WebRecon Report: CFPB Debt Collection Complaints Continue Year-to-Date Decline

Monthly consumer litigation filings, however, fluctuate monthly and year-to-date.

6/21/2019 11:00 AM

WebRecon Report: CFPB Debt Collection Complaints Continue Year-to-Date Decline

Overall debt collection complaints filed with the Consumer Financial Protection Bureau continue to decline, including a 20.6 % drop year-to-date.

While it has been established that complaints tend to fluctuate, the yearly numbers tracked by WebRecon show 24,459 to the CFPB from January to May 2018, compared to 19,425 from January to May this year.

The monthly complaints saw a slight uptick, 2 % from April (4,023) to May (4,103) but the accounts receivable management industry continues its strong response to consumers with 96 % of responses reported in a timely manner, according to the WebRecon report from CEO Jack Gordon.

Meanwhile, consumer litigation filings also fluctuated in May.

“For the second time in three months, FDCPA and TCPA lawsuit numbers rose (2.8%, 13.4%, respectively) while FCRA dipped (-6.9%) from the previous month,” according to Gordon. “That goes counter to the longer-term trends we have been seeing that make a case for the opposite (FCRA up, FDCPA & TCPA down.)”

In May, the decline in Fair Credit Reporting Act filings brought the year-to-date numbers “back into negative territory,” according to Gordon, and all three statutes declined year-to-date.

In the May report, year-to-date filings (comparing filings from Jan. 1, 2018 through May 31, 2018 to filings from Jan. 1, 2019 through May 31, 2019) all declined.

Results include:

  • A 4.6 % decline for the FDCPA from 3,964 in 2018 to 3,781 in 2019
  • A 1 % decline for the FCRA from 1,949 in 2018 to 1,930 in 2019
  • A 11.1 % decline for the TCPA from 1,699 in 2018 to 1,511 in 2019.

Gordon said, looking at monthly numbers, in May the FDCPA filings increased 2.8%; FCRA filings declined 6.9%; and TCPA filings increased 13.4% from April.

Read more findings in the complete WebRecon report here.

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