their compliance properly,” said Ron Allen, creator of StopLitigators.com. He continues, “Many repeat litigators find ways to intentionally ‘trick’ legitimate entities into making a call that is a violation and then prey upon the company by demanding money, under threat of a class action suit. Further, we often find that no call was ever placed, and the demand is simply sent to many entities in an effort to get money from companies that do not reject the demands out of fear. StopLitigators.com is a way for the contact center industry to cooperatively work together and fight back. I have spent over 30 years in this industry and believe strongly in helping protect it.”

Predatory TCPA litigators are a threat to all legitimate telemarketers. While multiple compliance providers—including Contact Center Compliance, the business behind StopLitigators.com—offer litigator scrub lists based on court filings, not every TCPA plaintiff and litigator shows up in those filings. Sometimes, litigators simply send demand letters, hoping for a settlement, without ever pursuing the sorts of legal action that shows up in court record databases. These demand letters fall through the cracks of the existing systems for cataloging dangerous TCPA litigators. But StopLitigators.com allows call centers and defense lawyers the opportunity to build a better database that includes the litigators and plaintiffs who merely send demand letters.

Call center-related businesses and law firms are allowed to register for free. Access to the free list-scrubbing is given as soon as the registrant’s information is verified. For more information about this database, visit StopLitigators.com and for additional information about and services for TCPA compliance, visit DNC.com.

Stop Litigators & Contact Center Compliance

StopLitigators.com is a crowdsourced database of predatory TCPA litigators. Call centers can utilize this database to eliminate those litigators from their data. It is a new endeavor from Contact Center Compliance, one of the industry leaders in TCPA and DNC compliance solutions for more than 20 years. 

Engaging with customers can be challenging during times of financial concern, but SMS gives businesses and users a mutually beneficial platform to communicate.

Tax returns are days away from being due, with the IRS facing an overload of unprocessed returns delaying payments. Inflation is at a 40-year high reaching 7.9% at the end of February. These current events are making headlines in our country right now, and consumers are starting to feel the effects.

Engaging with customers can be challenging during times of financial concern, but SMS gives businesses and users a mutually beneficial platform to communicate. Companies can reach customers during a season with overwhelming news unfolding on the global stage and here at home with the right tools at your fingertips. SMS is a quick, reliable method for getting information where it needs to go in a highly engaging format. Its benefits extend to almost any industry and businesses of all sizes. SMS for business has countless benefits, and here are seven that your business could start seeing once you integrate this tool into your strategy.

7 Benefits Of Implementing An SMS Plan This Spring

1. SMS has a large audience within reach. 

From ordering groceries and checking in at the doctor to keeping in touch with family long distance and documenting life’s greatest moments, smartphones have become a vital tool in our daily lives. Over 272 million Americans own a smartphone¹ with native messaging capabilities, giving SMS marketers the benefit of direct access to a large audience within seconds. The average screen time is over three hours daily, and users check their phones 58 times per day¹. 40% of millennials look at their devices every 20 minutes¹. An SMS message is hard to miss with statistics like that.

2. SMS is fast.

Large quantities of SMS messages can be delivered within seconds, getting your message into customers’ hands when it’s most critical. Fast delivery rates make SMS one of the most reliable communication channels available between businesses and consumers. Not only are the delivery rates fast, but consumers engage more quickly with SMS than other channels. 95% of SMS messages are read and responded to within three minutes¹! When you have a message that needs to get in front of consumers’ eyes, SMS can be trusted to do so promptly.

3. Consumers engage with SMS.

SMS has limited characters but still blows other popular marketing channels out of the water with its 19% click-through rate. Email (4%) and Facebook (1%) fail to offer what SMS can regarding engagement¹. SMS messages must be clear, to the point, and enticing to customers. Offer a relevant SmartURL™ to valuable content, seasonal promotions, and customized deals and watch customer engagement grow.

4. Customers want to Two-Way Text with businesses.

Customers want a direct line to businesses, so much so that nearly half of all branded messages are responded to by consumers. SMS can make communication quick and convenient for both parties. Whether initiated by the customer or the business, it’s crucial to have Two-Way Texting capabilities open to your team. 45% of consumers proactively reach out to companies via text, and 1-in-3 said they reached out without a response¹. Lack of communication on a business’ part is a frustrating experience for customers and will likely result in parting ways. An easy solution is the make SMS an integral part of your communication efforts and service teams. Learn more about creating an SMS-based customer service team.

