Consumer Financial Protection Bureau Want Crackdown On Debt Collectors

The Consumer Financial Protection Bureau has proposed means to crack down on abuses by firms that attempt to collect debt from consumers. These companies have been largely unregulated and many consumer advocates claim the firms use illegal actions to press people to pay debts which are in arrears. A crackdown could effectiviely change the face of how companies collect money that they are owed for purchases from them which go unpaid. The effect may be to help consumers, but hurt retailers and firms that provide services.

According to NYT

Debt collectors and credit reporting companies are bracing for intense scrutiny after the government’s consumer finance watchdog unveiled a broad plan to regulate financial firms that have largely evaded federal oversight.

On Thursday, the Consumer Financial Protection Bureau proposed regulations that would allow the agency to supervise those two controversial corners of the finance industry, which have drawn complaints of aggressive tactics and unfair practices.

The practices may be unfair but it is also unfair that people who owe money do not pay it