The Federal Trade Commission (FTC) has provided the Consumer Financial Protection Bureau (CFPB) with its annual summary of activities aimed at protecting consumers in the debt collection sector.
This summary assists the CFPB in compiling its annual report to Congress on the activities of both agencies, which share law enforcement responsibilities in this area.
In the summary, the FTC highlights its efforts to protect individuals and small business consumers from unfair debt collection practices. These efforts include:
- Settlements and/or completed trials against two debt collection operations accused by the FTC of using illegal tactics to target small businesses with threats over supposed debts.
- Halting collections of millions of dollars in student debt originating from illegal financing practices.
- Bringing cases against two companies for using dark patterns to lock consumers into unwanted subscriptions that can increase their debt burdens.
- Actions to combat unlawful practices adding to car debt, including finalizing the CARS Rule and taking legal action against a car dealership group.
- Providing educational materials to tens of millions of people, in both English and Spanish, informing them about their rights and educating debt collectors about their responsibilities under the Fair Debt Collection Practices Act (FDCPA) and FTC Act.
The Federal Trade Commission works to promote competition and protect and educate consumers. "The FTC will never demand money, make threats, tell you to transfer money, or promise you a prize." More information on consumer topics is available at consumer.ftc.gov. Fraud, scams, and bad business practices can be reported at ReportFraud.ftc.gov. The public is encouraged to follow the FTC on social media, read consumer alerts and business blogs, and sign up for updates on FTC news and alerts.