5. SMS offers a high ROI.

Retail businesses increased their SMS spending by 56% in 2020¹ and knowing the ROI of your SMS efforts can pave the way for a larger budget. Marketers who track the ROI of their campaigns are more than 1.6 times more likely to receive higher budgets². Tack SMS ROI through opt-out, growth, click-through, and conversion rates. The cost per redeeming subscriber is also an effective tool for gauging campaign performance. Learn more about determining ROI in part two of our SMS Campaign Analytics Guide.

6. Create a loyal following with SMS.

Inflation has shoppers looking for the best bang for their buck. Now more than ever, customers are open to new brands and working with businesses that offer affordable, quality products and services. Reward your customer base and prospects with an SMS exclusive loyalty program. Over half of all consumers said they would opt-in to loyalty programs if offered. In 2020 alone, 50 million customers opted-in to text messages from businesses¹.

7. SMS is cost-effective and accessible for all sizes of businesses.

A successful campaign can outweigh the cost of sending bulk SMS messages to clients. Cut print and postage costs associated with traditional media when sending your campaign through SMS instead. SMS is also accessible to businesses of all sizes. Companies with smaller budgets and teams can communicate with audiences in the thousands or more thanks to the low costs of SMS, sometimes costing as little as a few cents.

Solutions by Text offers a scalable SMS solution that seamlessly fits your current marketing and communication strategy. The team at Solutions by Text understands that your business is unique and will customize a process designed just for your customer base. It’s simple to get started; talk with our team today to get started.

Sources:

¹SMS Comparison

²Hubspot State of Marketing

The CFPB has entered into a consent order with Edfinancial Services, a student loan servicer, to settle the Bureau’s allegations that Edfinancial engaged in deceptive acts and practices in violation of the CFPA UDAAP prohibition.  The consent order requires Edfinancial to pay a $1 million civil money penalty.

According to the Bureau’s findings set forth in the consent order (which Edfinancial neither admits nor denies), Edfinancial made various misrepresentations to borrowers with Federal Family Education Loan Program (FFELP) loans about their eligibility for Public Service Loan Forgiveness (PSLF).  Under the PSLF program, established in 2007, student loan borrowers with qualifying loans who work in public service jobs or for certain nonprofits are eligible for loan forgiveness if they make 120 qualifying payments under a permissible repayment plan.  Unless a FFELP borrower can take advantage of the PSLF limited waiver that was announced by the Department of Education in October 2021 and that expires on October 31, 2022, FFELP borrowers must consolidate their FFELP loans into Direct Loans to be eligible for PSLF and any payments made before consolidating a FFELP loan into a Direct Loan do not count toward PSLF.

The Bureau’s findings in the consent order identify various misrepresentations made by Edfinancial customer service representatives to FFELP borrowers.  Such misrepresentations concerned FFELP borrowers’ eligibility for PSLF, the ability of FFELP borrowers to consolidate their loans, whether payments on FFELP loans would count towards PSLF, whether certain jobs were eligible for PSLF, and the availability of PSLF to FFELP borrowers.

In addition to payment of the $1 million civil monetary penalty, the consent order requires Edfinancial to take various actions including: contacting FFELP borrowers about the PSLF limited waiver; communicating certain information about the limited waiver in incoming calls from FFELP borrowers and through its interactive voice response system: developing and implementing a call script for its customer service representatives to use when speaking with FFELP borrowers, a training program for customer service representatives, and a call monitoring program; and updating its website to provide information about eligibility of FFELP borrowers for PSLF.

In response to the CFPB’s press release about the consent order, Edfinancial released a statement that included the following:

“Edfinancial Services has been providing loan servicing to our clients, including the U.S. Department of Education, for more than 25 years.  We were recently ranked the No. 1 federal student loan servicer by the Department of Education as a result of our commitment to quality.  The Consumer Financial Protection Bureau reviewed loans in our Federal Family Education Loan Program (FFELP) and alleged that our company had deceived or misled some of our borrowers about eligibility in a public service loan forgiveness program, an allegation we strenuously reject.  However, facing protracted and costly litigation that would have distracted us from our day-to-day responsibilities to our clients, borrowers and staff, we have settled the case with the CFPB with a payment of $1 million and agreed to update our training for staff servicing FFELP loans.”

