Thursday, February 16, 2012
WASHINGTON, DC – The Consumer Financial Protection Bureau (CFPB) today announced plans to bring oversight of larger debt collectors and credit bureaus under its roof in a proposed rule. The authority would mark the first time that these “non bank” players in the financial world would be subject to the same federal oversight as traditional banks.
“There is a long history of debt collectors taking advantage of the elderly, students, military personnel and others – some of our most vulnerable populations. Greater oversight would help protect consumers and shine a light on these predatory practices,” said Pamela Banks, senior policy counsel for Consumers Union, the policy and advocacy division of Consumer Reports. “For the first time, there would be protections for people who have been targeted and ripped off by these shady firms for years.”
Consumers Union has been working to educate consumers about credit bureaus and the need to review your credit report for errors.
“We hear a lot of complaints from consumers about credit bureaus dragging their feet to correct credit report mistakes. Consumers need and deserve a better system for fixing errors that can cost them in the long run. With this oversight, the CFPB can effectively bring credit bureaus and debt collectors in line,” said Banks.
David Butler or Kara Kelber; 202-462-6262 or Michael McCauley 415-431-6747, ext 126