STERLING, Ill. — VeriFacts, the leading location and employment verification service
provider in the accounts receivable management (ARM) industry located in
Sterling, IL, gave back this past holiday season with four separate community
donation drives aimed at providing for its community’s children.  

VeriFacts began the holiday season with a gift basket auction
supporting Shop with a Cop, a local organization that raises funds to allow
kids to buy Christmas gifts for their families and themselves while helping
foster a positive relationship with their local police department. Following
the auction, VeriFacts collected new or gently used coats while raising money
for vouchers to help supply local kids with warmer clothing for the
season. 

As Christmas approached, VeriFacts worked closely with local
homeless shelters and the Salvation Army to provide help wherever needed and
gifts for kids who need extra support this time of year. 

“We are so thankful for our team at VeriFacts,” says Stephanie Clark, VeriFacts CEO.
“Ringing in the new year and celebrating with everyone that makes our
organization special is always a treat, but giving back to the community we
serve is the real honor. Helping children, and those in need, find peace, joy,
and cheer throughout the holidays is our goal and privilege as a team.”

Shop with a Cop 

Shop with a Cop is a growing national movement that focuses on
fostering healthy, productive relationships with local police departments.
While there is no central organization, Sterling, IL has put on Shop with a Cop
for many years and the earliest known event was in 1989 when a small group of
officers passed around a hat and collected money to take a single child in need
shopping for toys. 

VeriFacts has long supported both its community’s police officers
and its community’s children in need. With a perfect opportunity to meld two
focal points, VeriFacts set up a gift basket auction where all proceeds went to
the local police department to put on such an important holiday event.

Making a Difference 

In the spirit of the holidays, VeriFacts
once again supported its local Sterling, IL Salvation Army drive to help all of those in need this holiday season, but
specifically, the children of Sterling who could use a little extra support.
Each year, VeriFacts makes extra donations toward the local homeless shelters
in the tri-county area, but this year VeriFacts wanted to provide essential
help where it’s needed most. VeriFacts joined in fighting to cure hunger,
overcome poverty, provide housing, equip families, empower youth, partner with
adults, combat addiction, and fight for justice this holiday season.

A Culture of Giving 

From the start, VeriFacts worked to intentionally build up an
employee-centric culture that was also actively invested in the community.
VeriFacts is located in a small town, so employees are its fellow community
members, friends, and family. Many of VeriFacts’ decisions are made based on
what’s right in that context. Caring for its people and its community is good
for business. The more VeriFacts grows, the more they’re able to invest back
into its people and its community. 

This cycle of giving has led to thousands of donations over the
years including donations to the Alzheimer’s Association, the YMCA
of Camp Benson, the WYCA of Sauk
Valley, the Granny Rose Animal Shelter, and
the Sterling-Rock Falls
Community Trust. These local
organizations mean the world to our employees, executive team, and the
community.

About VeriFacts 

VeriFacts, LLC is the top employment
location and verification service for the receivables management industry.
Having been in business for over 30 years, they are committed to offering
guaranteed customer location and employment verification services to creditors
across the nation. The VeriFacts brand has become synonymous with high-quality
service and a positive customer experience. Over the years, their services have
expanded into residential location information, data verification, and unique
data aggregation. VeriFacts is proud to be a Certified Women-Owned Business by the
WBENC.

To avoid unintended consequences of new regulations, industry participants routinely submit comments to regulatory bodies. Heeding some of these warnings, the California Department of Financial Protection and Innovation (DFPI) recently incorporated the Consumer Relations Consortium’s (CRC) suggestions regarding its proposed complaints and inquiries regulation.

In 2022, the California Department of Financial Protection and Innovation (DFPI) proposed regulations to establish a consumer complaint-filing processes and a procedure for complaint investigation, response, reporting, and tracking. The CRC submitted a comment to the proposal, authored by members of its 2022 Legal Advisory Board, Joann Needleman of Clark Hill, Brit Suttel of Barron and Newburger, and Leslie Bender of Eversehds Sutherland. 

