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Debt Collection 101: Episode 56 – Fair Debt Collection Practices Act Regulations: Are Debt Buyers Debt Collectors?

Are Debt Buyers Subject Fair Debt Collection Practices Act Regulations?

Though a previous case went against debt buyers falling under Fair Debt Collection Practices Act regulations a new case might turn that ruling around. In today’s episode, we’ll be discussing the Tepper vs. Amos Financial case and what it means for debt buyer regulations.

Welcome Back

Hey everybody welcomes back to another episode of Debt Collection 101 here on Arbeit U. Yeah we have a great episode today, right? So we did an episode a while ago. It was a court case Henson versus Santander and Santander Consumer USA, but that was basically saying the debt buyer was not subject to the FDCPA because they were a debt buyer. So there was a lot of objection, and it’s an exciting topic. I think a lot of our clients were interested in the outcome of that.

Debt Buyer Subject To FDCPA?

So that ended up saying if you’re a debt buyer you’re not subject to the Fair Debt Collection Practices Act but guess what. Yeah I mean there now there’s another court case that came out recently. It was Tepper versus Amos Financial, and basically this said Amos Financial collects on mortgages they buy mortgages, and then they collect on them that’s their primary business is. That’s what they do because that is the primary business. They are therefore a debt collector and subject to the rules and subject to FDCPA regulations.

Yeah so this Court decided to look at a different aspect of the definition, and that’s I guess part of the problem there’s no standardization across. So they looked at it this way, and this is what they determined, but if you’re a debt buyer and all you do is collect on the debt that you buy I think it’s safe to say that you’re going to be subject to the FDCPA. Way to sum it up. Judge Alex. We have to get you a little gabble.

Closing Thoughts

I mean that’s what this is, but I think that’s common sense. I think a lot of people knew that already though but with this court case that came out a little while ago the Henson vs. Santander there was a little hope that people were like: “Oh yeah, maybe we’re not going to be subject” This may be reeling that in a little bit but yeah we’ll link both court cases below. Can you run a reel of all the times you said that’s common sense?

I would love to see how many times Judge Alex has decided that these things are common sense. Sure. Perfect, Joe get on that. Get that reel but yeah we’ll link in court cases below feel free to read them. They’re long and boring. Haha Yeah, thanks so much and we’ll see you next week. See you.


Looking for more educational information? Check out these Debt Collection 101 episodes covering CFPB Annual 2018 Report on The FDCPA and How To Take On Compliance Management.


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Emily Faracca

Emily is the content creator at Arbeit. She is an aspiring gardener, enjoys bike rides through her neighborhood, and is a big fan of a good cocktail. As much as she loves her hometown of Buffalo, N.Y., she absolutely loves to travel, and at the top of her bucket list is a trip to Sicily, where she still has living relatives.

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