Industry Compliance Growing Topic at Regional Collections Conferences

Consumer litigants capitalizing on loopholes in current compliance legislation (Fair Debt Collection Practices Act, Telephone Consumer Protection Act, Foti) might be one of the fastest growing cottage markets affecting the accounts receivable and collections industries.

“It’s almost to the point,” one industry CEO said, “where simply making a phone call is likely to be in violation of at least seventeen laws.” And consumer attorneys are smarter about finding those infractions and capitalizing on them.

Collection agencies can turn to ACA and some of the larger conferences for a chance to network and seek clarity on these issues; however, smaller, localized conferences, like the upcoming Northeast Debt Collection Expo, may actually be of more use to agencies looking for guidance.

This year’s NEDCC Expo will be in Atlantic City, New Jersey, 18-20 September. The agenda features many topics on compliance, including a look at updates to federal issues (chaired by Mark Neeb, current president of ACA International) and state issues (chaired by David Cherner, ACA’s Director of State Government Affairs); a session titled “Compliance is Irrelevant: Why you are still getting sued under FDCPA and what to do about it” headed by Jack Gordon of WebRecon and a best practices panel moderated by Richard J. Perr, Esquire of Fineman Krekstein & Harris, P.C.

“We’ve definitely benefited from attendance on several levels,” Donna Nicholson-Stief, Executive Director of Credit Bureau of Lancaster County, told insideARM. “And one way is certainly in compliance. Getting help from attorneys in tweaking and updating our policies, helping us to be sure that we’re better complying with laws.”

Larry Steller, CEO at Quality Asset Recovery, agrees: “The conference gives us all a chance to look at these various issues at a localized level. It’s incredibly beneficial to be able to meet and share with five or six state ACA operations at a time.”

Most industry professionals agree that the opportunity for networking that conferences afford is invaluable. Sitting in on a roundtable discussion or listening to a speaker are useful, too, especially for those new to the industry. But when it comes to issues around compliance, the biggest bang for the conference buck seems to come from localized conferences that speak to geographical needs and laws.

“NEDCC is closer for us to get to as opposed to the national events,” Dave Winters, VP, Mid-Atlantic Collectors Association, said. “And NEDCC offers a lot of the same benefits that you get from a national event. And because we’re a regional collection agency, and because most of the attendees are going to be regional collection agencies, they’re all going to have a lot of the same interests in the legislative issues we’re all dealing with.”

A common refrain from largers conferences that might be more nationally focused is: “You’ll need to check with your own states’ laws and regulations before taking this advice.” But for those attending NEDCC, those attornies are already familiar with state laws and regulations. “You won’t hear ‘check back home’ from this conference,” Steller said. “We can share real info and talk about real strategy.”

“I always make sure to attend the lawyers’ roundtable,” Winters said. “That interaction with those guys is invaluable. They’ve got insight into the laws of the several states that we might all be dealing with, and the lawsuits we’re all facing.”

“It’s going to be so helpful to have attorney Rick Perr’s undivided attention for an hour,” Nicholson-Stief said. “His time is so valuable, and that kind of undivided attention is priceless.”

Nicholson-Stief also went on to say — and this point was echoed by others — “The opportunity to be with your peers, who are also local, and the fact that the sessions are small enough that open dialogue is possible and encouraged — these are all things that make a smaller conference like this so valuable to agencies.”