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In its comment, the CRC suggested that the DFPI make the following changes: 

• Require any third party to provide verification as a prerequisite to filing a complaint or inquiry. (Note that the original proposal explicitly stated the definition of “complainant” and “inquirer included a consumer’s representative.)
  
• Provide clarification to the definition of “complaint.”
  
• Exempt Fair Credit Reporting Act (FCRA) disputes from the definition of a complaint.
  
• Allow covered entities to seek proof of authority to act on a consumer’s behalf.
  
• Automate and standardize the process for reporting complaints and inquiries to the DFPI; and 

The CRC’s full comment (found here) explained why the DFPI should consider the CRC’s suggestions and asked the DFPI to consider the resources which would be required for it to review quarterly reports. 

The DFPI’s newest version of the regulation, released in December 2022, appears to adopt all of the CRC’s suggestions. The proposed rule now reflects:

• Significant updates and clarifications to the definitions of “complaint” and “inquiry.”
• FCRA disputes are specifically exempted from the definition of “complaint.”
• A representative is no longer included in the definition of a “complainant” or “inquirer.”
• An acknowledgment that covered persons can request validation from representatives, agents, etc. 
• Reports from covered entities to the DFPI should be submitted annually instead of the originally proposed quarterly;
• Further report filing instructions will be provided via the DFPI’s website.

Regarding the DFPI’s updates, co-author of the CRC’s comment, 2023 Legal Advisory Board member Joann Needleman of Clark Hill, stated, “The CRC’s Legal Advisory Board appreciates the Department of Financial Protection and Innovation’s consideration of our comments. The successful resolution of debts can only exist with a robust and well thought-out dispute process that enables both sides to communicate and respond successfully. Many thanks to Leslie Bender and Brit Suttell for their assistance, contribution, and leadership.”

Find the CRC’s comment here.

Find the updated proposed regulation here.

About the Consumer Relations Consortium 

The Consumer Relations Consortium(CRC) is an organization comprised of more than 60 national companies representing the diverse ecosystem of debt collection including creditors, data/technology providers and compliance-oriented debt collectors that are larger market participants. Established in 2013, CRC is evolving the debt collection paradigm by engaging stakeholders—including consumer advocates, Federal and State regulators, academic and industry thought leaders, creditors and debt collectors—and challenging them to move beyond talking points and focus on fashioning real-world solutions that actually improve the consumer experience. CRC’s collaborative and candid approach is unique in the market.  CRC is managed by The iA Institute.

ROCKVILLE, Md. — Greenberg Advisors (GA), a leading investment bank specializing in M&A advisory in the Accounts Receivable Management (ARM), Revenue Cycle Management (RCM), Healthcare Information Technology (HCIT), and Business Process Outsourcing (BPO) sectors, announces a preview of its analysis regarding the 2022 M&A activity in the ARM sector, as well as two ARM industry transactions in which it advised.

In total, 23 transactions worth nearly $800 million were completed in the ARM sector in 2022. While deals that were under $25 million in transaction size remained the most common by far, there was an uptick in activity among transactions in the $25 million-$50 million range, which represented 17% of transactions compared to 10% in 2021. Independently-owned strategic buyers were the most active type of buyer, completing 39% of the transactions, followed by private equity-backed strategics at 35%.

Among the 10 transactions in which GA advised in 2022, the firm would like to announce two ARM deals in particular. The first transaction involved a highly profitable commercial collection business based in the northeastern US. The seller in the second transaction was a well-recognized early-out and Extended Business Office (EBO) vendor to hospitals and healthcare providers throughout the US, with a focus in the Southeast. Both businesses were acquired by private equity-backed strategics. Transaction participants have not yet been announced.

Brian Greenberg, CEO of GA, noted, “Having known the sellers in both transactions for many years, we’re grateful to have played a role in helping them exit their businesses so they can enjoy the results of their hard work.”