Concurrently with the CFPB’s announcement of the consent order, the Department of Education sent a letter to FFELP servicers in which it described the CFPB’s settlement with Edfinancial and expressed concern that the issues involved in the settlement are not unique to Edfinancial.  The letter reminds servicers that their responsibilities include “actively informing borrowers about available programs for debt relief, any changes to these programs, and providing complete information in response to inquiries and complaints.”  In the letter, ED warns that “[Federal Student Aid] and CFPB can be expected to pursue further oversight of these issues, and every company should take pains to address them at once, so as to avoid penalties or other consequences.”

COLUMBUS, OH –Reliant Capital Solutions has partnered with NC4K in support of Ohio families experiencing pediatric cancer. 

The NC4K Gala

This year’s NC4K Gala will be held on Friday, April 22, 2022, at 6:30 PM at Cosi – Center of Science and Industry in Columbus, Ohio. The annual Gala provides community awareness and funds through sponsorships and ticket purchases which directly assist families and their children dealing with childhood cancer. This magical night will include stories from the NC4K “Heroes” and their families, along with food and drinks, music, a silent auction, and so much more! This is Reliant’s third year as a presenting partner. 

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Amanda Compton, NC4K Executive Director stated, “We are incredibly grateful for Reliant Capital Solution’s support of our 2022 NC4K Gala as our Presenting Sponsor. Their leadership of this event for the third year in a row demonstrates their unwavering commitment to making sure No Kid Fights Cancer Alone. 

Beyond this sponsorship, Reliant steps up time and time again to support kids and families, make NC4K events successful, and bring awareness to our mission. Without them, we could not walk alongside the over 500 families we serve living in or being treated in Ohio. Reliant’s generosity allows us to provide critical financial support, emotional support, and events for play for pediatric cancer families. Their partnership creates a caring community for families and lets them know Reliant is here for them.”

About NC4K

Since 2007, NC4K’s mission has been to support children and their families bravely fighting cancer by providing financial, material, and emotional support. In the last two years, they have distributed over $179,000 to 500 families, welcomed 139 new families, and hosted 19 Events for Play. Please visit www.nc4k.org for additional information on future events, volunteer opportunities, and provisions for donations of toys, school supplies, professional services, or other support. 

About Reliant Capital Solutions

Reliant Capital Solutions is a Gahanna-based, award-winning, woman-owned and operated, accounts receivable management (ARM) company. Owner, Margie Brickner, began business operations 15 years ago and has realized her vision of creating a leading provider of ARM services, offering exemplary customer service for clients and consumers. Reliant provides nationwide service to the higher education, government, healthcare, financial, and commercial industries. Learn more at www.reliantcapitalsoultions.com. 

OVERLAND PARK, Kan. — Drew Anderson has joined NeuAnalytics as Senior Vice President of Business Development, bringing with him over 38 years of financial services industry experience.  

Drew has extensive experience on both the third-party collection agency and creditor/issuer sides of the business. Prior to joining NeuAnalytics, Drew was Chief Revenue Officer for ARS National Service, where he was responsible for operations, client relations and business development.   

Drew’s unique experience running collections departments in banks and business development for a third-party collection agency, lends itself nicely to his new role at NeuAnalytics as our software sits between creditors and their agencies. “I have had the pleasure of knowing Drew for more than two decades” states CEO and Founder Ryan Neuweg. “His integrity and work ethic are absolutely aligned with NeuAnalytics’ midwestern mindset. ‘Say what you are going to do, then do it’. Drew’s extensive experience as both a trusted operator and business partner to the receivables management industry will help NeuAnalytics extend both our Integrated Support Platform (ISP) as well as those who we hope to serve.”  

About NeuAnalytics

NeuAnalytics is the industry leader in operational risk, compliance management and performance analytics.  Our platform provides the world’s leading creditors with comprehensive business intelligence while continuously monitoring for compliance.  With the ability to monitor third-party vendor’s collection activities down to the individual consumer level, our powerful tool ensures creditors of their agency’s compliance with all local, state and federal regulations, while providing the insights needed for strategic performance management.  

http://www.neuanalytics.com

Reg F set some companies back on their heels, but not Firstsource. 

Since 2017, Firstsource has been operating using a customer-centric, digital-first collections methodology and they aren’t stopping any time soon. 

