All posts by collectionind723

DebtNext Software Adds Industry Veteran to Leadership Team

3 January 2022, COPLEY, Ohio — DebtNext Software is pleased to welcome Kristin Dougherty as its new National Sales Director. In her new role, Kristin will be responsible for continuing to grow DebtNext Software’s client base across multiple industry verticals.
“We’re very excited and fortunate to have Kristin joining our team to lead our sales efforts as we continue to expand the value our Platform brings to our client base. The last two years have represented incredible growth for us in some very trying times and we’re looking forward to Kristin and her team building off that and taking us to the next level” said Paul Goske, President of DebtNext Software. “Kristin brings a unique voice to our team given her reputation and professional experience along with the fact that she is a former client.”

DebtNext Software, a leading hosted recovery management software provider to the credit, banking, utility, telecom and collections industry for almost 20 years, is located in Copley, Ohio. Kristin will be working from Colorado with the entire team in our Northeast Ohio headquarters. She will be working closely with Thom Majka as he transitions to an advisory role to the company, focused on continuing to strengthen our industry partnerships and client services offerings for our existing client base.

About DebtNext Software 

DebtNext Software has been delivering robust solutions for their clients’ recovery management needs since its founding in 2003. Their industry-leading Platform, dPlat, is currently used by some of the nation’s largest utility, telecommunications, financial services, and accounts receivable management firms to fully illuminate their recovery management processes. 2021 enhancements to dPlat have allowed clients to address regulatory and compliance needs that have resulted from the CFPB’s Regulation F initiative and utilize advanced technology combined with a breadth of industry knowledge to build function-rich solutions to drive recovery optimization and the management of third-party collection vendors. Visit for more information.

About Kristin Dougherty

2022 will mark Ms. Dougherty’s third decade in the financial services industry.  Ms. Dougherty joined Axiom Acquisition Ventures in 2018, to grow their specialized account acquisitions from Fin-tech, banks and consumer loan companies.  In 2013, she began an entrepreneurial venture creating and selling athletic and equestrian apparel under her brand equipparel ®.  Before that, returning to Unifund in August 2011 as its Vice President of Sales & Marketing, managing its National Portfolio Sales, Government Services and Portfolio Enhancement Products. Ms. Dougherty was the Senior Vice President of Sales for Collect America, (later became SquareTwo Financial), as well as their Government Affairs Liaison in Denver Colorado until 2009 and held several executive positions throughout nine years in her first tenure at Unifund in Cincinnati, Ohio starting in 1991.

In addition, Kristin was elected to the board of DBA International (Now Receivables Management Association International) by its membership in February 2002, serving the largest organization of debt buyers. During her term on the Board as a Director, Conference Chair, Treasurer, Vice President and President, Ms. Dougherty planned and organized the curriculum for seven of the Association’s conferences, assisted with the transition to a new association management company, successfully chaired the Executive Director Search committee, participated in Capitol Hill lobbying visits in Washington D.C. to communicate the interests of DBAI and its membership to members of Congress and their staff and administered the revisions to the Association’s code of ethics and by-laws.  She has also represented DBAI at Joint Association Summit (JAS) meetings -the group of industry association leaders.







Contact: Kristin E. Dougherty,
National Sales Director


CFPB Issues Annual Report Analyzing Responses of Nationwide Consumer Reporting Agencies to Increased Number of Consumer Complaints

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On January 5, 2022, the Consumer Finance Protection Bureau (“CFPB”) issued its annual report (“Annual Report”) of credit and consumer reporting complaints.

Historically, the CFPB issued its annual report on the Fair Credit Reporting Act in its Consumer Response Annual Report. This year, however, the CFPB chose to issue a standalone report based on the sheer volume of complaints lodged against the three major nationwide consumer reporting agencies (“NCRAs”) from January 2020 to September 2021. Strikingly, consumers submitted more than 700,000 complaints about the NCRAs. This staggering number represented more than 50% of all complaints received by the CFPB in 2020 and more than 60% in 2021.

Relying heavily on an impressive array of data, the Annual Report criticizes the NCRAs for their responses – or lack thereof – to consumer’s complaints. The Annual Report focuses significantly on the NCRAs recent changes in their response processes, including the use of template responses, which the CFPB concluded offered no real meaningful response. The CFPB also noted the NCRAs are incorrectly closing the bulk of complaints because of “suspected third-party involvement.” While the Annual Report acknowledges there is FTC guidance (and some case law) which supports the NCRA’s position that it need not investigate a dispute initiated by a third party, the CFPB’s position is that FTC guidance does not apply to complaints transmitted by the CFPB. The Annual Report concludes, “The NCRAs’ responses to these complaints raise serious questions about whether they are unable – or unwilling – to comply with the law.” Annual Report, p. 4.

Leaving little doubt about the CFPB’s focus on the NCRAs, the press release announcing the publication of the Annual Report contained this strong statement from CFPB Director Chopra: “America’s credit reporting oligopoly has little incentive to treat consumers fairly when their credit reports have errors.  Today’s report is further evidence of the serious harms stemming from their faulty financial surveillance business model.”

A copy of the Annual Report can be found here.