GA will release its M&A Update for the ARM industry in February. Brian Greenberg will be attending the upcoming RMAI conference in Las Vegas. Contact Brian to schedule a meeting or call.

About Greenberg Advisors

Greenberg Advisors, LLC is an independent investment bank providing world-class M&A and strategic advisory solutions to Business Services and Technology companies in the Accounts Receivable Management (ARM), Revenue Cycle Management (RCM), Healthcare Information Technology (HCIT), and Business Process Outsourcing (BPO) sectors.

Focused on these sectors for over 25 years, the firm’s professionals offer a comprehensive, yet highly specialized perspective from which to advise clients, resulting in the completion of over 150 M&A, capital raising, valuation, and strategic advisory engagements. Since 2020, the firm has facilitated over $450 million in transaction value. These client successes reflect Greenberg’s distinct client-first approach, deep sector expertise, objective point of view, and work ethic.

On December 28, 2022, the New York Department of Financial Services released its debt collection rule amendments to 23 NYCRR 1, the regulation titled “Debt Collection by Third-Party Debt Collectors and Debt Buyers.” The initial proposed amendments were opened to public comment in late 2021. The rule amendments will take effect 180 days after the notice of adoption is published in the New York state register. The amendments represent an attempt to align the Department of Financial Services’ regulations with those requirements enacted by the Consumer Financial Protection Bureau in Regulation F, which became effective on November 30, 2021.

Notable changes to the New York regulation include the requirement that electronic communication may be used only under certain circumstances, such as when the consumer has voluntarily provided contact information to the collector (and that contact information is not owned by the consumer’s employer) and when the consumer has given revocable consent in writing to receive electronic communication.

The amendments also add a prohibition on oral communications to the debtor by telephone or otherwise regarding a debt for which the debt collector has determined that the applicable statute of limitations has expired. Oral communications are only allowed if the debt collector receives “prior written and revocable consent” or has the express permission of a court of competent jurisdiction to contact the debtor.

Additionally, when sending the initial communication to the debtor, along with the follow-up written notification within five days, collectors must now also include various disclosures in the follow-up notification required under Regulation F. These disclosures include, amongst other requirements, validation information, the itemization date, and any merchant brand associated with the debt.

A comment period on the amendments is open until February 13, 2023.

You can find the updated amendments here

LOCKPORT, N.Y. — Spire Recovery Solutions is urging everyone to pause this winter to remember all active duty and veteran military service members and their families. From the felt absences of family members and traditions to social/emotional/financial stressors, the holiday season and winter days that follow are particularly challenging times of year for many military and veteran families. Often, it’s not the most wonderful but the most difficult time. As veterans themselves, this is always a cause close to the hearts of Spire executives Joseph and Jacob Torriere. 

Holidays on Active Duty

In addition to ongoing U.S. military presence and various deployments throughout the world, the U.S. sent additional troops to Poland in 2022 to aid in combating the Russian invasion of Ukraine. The situation calls for ongoing active presence for the foreseeable future as the war rages on. Currently, approximately 10,000 U.S. personnel are on rotation in Poland. To support active duty service members, the USO is the nation’s leading organization to serve the men and women in the U.S. military, and their families, throughout their time in uniform. 

Ways to help and “give more than thanks” are detailed on the USO website. Sending letters and supporting local families of deployed men and women during the holidays through simple acts of service and kindness are also great ways to recognize and support the troops. One may never know what a profound effect a timely word of encouragement or other seemingly small act may have on an individual, family, or military unit. 

Challenges for Veterans

The holidays and winter months can also be tough for veterans of all ages, but especially those that have returned to the U.S. more recently. Veterans on average experience a range of mental health, family/relational health, and addiction issues at statistically higher rates than non-military citizens, particularly in the first year after military separation. Extended separation from family units, combat trauma, and prolonged individual and family stressors associated with tours of duty can all contribute to and aggravate these challenges. 

