Regulatory Alerts2017-09-22
Added · Updated
Settlement Agreement with Allied Interstate LLC and Receivables Management Services Corporation
Allied Interstate LLC and Receivables Management Services Corporation must pay $500,000 to five Participating States to resolve violations of the Fair Debt Collection Practices Act and state consumer protection laws. The Respondents are prohibited from contacting consumers at their place of employment or third parties who have indicated the debtor does not reside there, and must credit payments upon receipt rather than waiting for check clearance. They must also provide immediate access to collection records, submit complete responses to regulatory inquiries, and implement enhanced compliance management, training, and audit programs. Additionally, the Respondents are required to reimburse consumers for unearned interest accrued due to delayed payment crediting and submit quarterly progress reports to the State Regulators.