Trades Ask CFPB for More Data on Overdraft Protection Policy

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Credit union and banking trade groups sent a joint letter to CFPB Director Rohit Chopra on Thursday to ask for additional data collection, development and analysis before making new overdraft policy recommendations.

Last month, the CFPB issued two reports concerning the amount of overdraft and non-sufficient fees (NSF) collected by banks and credit unions. CUNA, NAFCU, the American Bankers Association, the Consumer Bankers Association and the National Bankers Association jointly stated that the reports lacked analysis, needed input from the public and asked the bureau to conduct a study of consumer preferences regarding overdraft issues to gain a better understanding of the fees before the CFPB decides on new policy guidelines.

“We recommend that the Bureau focus on frequent users of overdraft, which constitute approximately 9% of all overdraft users, according to a 2017 Bureau report in order to develop data on regular users, the people that will be most affected by any changes to the regulatory treatment of overdraft,” the letter stated.

The letter continued, “Restrictions on overdraft may lead financial institutions to stop offering these services to their customers, which would result in significantly more returned checks and declined transactions. This may lead to unnecessary credit rating harm; returned item fees charged by the institution or by the merchant; fees from landlords and others; or requirements to pay using alternative methods such as money order.”

The groups included another ask of the CFPB to offer clear and easy-to-understand overdraft policies. “The Bureau’s activities related to overdraft should not be a ‘gotcha’ exercise through enforcement. Instead, any changes to supervisory expectations or guidance applicable to overdraft should be made transparently and should be based on current and complete data. It is critical that any changes not push consumers outside of the mainstream banking system to meet their financial needs.”

Included in the letter were a number of additional items the organizations asked the CFPB to investigate concerning the creation of an overdraft policy recommendation. Those items included:

  • Features that consumers seek when they open a deposit account;
  • Why consumers elect to opt-in to debit card overdraft protection;
  • What consumers understand about their ability to opt-out and whether they have ever exercised that right; and
  • What occasions or needs typically prompt overdraft use.

CFPB and DOJ Send Joint Letters to Landlords and Mortgage Servicers About Servicemembers’ and Veterans’ Rights

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Recently, the CFPB and DOJ jointly issued two letters reminding landlords and mortgage servicers about legal housing protections for military families under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) and Servicemembers Civil Relief Act (SCRA).  The first letter was sent to landlords and property management companies regarding protection for military tenants.  The second letter was sent to mortgage servicers regarding military borrowers and the COVID-19 mortgage forbearance programs.

The first letter reminded landlords that military families are afforded additional housing protections under the SCRA.  The additional housing protections listed in the letter include, among others, the right to terminate a lease early after entering military service or receiving certain orders and the requirement of landlords to first obtain a court order before evicting a servicemember or their dependents from a residential home during a period of military service.

The second letter reminded mortgage servicers about legal protections for military borrowers under the SCRA, the CARES Act, Regulation X, and Regulation Z, as thousands of servicemembers and veteran homeowners will be exiting COVID-19 hardship mortgage forbearances.  The additional protections described in the second letter include, among others, the right to a forbearance for up to 180 days, and an extension for an additional 180 days for homeowners with federally backed mortgages; and the requirement that creditors must obtain a court order prior to closing on a mortgage during a period of military service and for one year following military service.

In its press release, the CFPB stated that the letter to mortgage servicers was prompted by complaints from military families and veterans on a range of potential mortgage servicing violations.

US State Banking Regulators Drop Lawsuit Over FinTech Charters

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A group of  U.S. banking regulators withdrew their lawsuit that sought to block the federal government from granting bank charters to FinTech companies. 

The Conference of State Bank Supervisors (CSBS), the national trade group of bank regulators, announced Thursday (Jan. 13) that it has dropped the complaint in federal court challenging the Office of the Comptroller of the Currency’s (OCC) nonbank charter program and Figure Technologies’ application for an OCC nonbank charter. 

CSBS said it withdrew their suit after Figure, the San Francisco-based FinTech, amended its bank application to include seeking FDIC deposit insurance, complying with the legal requirement that national banks obtain federal deposit insurance before operating as a bank. 

“The federal banking laws are clear,” said Margaret Liu, CSBS executive vice president, in a statement. “Financial service companies, like Figure, that send and receive customers’ money or lend money, must obtain FDIC insurance to operate under a federal bank charter.”

State regulators are prepared, she added, to revisit the issue should the OCC consider a bank charter application from a company that will not be FDIC-insured. 

Filed in 2020, the lawsuit alleged that by creating a national bank charter for nonbank companies, the OCC exceeded its authority under the National Bank Act. Those laws, CSBS argued, authorize the OCC to only charter institutions that lawfully engage in the business of banking, which under federal law requires an institution, at minimum, to receive deposits and become FDIC-insured.

The CSBS lawsuit was part of an ongoing battle between state and federal regulators over who should regulate FinTech financial services and online lenders.

As far back as 2016, PYMNTS has chronicled the CSBS’ campaign against offering banking charters to FinTechs.

In 2017, PYMNTS reported the CSBS filed suit against the OCC in response to the latter’s plans to offer banking charters to FinTechs.