According to the 2022 National Veteran Suicide Prevention Annual Report, suicide was the second leading cause of death for veterans aged 18-44 in 2020, and “in each year from 2001 through 2020, age- and sex-adjusted suicide rates of Veterans exceeded those of nonVeteran U.S. adults.” There were, on average 16.8 Veteran suicides per day in 2020.

Organizations Spire Supported in 2022

For those interested in making a financial donation to a nonprofit organization dedicated to enhancing the lives of active and veteran military members and their families, there are many quality organizations making a real difference. In 2022, Spire chose to support Soldiers’ Angels and the All Secure Foundation. Soldiers’ Angels mission is to provide aid, comfort, and resources to the military and veteran community— no matter what that individual’s political or religious affiliations might be. All Secure Foundation assists Special Operations Active Duty and Combat Veterans, and their families, in recovery from post-traumatic stress through education, awareness, resources for healing, workshop retreats, and PTS Resiliency Training.  

This season, Spire also donated to the We Defy Foundation. Their mission is to provide combat veterans coping with military-connected disabilities a long term means to overcome their challenges through Brazilian Jiu Jitsu and fitness training. There are 45 states with WDF gyms, with a total of 600 athlete scholarships provided and over 500 affiliate gyms operating in 2021. From grantors to corporations to nonprofit partners, We Defy is focused on working with other like-minded organizations to elevate their ability to serve the disabled combat veteran community. 

About Spire Recovery Solutions 

Spire Recovery Solutions, LLC was founded by U.S. Veterans Joseph Torriere and Jacob Torriere. Spire is a professional, nationally licensed full-service debt collection agency that assists creditors in the recovery of outstanding balances while providing consumers with exceptional customer service. Spire Recovery Solutions uses customized processes and state-of-the-art technology to provide transparency and compliance that clients and consumers trust and rely on while working together toward account resolution.

TREVOSE, Pa. — NCB recently announced that Leonard Yampolsky has joined its executive leadership team as the Company’s Chief Information Officer.  Leonard is a technology management, software development and product engineering executive with more than 25+ years’ experience. He has been instrumental in building product development capabilities, directing technology implementations, developing business-automation strategies, and cultivating high-functioning teams.  Leonard’s areas of expertise span across Pharmaceutical, Financial and most recently e-Commerce sectors with high emphasis on Digital Transformation and Platform Engineering.   In his new role with NCB, Leonard will be responsible for strategic and operational information technology initiatives, innovation, global cybersecurity, and the evaluation and deployment of current and future technology platforms.  In addition, he will oversee both domestic and global technology-related investments required to enable and streamline ongoing business functions, while also helping monetize technology assets.  

Mr. Yampolsky most recently served as the Chief Information Officer/ Chief Digital Officer for GogoTech, where he was responsible for building and running the firm’s next-generation e-Commerce platform that was featured on Future of Retail Commerce Conference along with Revlon and other industry leaders.  Prior to that Leonard served as Advisory Board Member of Rutgers University Big Data Area and as Head of Lending Technology for Ocwen Financial with responsibilities overseeing all aspects of Consumer, Correspondent and Reverse Lending.  Prior to Ocwen he held senior leadership positions in Ditech Financial, GMAC, TD Bank,  Bank of America and Fleet Bank.  In these roles Leonard was responsible for leading IT strategic and operational planning to achieve business goals by fostering innovation, prioritizing IT initiatives, and coordinating the evaluation, deployment, and management of current and future IT systems across the organization to ensure flexible, effective systems able to adjust to reasonable future demands consistent with the business plans of the enterprise. 

