The Massachusetts Attorney General’s Office has obtained a preliminary injunction against a group of companies accused of operating a phantom debt collection scheme that allegedly used deception and intimidation to collect money from consumers. A Suffolk Superior Court judge issued the order against Assessment Resolution, LLC, East Coast Financial, and the companies’ owners and operators. According to the state’s lawsuit, the defendants engaged in debt collection activities involving debts that either did not exist or that they did not have the legal authority to collect.
The New Jersey Attorney General and Division of Consumer Affairs recently issued a comprehensive Enforcement Statement signaling an aggressive enforcement posture toward so-called “junk fees” under the New Jersey Consumer Fraud Act (CFA). The Enforcement Statement was issued in conjunction with Governor Mikie Sherrill’s Executive Order No. 19, which directs state agencies to review and recommend measures to eliminate or reduce junk fees across a broad range of industries.
The CFPB has adopted new Enforcement Principles designed to roll back standards used by the Biden Administration. The bureau recently applied the new principles in attempting to ensure that customers affected by Bilt’s transition of its credit card services to a new bank partner were not harmed by the change.
Creditors and debt settlement advisors often operate in separate areas, waiting to see what the other will do. However, today's slow-burn economy is forcing a change in how these groups interact. When a consumer enrolls in a settlement program, they have made a structural choice. They are no longer just an individual managing credit; they are now part of a coordinated plan.
On June 2, Louisiana Governor Jeff Landry signed SB 254 into law as Act 751, prohibiting retail businesses from imposing surcharges on customers who pay with a debit card. The law defines a surcharge as any additional amount imposed at the time of a transaction that increases the charge to a cardholder for the privilege of using a debit card, and prohibits retail businesses from imposing such charges when a customer chooses to pay by debit card rather than cash, check, credit card, or other similar means of payment.
.jpg)
.jpg)