Compliance Now

Bringing clarity and insight to the consumer protection regulations impacting your business

Dec 10, 2015

GLBA Amendment Eliminates Annual Privacy Notice Requirement for Debt Buyers

Monday, December 7th marked a victorious day for Debt Buyers Association International (DBA International) and the debt collection industry as H.R. 601, the “Eliminate Privacy Confusion Act,” was signed into law. This new law amends the Gramm-Leach-Bliley Act (GLBA) to eliminate debt buyers’ current requirement to send an annual privacy notice to consumers whose debt they own. This success comes [...]

Read More »
Nov 24, 2015

Audio Beacon Consumer Tracking on the Horizon

Audio beacon tracking is a new form of consumer tracking that is sure to become a controversial topic.  Marketers working in India have already begun to use audio beacons, and it is expected that the technology will eventually emerge as a marketing tool in the United States. How it Works Audio beacon tracking works by utilizing inaudible sounds to transmit [...]

Read More »
Nov 11, 2015

Colorado Announces Late Fees for Charitable Solicitations

The Colorado Secretary of State has announced that beginning on December 17, 2015, charitable solicitation notices that are filed late will be subject to fines.  Notices must now be filed and paid at least 15 days prior to a charitable solicitation campaign commencing.  If notices are filed or paid after 15 days, a $200 late fee will be assessed in [...]

Read More »
Nov 06, 2015

FTC Announces New Coordinated Enforcement Effort Targeting Debt Collectors

On November 4, 2015, the Federal Trade Commission (FTC) and other law enforcement authorities around the country announced the first coordinated enforcement effort targeting debt collectors. “Operation Collection Protection” encompasses thirty new enforcement actions against debt collectors who are alleged to use unlawful collection tactics such as harassing phone calls and false threats of litigation, arrest, and wage garnishment. This [...]

Read More »
Nov 04, 2015

Citibank is Latest to Provide Arbitration Opt-Out

In what proponents argue is an effort to allow consumers greater control over credit card disputes, Citibank has begun to provide existing credit card holders with a limited window in which they may opt-out of binding arbitration.  The notice explains that: “You have the right to reject the change to the arbitration.  If you reject this change, your account will no longer be [...]

Read More »
Oct 27, 2015

European Court Ruling May Have Unintended Result of Compromising Data Security

The European Court of Justice’s October 6, 2015 ruling in Maximillian Schrems v. Data Protection Commissioner invalidating the “Safe Harbor” agreement, which previously allowed data transfers between the U.S. and European Union (“EU”), opens up companies on both sides of the Atlantic to increased scrutiny. The Court held that the Safe Harbor data transfer exception failed to protect the privacy [...]

Read More »
Oct 06, 2015

Fifth Third Bancorp Settles Discrimination Suit

With an overall payout of more than $21 million, Fifth Third Bancorp settled discrimination claims last week related to its indirect auto lending business and claims that it used deceptive tactics to get consumers to sign up for credit card add-on products. In an administrative proceeding brought by the Consumer Financial Protection Bureau (CFPB) and a lawsuit brought by the [...]

Read More »
Oct 05, 2015

CFPB Needs to Consider Consequences of Increased Regulation of Debt Collection

Writing for the Mercatus Center at George Mason University, Professor of Law Todd Zywicki offers a compelling report discussing The Law and Economics of Consumer Debt Collection and Its Regulation. With the Consumer Financial Protection Bureau’s (CFPB) announcement that it is considering new regulation for consumer debt collection, Zywicki stresses the importance of understanding the potential consequences – both intended [...]

Read More »
Sep 10, 2015

The Importance of Debt Collection to the Economy

Check out this important read from DBA International Executive Director Jan Steiger on the significant role debt collection plays in our economy. As Jan notes, “the responsible use of credit is an integral part of a fully functioning economic system.” The system falters when consumers default on loans, with everyone paying the price as the cost of borrowing increases and [...]

Read More »
Sep 01, 2015

Federal Judge Dismisses False Advertising Class Action Against Makers of Jim Beam

A California federal judge just dismissed a proposed class action which alleged that the makers of Jim Beam falsely advertise its bourbon as “handcrafted.” In ruling that a reasonable consumer would not be deceived and believe that bourbon is literally created by hand instead of machine, U.S. District Judge Larry Alan Burns held that California state law claims failed because [...]

Read More »