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“I am excited to be appointed as NCB’s next CIO,” said Leonard Yampolsky.  “As the Receivable Asset Management industry continues to evolve, NCB’s innovative digital-forward focus and investments in a larger digital transformation strategy will continue to create tremendous value for its customers and clients as well as simplified work experiences for its colleagues.  Technology and innovation play a tremendous role in helping NCB stay laser focused on helping its customers achieve financial freedom and enabling NCB partners to focus on their core business making this an extremely rewarding opportunity.”

“In an environment where it is critical to optimize technology in order to provide an exceptional customer-centric experience, I am thrilled to welcome Leonard to the NCB Executive Leadership Team.  I am confident that Leonard’s experience in financial services coupled with his deep knowledge of customer facing technological infrastructure will allow NCB to better serve customers as well as play an integral part in our overall success”, stated Ralph Liberio, President & CEO. 

About NCB Management Services

NCB Management Services, Inc. was established in 1994 and is headquartered in Trevose, PA with satellite offices in Jacksonville, FL, Sioux Falls, SD, and Lincoln, NE. NCB is a well-respected Debt Buyer of Unsecured Consumer Credit Products and an admired, well-recognized Accounts Receivable Management (ARM) industry leader. NCB is a customer-centric, regulatory compliant organization with a robust infrastructure, who has blended many years of ARM experience with the latest in new information systems and communication technology. NCB has developed a reputation as consistently being a valued business partner and performer in a wide variety of applications. Providing superior customer interaction and achieving maximum results, while protecting NCB’s and our client’s valued reputations, are among our highest priorities.

On January 30, 2023, the California Department of Financial Protection and Innovation (DFPI) announced it issued enforcement actions and levied fines against five separate entities. Though the DFPI referred to each of these entities as “debt collectors,” it is unclear whether these businesses are actual debt collectors or fraudsters posing as debt collectors.

The entities fined by the DFPI  for violations of California’s Debt Collection Licensing Act and the California Consumer Financial Protection Law (CCFPL) include:

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• Amherst and Associates. The Order Assessing Penalties attached to the press release states, “Amherst and Associates was a business entity of unknown type with an unknown principal place of business and several different telephone numbers, including 1877-792-1946.” 

• Clayton Banner and Associates. The Order Assessing Penalties attached to the press release states, “Clayton Banner and Associates (CBA) is a business entity of unknown form with a telephone number of (941) 444-8855 and an unknown principal place of business.” 

• SARS Solutions.  The Order Assessing Penalties attached to the press release states, “SARS Solutions (SARS) is a business entity of unknown form with a telephone number of (866) 575-2402 and an unknown principal place of business.”  

• Marvin, McCall and Associates. The Order Assessing Penalties attached to the press release states, “business entity of unknown form, with a purported mailing address at 3281 E. Guasti Road, Suite 700, Ontario, California 91761 and an email address at mmandassociates@protonmail.com.” Proton mail is not a business email address. It is an email service that allows its users to be completely anonymous. The 7th floor of the listed street address appears via Google Maps as a Regus office space. 

• Franklin, Moss & Associates. The Order Assessing Penalties attached to the press release states,” Franklin, Moss & Associates (Franklin Moss) was a corporation formed in Delaware, with a purported mailing address at 3524 Silverside Roade [sic] Suite 35B, Wilmington, DE 19810-4929.” However, that address appears to be a mail collection service for a registered agent, not a place of conducting business.  The Order includes a website address, but the site is no longer active. 

The DFPI announcement says the above entities engaged in a variety of unlawful and deceptive practices, including: 

• Engaging in debt collection in California without a license from the DFPI
• Attempting to collect a debt that a consumer did not owe
• Making unlawful threats to sue on debts
• Making false claims of pending lawsuits
• Failing to notify consumers of their right to request validation of debts
• Making false claims about the authority to collect a debt
• Unlawfully threatening to seize property
• Failing to provide a “validation notice” as required by federal law

The complete press release, which includes links to each of the Orders Assessing Penalties, can be found here. 

insideARM Perspective:

The DFPI’s press release is indicative of a significant problem plaguing the ARM industry: regulatory bodies, the media, consumer advocates, and others legitimize criminals who choose to call themselves “debt collectors” by calling them “debt collectors” instead of “scammers,” “fraudsters,” or just plain “criminals.”  

