CFPB Releases Updated COVID-19 Consumer Complaint Data Showing a Decline in Debt Collection Concerns

Complaints about debt collection continue downward trend as accounts receivable management industry professionals continue to work to help consumers.

7/16/2020 8:00 AM

NewsAdvocacy
CFPB Releases Updated COVID-19 Consumer Complaint Data Showing a Decline in Debt Collection Concerns

Complaints and consumer concerns about debt collection continue to decline, according to the latest report from the Consumer Financial Protection Bureau tracking consumers’ experiences with financial products and services, especially related to the COVID-19 pandemic.

The CFPB issued an updated complaint bulletin July 16 analyzing the more than 8,000 complaints it received from January through May 2020 that mention coronavirus or related terms (“coronavirus keywords,)” according to a news release.

The bulletin shows that mortgage (19 %), credit card (18 %), and credit or consumer reporting (18 %) complaints top the list of complaints the bureau has received that mention coronavirus keywords, according to the news release.

This is followed by checking or savings account complaints (12 %) and debt collection (11 %.)

Debt collection represented 12 % of complaints in the last report for May 2020.

Debt collectors continue to help consumers manage their payments and provide resources on hardship programs and provide solutions that fit with their financial situation and calls from consumers to the agencies were on the rise in recent months. Consumers sought help managing their finances and exploring hardship options as a result of the ongoing COVID-19 pandemic.

CFPB Complaint Bulletin Highlights:

  • In 55 % of mortgage complaints, consumers identified struggling to pay the mortgage as the issue.
  • In 23 % of credit card complaints, consumers identified a problem with purchase shown or statement as the issue.
  • In 55 % of credit or consumer reporting complaints, consumers identified incorrect information on their credit report as the issue.
  • Comparing the weekly average complaint volume before and after the coronavirus emergency declaration, prepaid card complaints saw the greatest percent increase at 105 %, and student loan complaints saw the greatest percent decrease at 24 %.
  • Service members submitted approximately 1,000 complaints mentioning coronavirus keywords from March through May 2020: 10 % of complaints submitted by service members were COVID related compared to 6 % of non-service member complaints.
  • Older Americans, those age 62 and older, submitted approximately 300 complaints mentioning coronavirus keywords from March through May 2020: 10 % of complaints submitted by older consumers were COVID related compared to 7 % of non-older consumer complaints.
  • Consumers have submitted approximately 187,000 complaints to the bureau in 2020.

The complaint bulletin also includes complaint volume distribution by consumer financial product or service for complaints mentioning coronavirus keywords relative to complaints overall; weekly complaint volume by consumer financial product or service with comparisons between the period before and after the declaration of a national emergency; and highlights of common issues from a systematic review of complaint narratives that mention coronavirus keywords.

ACA International also continues to advocate with the CFPB to ensure accurate data about the industry is documented in the database through providing context to the complaints and sound verification processes.


Follow ACA International on Twitter @ACAIntl and @acacollector, Facebook and request to join our LinkedIn group for news and event updates. ACA International members are welcome to submit news items for possible publication to comm@acainternational.org. Visit our publications page for news submission guidelines and subscriptions to ACA Daily, Collector magazine and Pulse.

Advertising is available for companies wishing to promote their products or services. Be sure to visit the ACA Events Calendar on the Education and Training page to view our listing of upcoming CORE Curriculum and Hot Topic seminars featuring critical educational opportunities for your company.


Subscribe to ACA Daily NEWSROOM

CFPB Releases Updated COVID-19 Consumer Complaint Data Showing a Decline in Debt Collection Concerns

Complaints and consumer concerns about debt collection continue to decline, according to the latest report from the Consumer Financial Protection Bureau tracking consumers’ experiences with financial products and services, especially related to the COVID-19 pandemic.

The CFPB issued an updated complaint bulletin July 16 analyzing the more than 8,000 complaints it received from January through May 2020 that mention coronavirus or related terms (“coronavirus keywords,)” according to a news release.

The bulletin shows that mortgage (19 %), credit card (18 %), and credit or consumer reporting (18 %) complaints top the list of complaints the bureau has received that mention coronavirus keywords, according to the news release.

This is followed by checking or savings account complaints (12 %) and debt collection (11 %.)

Debt collection represented 12 % of complaints in the last report for May 2020.

Debt collectors continue to help consumers manage their payments and provide resources on hardship programs and provide solutions that fit with their financial situation and calls from consumers to the agencies were on the rise in recent months. Consumers sought help managing their finances and exploring hardship options as a result of the ongoing COVID-19 pandemic.

CFPB Complaint Bulletin Highlights:

  • In 55 % of mortgage complaints, consumers identified struggling to pay the mortgage as the issue.
  • In 23 % of credit card complaints, consumers identified a problem with purchase shown or statement as the issue.
  • In 55 % of credit or consumer reporting complaints, consumers identified incorrect information on their credit report as the issue.
  • Comparing the weekly average complaint volume before and after the coronavirus emergency declaration, prepaid card complaints saw the greatest percent increase at 105 %, and student loan complaints saw the greatest percent decrease at 24 %.
  • Service members submitted approximately 1,000 complaints mentioning coronavirus keywords from March through May 2020: 10 % of complaints submitted by service members were COVID related compared to 6 % of non-service member complaints.
  • Older Americans, those age 62 and older, submitted approximately 300 complaints mentioning coronavirus keywords from March through May 2020: 10 % of complaints submitted by older consumers were COVID related compared to 7 % of non-older consumer complaints.
  • Consumers have submitted approximately 187,000 complaints to the bureau in 2020.

The complaint bulletin also includes complaint volume distribution by consumer financial product or service for complaints mentioning coronavirus keywords relative to complaints overall; weekly complaint volume by consumer financial product or service with comparisons between the period before and after the declaration of a national emergency; and highlights of common issues from a systematic review of complaint narratives that mention coronavirus keywords.

ACA International also continues to advocate with the CFPB to ensure accurate data about the industry is documented in the database through providing context to the complaints and sound verification processes.


Follow ACA International on Twitter @ACAIntl and @acacollector, Facebook and request to join our LinkedIn group for news and event updates. ACA International members are welcome to submit news items for possible publication to comm@acainternational.org. Visit our publications page for news submission guidelines and subscriptions to ACA Daily, Collector magazine and Pulse.

Advertising is available for companies wishing to promote their products or services. Be sure to visit the ACA Events Calendar on the Education and Training page to view our listing of upcoming CORE Curriculum and Hot Topic seminars featuring critical educational opportunities for your company.


Subscribe to ACA Daily NEWSROOM

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