Scripps Howard Study Reveals Debt Collection Complaints

Complaints rise over shady practices by debt collectors

By ISAAC WOLF Scripps Howard News Service

More Americans are complaining of debt collectors using possibly illegal practices to hound them, a Scripps Howard investigation has found.

Complaints this year to federal authorities about unscrupulous debt collectors are 6 percent higher than two years ago. According to a Scripps Howard analysis of Federal Trade Commission data, Americans levied nearly 228,000 objections about debt collectors from 2007 through this May, the last full month for which Scripps Howard received records. Driving the increase are more aggressive collection tactics, a jump in the number of people falling behind on bills, lax requirements for collectors to prove money is actually owed and booming growth in the debt-resale market, say consumer advocates, federal officials and industry experts.

“They’re bullies and thugs,” Jane Santoni said about the industry. Collection tactics have gotten more aggressive during the recession, said Santoni, a Towson, Md., attorney who has represented 50 people in disputes against collectors over the last seven years.

Using records obtained under the federal Freedom of Information Act and from extensive interviews, a three-month Scripps Howard study found: read the rest here Complaints rise over shady practices by debt collectors | SeacoastOnline.com.