Taking a step back, how can we assume that the five entities fined by the DFPI are not really debt collectors? Easy. In addition to other factors, none have a valid business address. In its Orders, the DFPI states three of five have an “unknown principal place of business address.” One of the others, which might sound like a law firm, comes back to a mail collection business and has a now-deleted website. The last one – with the proton.mail email address- appears at best to be tied to another business that may collect mail. No legitimate debt collector is operating without an address or using a proton.mail email address.

Although not explicitly stated in its announcement, it seems the DFPI might also think these entities are scammers. Though the word “scam” is included in the title of its announcement, it’s negated by the  first sentence, which refers simply to “debt collectors.” Toward the end of the press release, the DFPI commissioner generally refers to “fake debt collector scams,” but this phrase is not tied directly to the fined entities and is too little too late in the announcement. Neither nullifies the implication that these were bad-acting debt collectors, instead of potential criminals. 

Debt Collection plays a critical role in the credit ecosystem, and there are good, legitimate debt collectors out there who help consumers get out of debt and find their financial footing. But it’s tough for consumers to understand that every “debt collector” isn’t horrible when regulatory bodies and other organizations with a microphone give criminals the same designation as legitimate entities. 

Judges don’t legitimize those accused of the unlicensed practice of law by calling them “lawyers.” We don’t refer to people posing as medical professionals as “doctors.” So why do we do this with debt collectors?  Regulators need to do better, the media needs to do better, and those of us in the ARM industry need to correct them whenever and wherever we can. 

ST. LOUIS, Mo. — Credit Control, LLC (“Credit Control”) is proud to announce for the third year in a row, our employees have ranked us as winners in the Best Places to Work in Collections program. This is the company’s third time participating in the program with back-to-back #1 overall rankings in the large company category. 

The Best Places to Work in Collection program, now in its 15th year, is administered by Best Companies Group, which conducts over 60 local, national and industry “Best Places” programs each year. This year, only 34 companies met the standard to participate in this survey which identifies, recognizes, and honors the best places of employment in the Collections industry.

The program includes a rigorous two-part blind survey process to determine the Best Places to Work in Collections. This included an evaluation of workplace policies, practices, philosophy, systems, and demographics. The second part consisted of an employee survey to measure the employee experience with direct, unfiltered employee input, including all Credit Control locations across the country. 

Rick Saffer, the President & CEO of Credit Control, made the decision to participate based on the independent review process ran by the Best Companies Group. He commented, “Our leadership team strives to build a culture that is diverse, cohesive, and founded on trust and teamwork. It is extremely rewarding to see this hard work be recognized with a positive response from our employees. It’s a great year when we can once again celebrate being ranked #1 by both our clients and our employees.”

In addition to our back-to-back first place rankings in this program, Credit Control was recently recognized as the Agency of the Year for one of the country’s largest telecommunication providers. This is the second time in four years that the company achieved this award. 

Other recent client awards include:

• #1 Overall Agency 
• Highest Over Remittance Agency 
• Best Onsite & Best Remote Audit Agency 
• Highest Performer in Specialty Market 
• Best Overall Agency Performance to Goal 
• Most Overall Compliant Agency

For more information on the Best Places to Work in Collections program or to view the full rankings, visit:  www.bestcompaniesgroup.com/best-places-to-work-in-collections/winners/2022-best-places-to-work-in-collections/

For more information on Credit Control, LLC and how we partner with our clients to help care for their customers, please visit: www.credit-control.com

About Credit Control, LLC

Headquartered in St. Louis, MO, Credit Control, LLC is a recognized leader in recovery solutions. Since 1989, Credit Control has served a wide variety of blue-chip clients through its four nationwide locations and a team of over 600 employees. The company is founded on its core values of providing strong customer service and exceptional recovery results for our clients; developing an employee culture that is built on trust, accountability, and clear communication; and creating solutions that utilize the latest technology. 