In this candid, ranging Q&A with iA Strategy & Tech, Firstsource President of Global Collections Arjun Mitra reflects on why outbound calling is no longer viable as the primary customer outreach strategy, how regulations like Reg F have given companies the green-light to modernize collections, and why increasing recoveries now depends on an optimized digital recovery / collections strategy and elevating the customer experience.

Q: How have you evaluated and prioritized your approach to innovation since the announcement and implementation of Regulation F?

A: Firstsource had already launched a digital platform and solution, which provides consumers with a more convenient and less intrusive way to take care of their debt by presenting options to self-serve on the website. This was ahead of the implementation of Reg F, which with the 7-in-7 and 7-in-1 call restrictions, really reduces the ability to reach consumers. Firstsource deploys an omnichannel approach to better engage consumers via website, email, phone, webchat, SMS. Regulation F has limited the ability to engage with consumers through SMS which is a common communication preference in today’s environment.

We’ve enhanced features on our website providing a more intuitive, comprehensive tool for consumers to have more autonomy and providing customized options tailored for their account. The focus is to move most engagements to digital, not only due to Reg F and state regulations limiting the ability to reach consumers, but technology has become more advanced and will continue to drive communications in the future. 

Q: What does your technology roadmap look like for the next 12-24 months? Why have you decided to go in that direction?  

A: Any technology innovation that we drive at Firstsource is laser focused on two key elements: improving recovery for our clients and elevating the customer experience. 

For our clients – we are working on providing in-app support. This includes simplifying onboarding, enabling custom branding, and integrating additional payment methods. We are also expanding compliant technology support to the UK market, helping companies in other geographies take advantage of digital collections.  

For end customers – we are working on elevating the user experience, from enabling in-email chat to providing one-click pay, so they can take control of their finances and enjoy a hassle-free experience. 

Customer expectations have undergone a dramatic shift over the past few years. Customers no longer answer their phones – 94% of unknown calls went unanswered in 2020.

Q: What is the number one feature your clients are asking for?

A: Without a question, it’s digital. Customer expectations have undergone a dramatic shift over the past few years. Customers no longer answer their phones – 94% of unknown calls went unanswered in 2020. They increasingly prefer to communicate and act through digital channels. At the same time, they expect to be treated with dignity and respect. Traditional collections models that rely on outbound calling are not only intrusive but also out of touch with this reality.  

Our clients understand that designing a sensitive multi-channel contact strategy that customizes communication and payment solutions to individual customers is key to success. Such a strategy requires integrated capabilities and seamless deployment across infrastructure and technologies, including automation, advanced analytics, AI and machine learning. When done right, a digital-first collections strategy offers a path to value creation – it increases returns manifold in terms of efficient and effective recovery and happier customers.  

Q: If a company can only invest in one area of consumer-facing technology, what should that area be? Why?  

A:Self-service through omnichannel outreach – this is where the demand is.  

Debt is a stressful and embarrassing issue for people at the best of times. Traditional collections models make this experience worse. Self-service allows customers to discreetly engage with lenders when and where convenient to them. What’s more, customers can design their own payment plans based on their changing financial situation. Flexible customer journeys and better customer experience translates to deeper customer engagement and better response rates, in turn improving recovery.  

The collections industry needs to embrace the changing behavior patterns and move away from the traditional modes of business. Self-serve platform offers a convenient, individualized and dynamic way to engage with customers and collect better.  

Q: Regulation F makes it clear that consumers are in the driver’s seat. Do you see any risks or limitations in following a process of innovation centered around listening to consumers?  

A: Absolutely not, regulations have been long overdue.

Consumers don’t always know they have options to resolve their debt. Limiting the frequency and methods in which to engage with a consumer affects the ability to find out the consumer’s situation and to create the best path for them individually. It also provides the consumer the ability to provide their communication preference or to explain their dispute or inform of a hardship. Otherwise, if contact is not made the consumer’s account may lead to legal action taken by the creditor which could have been avoided if discussions took place earlier.

Consumers may also encourage regulators to create unintentionally complex and difficult processes for all companies to comply with. For example, the Model B-1 initial demand letter. Smaller clients have not been able to extract the data needed to populate the required details for the initial demand letter. It seems like it should be easy but many have multiple in-house systems, some are very old and do not have the flexibility or technology needed to automatically extract the data. This is just one example.

