July 30, 2013

Major American Bank Facing Lawsuit for Debt Collection Practices

Last week, a Florida resident filed a class action TCPA lawsuit against one of the largest US banks in federal court alleging the bank violated the TCPA by using automated dialers to call customers’ cell phones to collect debt and using pre-recorded voice messages to address consumers that answered the calls.

Businesses found in violation of the TCPA must pay between $500 and $1,500 per violation, depending on if they are found to have willfully violated the law.

The plaintiff alleges that the bank violated Florida state law regulating consumer debt harassment.Debt collectors must comply with debt collection rules, which include requirements like debt collectors cannot call early in the morning or late at night and the agent calling the consumer must provide his name, on whose behalf he is calling, and a telephone number or address where he may be reached.

We’ve known that the Consumer Financial Protection Bureau (CFPB) and the FTC are going to be stepping up enforcement of debt collection regulations and related marketing privacy laws. Consumer debt collectors and financial service institutions need new tools to balance compliance with the law and their own productivity and effectiveness.

It’s tough, but not impossible.

Navigating the state and federal regulatory maze while mitigating risk is becoming more daunting every day for compliance leaders. Especially when dealing with agents in branch offices, reps using personal phones, or independents and BPOs marketing on your behalf. For almost 20 years, Gryphon has protected the largest and most valued brands in banking, insurance, manufacturing and home services from headline risk, brand damage, and costly fines associated with outbound marketing violations.

Avoid TCPA and DNC fines. Protect your business from TCPA and DNC Risk. The Cost of non-compliance extends far beyond the risk of fines. Since 1998, Gryphon’s highly patented suite of compliance services provides bulletproof compliance and protection from headline risk, brand damage, and costly penalties.

Our services apply all legal exemptions to those laws to help your business grow, and our experts provide customized consulting and support with expanding regulations. Bullet-proof compliance is only half the equation used to solve TCPA and DNC compliance issues.  Gryphon’s intelligent cloud engine automatically applies legal exemptions (opt-ins) to make sure you are not over-suppressing legal contacts who want to hear from you. Gryphon’s Secure Cloud engine unlocks your largest marketable universe to maximize your outreach and protect every opportunity.