Credit Control’s recovery approach blends traditional collections with omni-channel communications in a compliant & customer-centric culture. Credit Control maintains ISO/IEC 27001 certification, SSAE-18 SOC 1 Type 2 and SOC 2 Type 1 reports, Level 2 PCI-DSS compliance, and fully secured systems. The company has received numerous awards for performance, compliance, and innovation from many of the largest creditors in the world.

As an Equal Opportunity Employer, Credit Control is committed to fostering, cultivating, and preserving a culture of diversity, equity, and inclusion. Credit Control’s mission is to become the preferred supplier to industry leaders by providing the highest level of quality, compliance, and innovation while delivering top tier performance in a positive employee work environment.

Company Contacts

Paul Farinacci, Executive Vice President and Chief Sales & Marketing Officer;  Direct:  818-720-6502 Email:  pfarinacci@credit-control.com

Marc Ross, Vice President of Marketing; Direct:  305-389-6235 Email:  mross@credit-control.com

Credit Control, LLC – Corporate Headquarters: 3300 Rider Trail S, Suite 500, Earth City, MO 63045

Other Offices Include: Las Vegas, NV & Tampa, FL (2)

The CFPB has issued a new request for information (RFI) to inform its biennial review of the credit card market mandated by the Credit Card Accountability Responsibility and Disclosure Act of 2009 (CARD Act).  Comments on the RFI must be received by April 24, 2023.

The CFPB’s first CARD Act report was published in October 2013, its second report was published in December 2015, its third report was published in December 2017, its fourth report was published in August 2019, and its fifth report was published in September 2021.

Because the CARD Act requires the CFPB to consider specific topics in its biennial reviews, the RFIs that the CFPB has issued in connection with those reviews have contained similar questions.  Nevertheless, how the CFPB frames those questions in a particular RFI can provide some insight into which issues are then of particular interest to the CFPB.  In the new RFI, the CFPB seeks comment on the following issues that were not raised in its previous RFI:

Terms of credit card agreements and issuer practices.  The CFPB asks:

• What are the terms of, practices related to, and prevalence of emerging supplementary card features (such as credit card installment plans).
  

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• Have changes in issuers’ marketing practices since the CFPB’s 2021 report impacted consumers’ ability to comparison shop and, if so, in what ways.

• What practices of issuers may uniquely affect special populations (such as servicemembers and their dependents), low- and moderate-income consumers, older Americans, and students); what are the effects of protections specific to special populations (for example, the Servicemembers Civil Relief Act or the Military Lending Act); and how are these changing and what, if any, trends are evolving.

• How are the terms of, and practices related to, partnerships between issuers and merchant partners (such as hospitality, airline, healthcare, and/or retail companies) evolving.

Safety and soundness of credit card issuers. The CFPB asks:

• How have current dynamics related to funding sources (such as asset-backed securities or deposits) for credit card receivables affected issuers’ profitability and lending operations

• What changes, if any, in capital markets for credit cards have there been since the last biennial report.

• How do capital requirements for different types of institutions affect competition in the credit card market or consumers’ access to and cost of credit.

• How might these trends positively or negatively impact consumers.

Innovation.  The CFPB asks:

• How is competition in the credit card market changing; how has the CARD Act (positively or negatively) impacted competition between issuers; and how, if at all, do these changes and impacts relate to the cost or availability of consumer credit cards.

• What barriers to entry, if any, exist in the consumer credit market; what obstacles may smaller financial institutions face when launching a credit card product; how are these impediments changing and what, if any, trends are evolving; to what extent are financial institutions adopting “credit card-as-a service” offerings; and how might these changes affect competition, promote innovation, or introduce risk, if at all.