Regulation F gives the green-light to digital collections organizations to modernize their outreach initiatives – enabling them to reach consumers through additional channels like email, phone, text messaging and social media – depending on what works best for the individual customer. This is a huge step towards innovative engagement.

Our focus on innovation is to provide solutions for customers in a setting that best suits them. In fact, we have always centered our product development innovation around driving compliant, empathetic collections – placing customers and their requirements at the core of our solutions. Our digital-first collections solution constantly listens to and responds to the evolving needs of customers. Our goal is to offer positive consumer experiences using digital technologies and tools, making it easier for customers to take control of their finances and fulfill their obligations.

Q: Describe one missed opportunity for innovation that you’ve faced. When did you know it was a missed opportunity, and how did you deal with it? 

A: Machine Learning holds a lot of promise. As consumer preferences evolve in today’s fast-paced world, Machine Learning can help drive flexibility and personalization in the debt collection process. It can turn it into a positive and painless experience – from recovery prioritization to strategy simulation to improved efficiency. We are still working on perfecting our innovation in this area to provide meaningful gains to our clients as well as their end customers. We are going back to the drawing board and redesigning our tools to make our offerings truly data-led with digital, analytics and ML embedded into it. While Machine Learning offers many benefits, we want to remain cognizant of the fact that the human element is still important in collections. Achieving the right balance between Machine Learning and the human touch is key. 

Q: What’s the most innovative decision your company has made? Tell the story behind it.

A: In 2017, we were breaking our heads over the traditional form of collections. We seemed to be constantly juggling multiple elements – editing strategies, competing in a tough, mature industry, struggling with talent attraction and retention, navigating compliance and regulations. I remember thinking, “there has to be a different way, a better way”.

We were fortuitous to be given an opportunity to build a disruptive white-label digital collections product from scratch. It got our creative juices in overdrive and the next 16 weeks were amongst the most memorable in our careers. We utilized a customer-centric and digital-first methodology, and were able to launch a non-invasive, fully automated, and intuitive collections product that we believed would define the future of our industry.

Every key metric from customer experience, negotiations, compliance, data reconciliation, and special circumstance management was mapped against process failures. This product allows us to do away with outbound calling altogether, which is a major milestone for the collections experience! 

Q: What current industry problems do you think will require the most innovative solutions?  

A: The number one area is: innovating how we engage with customers – from the way we reach out to them to the way we communicate with them.  

Conditions are ripe – both in terms of technology availability and customer preferences to transition to a digital-first, customer-driven engagement model in collections. To maximize outcomes, it’s important to ask ourselves if we are putting customers front and center. Are we meeting our customers when and where they want? Are we personalizing the engagement? Is the solution flexible enough to evolve in sync with changing customer needs? 

The second area of focus should be: improving digital engagement rates. When done right, we have seen digital-first collections improve engagement rates by 70% while reducing the cost to collect by 80%.

 

 

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iA Innovation Council is a collaborative working group of product, tech, strategy, and operations thought leaders at the forefront of analytics, communications, payments, and compliance technology. Group members meet in person (and lately, virtually) several times each year to engage in substantive dialogue and whiteboard sessions with the creative thinkers behind the latest innovations for the industry, the regulators who audit and establish guardrails for new technology, and educators, entrepreneurs and innovators from outside the industry who inspire different thinking.

MINNEAPOLIS,
Minn. — DCM Services, Inc. (“DCMS”), a
portfolio company of NMS Capital (“NMS”) announced today that Michael Rosenthal
has been appointed CEO, and former CEO, Tim Bauer, has been appointed to the
DCMS Board of Directors. These new appointments support the company’s vision
for continued excellence and growth.

Bauer commented on these appointments, “I joined DCMS
as CEO in 2017, and the last four and a half years have been the greatest
experience of my career. The Company’s culture of compliance while operating
with empathy, dignity, and respect in all interactions with consumers, is like
no other entity in the ARM space. The entire staff operates with a unified mission:
Inspired to Create Solutions. After 40 years in the industry, now is the right
time for me to retire and allow a new CEO to lead this great group to the next
phase of growth. NMS has been an excellent partner in supporting DCMS and my
transition from CEO to a member of the Board of Directors, and after an
extensive search for my replacement, we are thrilled for Mike to be joining the
Company.”

