While federal regulators continually work to crack down on private debt collectors that utilize unsavory, illegal tactics to make consumers pay up, government agencies often contract these entities to collect a variety of debts. That practice could continue if a provision in the Highway Trust Fund Bill receives approval. [More]
Government Policy
JPMorgan To Pay $100M To Settle Unlawful Debt-Collection Allegations In California
By 11.2.15
Four months after JPMorgan Chase agreed to pay at least $136 million to close the books on state and federal investigations into its credit card collections practices, the company reached a $100 million settlement putting an end to a similar investigation in California. [More]
Report: VW Failed To Disclose One Death, Three Injuries To Federal Regulator Database
By 11.2.15
Last month it was reported that Volkswagen may have skirted rules that require car manufacturers to report death and injury claims to the National Highway Traffic Safety Administration. A new analysis of the regulator’s database and lawsuits filed against the company show it failed to report at least one death and three injuries involving its vehicles. [More]
Regulators Find More “Defeat Devices” In 10,000 VW, Porsche And Audi Vehicles
By 11.2.15
A month and a half after the Environmental Protection Agency and California Air Resources Board found “defeat devices” designed to cheat emission tests in nearly 500,000 Volkswagen and Audi vehicles, the agencies’ ongoing investigation found additional Clean Air Act violations in the carmaker’s newer model Porsche, Audi and VW cars. [More]
Nearly 168,000 Pounds Of Ground Beef Recalled For E. Coli Contamination
By 11.2.15
Adding a few ingredients to ground beef can make for a delicious meal, but there’s nothing tasty about the addition of E. coli in your meat. For that reason, an Omaha company is recalling nearly 168,000 pounds of beef. [More]
EPA May Finally Ban Toxic Pesticide For Food Use
By 10.30.15
A federal agency entrusted with protecting the health of Americans has finally gotten around to doing the job it’s paid to do by taxpayers. And once again, the only reason this agency is doing anything is because a court has ordered it to. [More]
Some Skippy Peanut Butter Recalled Because No One Enjoys Small Metal Shavings In Their Snack
By 10.30.15
When it comes to peanut butter, the great war wages on between chunky-lovers and smooth-o-philes, but one thing both sides of that battle can agree on is that peanut butter should not contain metal shavings of any sort. [More]
Hampton Creek Explains To The FDA That “Mayo” Is Not Necessarily “Mayonnaise”
By 10.30.15
Hampton Creek, the company behind an eggless product called “Just Mayo,” has responded to the Food and Drug Administration’s warning that its product isn’t mayonnaise, and thus, shouldn’t be called “mayo.” That seems just fine by Hampton Creek, which recently responded to the FDA by agreeing with it. [More]
GM To Owners Of 1.4M Recalled Vehicles: Don’t Park In A Garage For Now
By 10.30.15
Earlier this week, General Motors issued a recall of 1.4 million vehicles over concerns about a potential fire risk. Today, the beleaguered carmaker is telling owners of those cars to not park them in garages until the problem is repaired. [More]
Fiat Chrysler Recalling 900K SUVs To Fix Issues With Airbag Deployment, Anti-Lock Brakes
By 10.30.15
Another day, another major car company announcing a recall: this time it’s Fiat Chrysler, which is calling back around 900,000 SUVs around the world to address problems with anti-lock brakes and how the airbags deploy. [More]
Senators Say They Will Try To Reverse Robocall Exemption For Federal Debt Collectors
By 10.29.15
Right now, the U.S. Senate is going through process of discussing the bipartisan budget proposal intended to prevent another federal shutdown. It’s a bill that, by most accounts, is destined to pass without removal of a provision that gives the federal government — and only the federal government — the permission to place unwanted, automated robocalls for the purposes of debt collection without the recipient’s permission. But some lawmakers are pledging to do something after the budget bill has passed. [More]
Feds Sue Scammers Who Charged For Bogus Student Financial Aid Assistance
By 10.29.15
Paying for college out of pocket is nearly impossible for millions of prospective students. Instead, these individuals turn to scholarships, grants, and student loans, often relying on financial service programs to assist them in obtaining the funds. But not all of the companies promising a helping hand are looking out for your best interests. That was apparently the case for a California company accused of ripping off tens of thousands of victims in a nationwide financial aid scam. [More]
Nation’s Biggest Employment Background Screeners Must Pay $13M Over Inaccurate Reports
By 10.29.15
Before offering a prospective employee a job, many companies will first perform a background check. As with credit reports, any inaccuracies in these transcripts can affect an applicant’s eligibility for employment. To that end, federal regulators have ordered two of the country’s largest employment background screening report providers to pay $13 million in penalties and refunds for providing inaccurate information. [More]
RushCard To Create Reimbursement Fund For Customers Unable To Access Money
By 10.29.15
The thousands of unbanked consumers who rely on prepaid RushCards but have been unable to access their funds because of a technical glitch, may receive compensation for the issue. [More]
Drugmaker Recalls Nearly 500,000 Epinephrine Injectors Used To Treat Allergic Reactions
By 10.29.15
When you or someone you know suffers a severe allergy reaction, the quick use of an epinephrine injector is likely needed. But one drugmaker says it’s recalling tens of thousands of those devices because they might not work correctly. [More]
Feds Win Default Judgment Against Corinthian Colleges Over Predatory Lending Scheme
By 10.28.15
In September 2014, just seven months before Everest University, WyoTech and Heald College closed their doors, federal regulators sued the for-profit colleges’ parent company Corinthian Colleges Inc claiming it duped thousands of students into taking out costly, predatory, and often financially devastating, private student loans to finance their post-secondary education. This week, the Consumer Financial Protection Bureau won a default judgment against the for-profit educator for engaging in a predatory lending scheme. [More]
Auto Lender Must Pay $3.28M In Refunds, Penalties For Illegal Debt Collection Tactics Against Servicemembers
By 10.28.15
Four months after federal regulators filed a lawsuit against an Ohio-based auto loan company over allegations it violated consumer protection laws – including those protecting servicemembers – in order to collect debts, Security National Automotive Acceptance Company (SNAAC) will pay $3.28 million in refunds and fines to resolve the case. [More]
Federal Budget Proposal Would Allow Government To Robocall Your Cellphone Over Debts
By 10.28.15
Federal law currently prohibits most non-emergency robocalls to cellphones unless the recipient has given their prior express consent to receive auto-dialed calls. But amid the battle over the federal budget, someone has slipped in some language to the budget bill currently before Congress that would exempt government debt collectors from this law. [More]
