WASHINGTON, D.C.— Amanda Fischer, Policy Director and COO of Better Markets, issued the following statement in connection with today’s filing of a comment letter to the Consumer Financial Protection Bureau (CFPB or Bureau) on whether the CFPB should reduce the number of nonbank companies it supervises in the consumer debt collection market. 

“Debt collectors hound one in five Americans with a credit report. Hundreds of thousands of consumers have gone to the CFPB to file complaints about threatening contact, failure to honor requests to cease contact, and collectors calling about debts the consumer doesn’t even owe. The explosion of artificial intelligence in debt collection is only making these problems worse, exposing consumers to messages using voice cloning and deepfakes, algorithmic targeting, data privacy concerns and new and invasive ways to track customer patterns and movements.

“The proposal released by the CFPB would make all of these problems worse, likely allowing hundreds of debt collectors to escape Bureau oversight. Rural consumers would be particularly impacted, given the higher levels of debt and debt collection attempts in these communities. And servicemembers would be exposed to unique harm given that debt collection attempts – even those that are inaccurate – can lead to consequences such as military disciplinary action, delayed career progression, and termination from employment.

For the reasons Better Markets documents in its comment letter, this proposal should be rejected.”

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Better Markets is a non-profit, non-partisan, and independent organization founded in the wake of the 2008 financial crisis to promote the public interest in the financial markets, support the financial reform of Wall Street and make our financial system work for all Americans again. Better Markets works with allies—including many in finance—to promote pro-market, pro-business and pro-growth policies that help build a stronger, safer financial system that protects and promotes Americans’ jobs, savings, retirements and more. To learn more, visit www.bettermarkets.org.