Noel Jeon, Managing Director at NMS added, “We are
extremely grateful for Tim’s leadership of DCMS to record performance, and
Tim’s transition to the Board of DCMS will ensure his experience and knowledge
of the business and industry will continue to benefit the Company in this next chapter.
We are equally excited for Mike to join DCMS as the next CEO. He brings over 25
years of experience in the consumer finance and BPO industries, and we believe
his experience and leadership will add tremendous value to DCMS. We look
forward to working with Mike in the years to come.”

Michael Rosenthal commented, “DCMS has a
long-standing history as the market leader in the ARM industry, specializing in
estate recoveries. The primary reason for the Company’s unparalleled reputation
in the industry is the culture they have built that deeply cares about every
consumer each employee interacts with. I am excited to be a part of DCMS and
remain committed to ensuring that our clients and consumers receive even better
service each new day.”

Mike joins DCMS from Alorica, where he was most recently
Senior Vice President of Alorica Financial Solutions and President of its SST
division. Prior to Alorica, Mike held leadership roles at Radius Global
Solutions, Veldos, TransUnion, and First North American National Bank.

About DCM Services:

Minneapolis-based DCM Services is the industry leader in
estate and specialty account resolution services, maximizing the value of
client portfolios across financial services, healthcare, auto, retail, telecom,
credit union, government, and utilities industries through innovation and
performance. Its recovery solutions offer a full range of services, from
proprietary web-based solutions to full outsourcing, maintaining an unmatched
spectrum of innovative solutions that increase recoveries, protect brand value,
and enhance survivor relationships – with respect and sensitivity. For more
information on all DCM Services’ offerings, please visit www.dcmservices.com.

About NMS Capital:

NMS Capital is a New York headquartered
private investment firm specializing in strategic equity investments and
leveraged buyouts of lower middle market companies. The firm was formed through
the spin-out of a group of portfolio companies from the Goldman Sachs Merchant
Banking Division. NMS focuses on companies headquartered in the U.S. poised to
benefit from sustainable growth trends with particular concentration on
companies in Business Services and Healthcare Services. For additional information on NMS, please visit the
firm’s website at www.nms-capital.com.

On April 12, 2022, in response to the lawsuit filed against it by the CFPB TransUnion issued a statement defending its actions and alleging the CFPB is the party that failed to act within the spirit of the previous consent order between the parties. In its statement, which can also be found here, TransUnion said:

“The claims made by the CFPB against TransUnion and John Danaher, a former executive, are meritless and in no way reflect the consumer-first approach we take to managing all our businesses. 

In January 2017, TransUnion entered into a consent order with the CFPB relating to how it markets TransUnion Credit Monitoring, a subscription product that offers consumers credit monitoring and identity theft protection services, as well as access to their credit scores. Shortly thereafter, as required by the consent order, TransUnion submitted to the CFPB for approval a plan detailing how it would comply with the order. The CFPB ignored the compliance plan, despite being obligated to respond and trigger deadlines for implementation. In the absence of any sort of guidance from the CFPB, TransUnion took affirmative actions to implement the consent order.

We have been in compliance with our obligations and we remain in compliance with the consent order today. Rather than providing any supervisory guidance on this matter and advising TransUnion of its concerns – like a responsible regulator would – the CFPB stayed silent and saved their claims for inclusion in a lawsuit, including naming a former executive in the complaint. Despite TransUnion’s months-long, good faith efforts to resolve this matter, CFPB’s current leadership refused to meet with us and were determined to litigate and seek headlines through press releases and tweets. The CFPB’s unrealistic and unworkable demands have left us with no alternative but to defend ourselves fully.

Over the last several years, and under the direction of new leadership, TransUnion has led the credit reporting industry in making significant changes aimed at benefitting consumers and increasing transparency in the credit reporting process.”

insideARM Perspective:

In addition to accusing TransUnion of “duping consumers”, within the last 60 days the CFPB has called medical debt a “doom loop”, accused auto lenders of holding personal items ransom, said a student loan servicer lied, and referred to credit bureaus as “a cartel“.  It’s hard to tell whether using this inflammatory and divisive rhetoric is merely an attempt to seek headlines or whether there’s some other purpose behind this shift away from civility. 

Suffice it to say, TransUnion’s statement paints a completely different picture than the one illustrated by the CFPB’s complaint. It seems TransUnion is ready to get into the ring with the CFPB and make its version of the facts known, and it will be interesting to see what surfaces as the fact-finding portion of this lawsuit commences. We will keep you posted with developments as they occur.