• How do innovations by firms offering other consumer financial product and services (such as buy-now-pay-later credit, mobile payments, or non-card point-of-sale loans) compete with credit cards, and to what extent do consumers view them as effective alternatives to or substitutes for credit cards.

In asking questions about funding sources, capital marketing, and capital requirements under the topic of “safety and soundness” as well as questions about competition in the credit card market under the topic of “innovation,” the CFPB appears to be continuing a trend under Director Chopra’s leadership of delving into issues that are not properly within its purview.  

With regard to competition, we have previously questioned the CFPB’s authority to address competition issues in markets for consumer financial products and services.  In addition, the CFPB’s questions about competition do not appear to be relevant to the CARD Act’s mandate that the CFPB review whether or not, and to what extent, implementation of the CARD Act has affected credit card product innovation.  

Similarly, funding sources, capital marketing, and capital requirements do not appear to be topics that fall within the CARD Act’s mandate that the CFPB review whether or not, and to what extent, implementation of the CARD Act has affected the safety and soundness of credit card issuers.  Indeed, in its 2021 CARD Act report, the CFPB noted that “[w]hile this report presents information which may be relevant to assessments of safety and soundness issues relating to credit card issuers, the Bureau does not produce any further assessments on this subject in this report.”  As the CFPB acknowledged, “[t]he prudential regulators…have the primary responsibility for monitoring the safety and soundness of financial institutions.”

In its Fall 2022 rulemaking agenda, the CFPB indicated that it is considering whether to propose amendments to the Regulation Z rules on credit card penalty fees that implement the CARD Act, including the penalty fees safe harbors, and gave a January 2023 estimate for issuance of a Notice of Proposed Rulemaking.  In June 2022, the CFPB issued an Advance Notice of Proposed Rulemaking regarding credit card late fees.  While the RFI says nothing about late fees, and to date no proposals have been issued by the CFPB, many observers are expecting the CFPB to propose a substantial reduction in the amounts of the penalty fee safe harbors in the near future.

Rochester, N.Y. — Continental Service Group, Inc., d/b/a ConServe is proud to announce it was selected as one of the 2022 Best Places to Work in Collections.  This is the eighth time that ConServe has been recognized by industry excellence programs administered by Best Companies Group.  This organization conducts over 60 local, national and industry “Best Places” programs each year.

This survey and award program was designed to identify, recognize, and honor the best places of employment in the Collections industry. This year, 34 companies met the standard to be selected. The Best Places to Work in Collections list is divided into three size categories: Small (15-49 employees), Medium (50-149 employees) and Large (150+ employees).

To be considered for participation, companies had to fulfill the following eligibility requirements:

• Be a for-profit or not-for-profit business or government entity
• Be a publicly or privately held business
• Have a facility in the United States
• Have a minimum of 15 employees in the United States
• Must be in business a minimum of 1 year
• Must be a Collection Agency, Collection Law Firm, Debt Buyer, or Creditor Recovery Operation

“We are extremely honored to be recognized by the Best Companies Group,” said Richard Klein, President.  “This industry validation emphasizes the extent to which our team of committed employees truly believe we are doing the right thing, at the right time, the right way.  

Our employees are the ones who complete the surveys, making this award particularly meaningful.  At ConServe, our employees are our most valuable asset and we recruit, hire, develop and promote the very best.  We are thrilled to be recognized for an eighth time.”

For more information on the Best Places to Work in Collections program, visit: www.bestplacestoworkcollections.com

About ConServe

ConServe is a top-performing accounts receivable management service provider specializing in customized recovery solutions for their Clients.  Anchored in ethics and compliance, and steadfast in their pursuit of excellence, they are a consumer-centric organization that operates as an extension of their Clients’ valued brands.  For over 37 years, they have partnered with their Clients to provide unmatched customer service while simultaneously helping them achieve their accounts receivable management goals.  Visit us online at: www.conserve-arm.com