No. of Recommendations: 4

This is the view opposing tighter regulations on debt collectors, written by the CEO of ACA International, a trade group. I read the USA Today "Our View-Opposing View" column on an irregular basis, but this is the most off-base, ridiculous opinion I've seen. I know the guy represents debt collectors, but surely even he can't believe what he wrote. Specifically, with regards to applying a North Carolina law nationally:

North Carolina goes too far: It eliminates any opportunity for debt buyers to communicate with a consumer unless the buyer or its collection agency already has all the information about a debt immediately available. That's unreasonable and makes these debts virtually uncollectable, depriving businesses of payment.

#Doubletake It's unreasonable to have all the information before you start harassing people?

Reading further, I see what his beef is:

But at the heart of this matter — as outlined in ACA International's blueprint for modernization — is that sometimes the data are not immediately available from the creditor or debt reseller. That could be because the creditor by law doesn't need to maintain or make the data available or because of privacy, security or technological issues. In requiring asset buyers to provide this type of documentation, it's imperative that creditors and sellers be required to provide the same thing.

Just so we're clear, it's imperative for the debt buyer that credtiors and sellers provide all the information. Thus, as a buyer, I would require the information, or I wouldn't buy the debt. It's the existence of the easy access secondary debt market that allows creditors to be lax.

In the end, I see why I thought the views in the article were so ridiculous. The writer is arguing for protection of an industry that I'm not convinced should exist in the first place. Let original creditors collect their own debt. They should take collection and write-off costs into account and price new debt accordingly.

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