Introduction to CBE Debt Collection
CBE Group, Inc., is a debt collection agency, headquartered in Cedar Falls, Iowa. Founded in 1933, CBE Group is best known for its services in debt recovery, accounts receivable management, and call center solutions. The company has been in operation for over 80 years and has a team of dedicated and experienced professionals who work to help their clients recover overdue tuition fees, hospital bills, auto loans, credit card debt, and other financial obligations.
CBE Collection Tactics and Practices
Like most collection agencies, CBE Group employs various tactics and practices when collecting unpaid debts. Some of its collection practices are controversial and have raised concerns from consumer advocates and civil rights groups. Despite these concerns, CBE Group maintains that it is compliant with the Fair Debt Collection Practices Act (FDCPA) and other relevant state and federal laws.
One of the main tactics used by CBE Group is phone calls. The company has an in-house call center with trained debt collectors who call delinquent debtors to remind them of their obligations. CBE Group is known for persistent and frequent calls, which some consumers perceive as harassment. However, the company maintains that it is within its legal rights to call debtors as long as it is not outside of normal business hours or in an inconvenient location.
Another tactic used by CBE Group is sending collection letters. The company sends letters to debtors requesting payment and informing them of potential legal action if the debt remains unpaid. The letters also contain information about the debt, including the original creditor, the amount owed, and the interest and fees accrued.
CBE Group also reports delinquent debts to credit bureaus, which can lower the credit score of the debtor and affect their ability to borrow money in the future. However, like other collection agencies, CBE Group is required to provide accurate information to credit bureaus and to investigate any disputes raised by the debtor.
Controversies Surrounding CBE Group
CBE Group has faced several controversies in recent years, especially regarding its collection practices. One of the most notable controversies was a lawsuit filed against the company by the Consumer Financial Protection Bureau (CFPB) in 2017. The CFPB accused CBE Group of making false threats to consumers, such as threatening to sue debtors who did not owe the debt or threatening to garnish wages. The CFPB also alleged that CBE Group failed to have adequate procedures in place to ensure the accuracy of information reported to credit bureaus. The case was settled in 2019, with CBE Group agreeing to pay $3.5 million in damages and change its collection practices.
CBE Group has also faced numerous complaints from consumers, with some alleging that the company engaged in illegal and harassing collection tactics. Consumer complaints have included allegations of frequent and disruptive phone calls, threats of legal action, and attempts to collect debts that had already been resolved. The company has responded to some of these complaints by stating that it follows all relevant laws and regulations and that it investigates any complaints raised by consumers.
FAQs About CBE Debt Collection
Q: Can CBE Group call me at any time of the day or night?
A: No, CBE Group is required to follow the rules set out in the FDCPA and other relevant laws. This means that they can only call you between 8 am and 9 pm, depending on your time zone.
Q: Can CBE Group call my workplace?
A: Yes, but only if they don’t know that your employer doesn’t allow such calls. If you ask them to stop calling your workplace, they should stop.
Q: What should I do if I believe that CBE Group is breaking the law?
A: If you believe that CBE Group is breaking the law, you should contact a consumer rights lawyer or report the company to the Consumer Financial Protection Bureau (CFPB).
Q: Can CBE Group take legal action against me?
A: Yes, CBE Group can take legal action against you if the debt is not resolved. However, they have to follow the procedures set out in the law and cannot make false threats or engage in other illegal practices.
Q: How can I negotiate with CBE Group to settle my debt?
A: If you want to negotiate with CBE Group to settle your debt, you should contact them and explain your situation. You can also seek the advice of a debt settlement lawyer who can help you negotiate a fair settlement.
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CBE Group is an American debt collection agency that offers debt recovery, accounts receivable management, and call center solutions to clients. Its collection practices, such as persistent and frequent phone calls, sending collection letters, and reporting delinquent debts to credit bureaus, have raised concerns from consumer advocates and civil rights groups. The Consumer Financial Protection Bureau (CFPB) filed a lawsuit against the company in 2017, accusing it of making false threats to consumers and failing to have adequate procedures in place to ensure the accuracy of information reported to credit bureaus. CBE Group settled the case by paying $3.5 million in damages in 2019.