Richard Cordray, director of the Consumer Financial Protection Bureau (CFPB), testifies during a House Financial Services Committee hearing in Washington, D.C., U.S., on Tuesday, Dec. 8, 2015. The Financial Stability Oversight Council's effort to enhance its transparency is "important," Securities and Exchange (SEC) Commissioner Mary Jo White said at the hearing. Photographer: Drew Angerer/Bloomberg via Getty Images

Richard Cordray, director of the Consumer Financial Protection Bureau (CFPB), testifies during a House Financial Services Committee hearing in Washington, D.C., U.S., on Tuesday, Dec. 8, 2015. The Financial Stability Oversight Council’s effort to enhance its transparency is “important,” Securities and Exchange (SEC) Commissioner Mary Jo White said at the hearing. Photographer: Drew Angerer/Bloomberg via Getty Images

It Just Got Harder for Debt Collection Agencies to Auto-Sue Borrowers

 

This is a time.com article.

 

Consumer Financial Protection Bureau takes action.

The federal Consumer Financial Protection Bureau (CFPB) fired a shot across the bows of debt collection agencies on Monday, ordering two firms to stop an illegal collection operation that used an automated lawsuit generator.

According to the CFPB, a law firm and a debt buyer—Pressler & Pressler, LLP, and New Century Financial Services, Inc., respectively—have been battering people with lawsuit after lawsuit, mass-produced cookie-cutter affairs often based on “flimsy or nonexistent evidence.”

Continue reading article.

PiggyBankBlog Bailiff: “All rise! The honorable Congresswoman Marcy Kaptur has entered the Courtroom of Public Opinion!”