• Welcome and Industry Insights (0:00 – 1:20)
  The conversation opens with a broad overview of the topics for this episode, including collections, legal issues, tech trends, and industry updates.

• CFPB’s Proposed Rule on Medical Debt (1:21 – 2:40)
  A discussion about the CFPB’s proposed rule to limit medical debt’s impact on credit reports. ACA International’s cautious response is highlighted, noting potential long-term consequences for consumers.

• Compliance Help Desk – Glassine Envelopes (2:41 – 4:00)
  An examination of the use of glassine envelopes in compliance, particularly under Regulation F. The risks of showing sensitive information through these envelopes are explored.

• Roble Letters and AI in Collections (4:01 – 7:20)
  An in-depth discussion on Roble Letters—automated dispute letters overwhelming agencies—and how AI, such as ChatGPT, is being used for tasks like email drafting and training. The importance of verifying AI-generated outputs is emphasized.

• Cybersecurity and Ransomware Attacks (7:21 – 10:50)
  Real-world examples of ransomware attacks, including those at Change Healthcare and MGM Resorts, and tips for boosting cybersecurity like multifactor authentication, email security, and employee training.

• ACA International’s Cybersecurity Collective (10:51 – 12:00)
  ACA International’s new cybersecurity resources for members, including webinars and discussion groups, are mentioned.

• ACA Convention and Keynotes (12:01 – 14:00)
  The conversation shifts to the ACA Convention and its keynote speakers, focusing on resilience, networking, and the challenges of attending amidst travel disruptions.

• Fair Credit Reporting Act Lawsuits (14:01 – 15:20)
  A look into the rise of Fair Credit Reporting Act cases, driven by social media-promoted credit repair companies encouraging consumers to dispute everything on their credit reports.

• Awards and Recognitions in the Industry (15:21 – 17:00)
  Recognition of industry leaders, including Kevin Batech, who received the Member of the Year Award, and other awards related to advocacy, diversity, and practical advice for smaller agencies.

• Credit Reporting Trends (17:01 – 19:00)
  A focus on the three major trends in credit reporting: the rise of lawsuits, debates over medical debt on credit reports, and the impact of Roble Letters.

• Staying Ahead in the Industry (19:01 – 21:00)
  Final takeaways about the importance of staying informed and adaptive in the ever-changing credit and collections industry. The value of knowledge and resilience is emphasized.

Welcome back everyone
ready to dive into another magazine deep dive with us
always excited to see what they’re talking about
this time around right
getting into all things well collections
legal stuff tech trends
what’s going on in the industry
you name it
it’s a really interesting time for this industry
that’s for sure absolutely
and speaking of interesting
something that caught my eye right away was
the legal stuff
the CFPB’s proposed rule on medical debt
credit reporting big news
yeah that’s a hot topic for sure
a lot of people don’t realize how different
medical debt is
it’s not like missing a credit card payment
you know absolutely
so the CFPB wants to limit
how much that medical debt impacts your credit score
which on the surface sounds like a good thing right
but ACA International they’re urging caution
they’re saying hold on
this could backfire how so
well their argument is that
if you just wipe medical debt off credit reports
it might actually harm consumers in the long run
could make it tougher to get affordable credit
down the line interesting
so it’s not as simple as it seems
nope not at all
there are always ripple effects
true enough now
before we get too deep into the legal weeds
can we talk about the Compliance Help Desk section
always a roller coaster of emotions reading that
I know right
it’s like am I doing this right exactly
so this month they’re tackling those glass scene
envelopes with the little windows
you know
the ones where you can sometimes see what’s inside
what’s the verdict recipe for disaster
well according to Regulation F
there’s no hard and fast rule against it
b U t
the CFPB tends to think that whatever you can
see through that window it’s fair game
like it’s printed right on the envelope
so better safe than sorry right
pretty much now
proving actual harm from seeing a statement
like past due that’s tricky
true but I can see how it gets iffy right
and the article did mention some court cases
where agencies use those windows with check boxes
you know
like payment enclosed or need to discuss further
not exactly subtle oh no
that’s just asking for trouble
exactly and that’s the thing about compliance
even if it’s not explicitly forbidden
doesn’t mean it’s a good look
it’s all about being above board
avoiding even the appearance of any shady business
exactly and this is just one tiny detail
imagine all the other potential pitfalls out there
hence the importance of staying up to date
knowledge is power right
speaking of which
are you ready to dive into the world of Roble Letters
and AI hit me with it
let’s get digital alright
so first up these so-called Roble Letters
that credit repair companies are sending out
what’s the deal with those
think of it like this picture
a tidal wave of automated dispute letters
most of them generic and often inaccurate
flooding your desk every single day
it’s become a real headache for agencies
no kidding, it sounds overwhelming
it is, in fact
at a recent ACA huddle 90%
you heard that right: 90% of attendees
said they’re dealing with these Robbie letters
every single month, wow
that’s wild, so what’s the solution
hire an army of interns to sift through them
nah, I wish it were that easy
the article had some good advice, though
first off you gotta have a plan
a clear written policy for dealing with these things
train your team to spot the red flags in barcodes
mismatched return addresses
that kind of thing like a rubble letter battle plant
exactly and don’t be afraid to do a little digging
they even suggest reaching out to the consumer
to verify if they sent the dispute
smart can separate the real from the fake
it’s all about working smarter
not harder right
yeah
especially as more and more communication goes digital
absolutely, and speaking of digital
let’s talk AI it’s everywhere these days
like that friend who just discovered avocado toast
can’t stop talking about it
but seriously, it’s a big deal
and the collections world
well, they’re figuring out how to use it
so, are robot collectors calling people up yet
not quite, though I wouldn’t rule it out entirely
the article focused on more practical AI tools
like Chat GPT
okay, so how does that fit into all of this
think of it like this
Chat GPT
can help automate some of the more tedious tasks
you know, drafting emails
creating training materials for new hires
it’s like having a super-efficient intern
minus the coffee breaks, it sounds like a win-win
but how accurate is it? That’s the real question right
right
and that’s where responsible implementation comes in
one expert in the article they said
think of these AI tools like an enthusiastic intern
you know, eager to help
but maybe prone to some misunderstandings
or getting things a little mixed up
I love that analogy right
so just like you wouldn’t let an intern
send out an important document
without a quick once over
you gotta double check the AI’s work make sense
trust but verify
speaking of things that require careful attention
let’s talk cyber security
this issue
had some pretty scary stories about ransomware attacks
yeah those were rough
and the thing is
it’s not a matter of if an attack will happen
it’s when being prepared is absolutely crucial
well you’re not gonna like this
then hit me with those horror stories
what happened with Change Healthcare
well back in February
they got hit with a massive ransomware attack
completely shut them down okay
that’s bad but how bad are we talking
estimates are between
1 billion and 1.15 billion dollars in direct costs
and it’s not just the money
they had to stop processing claims entirely
caused chaos throughout the whole healthcare system
all because of what someone clicking the wrong link
it often is something that simple
in Change Healthcare’s case
they think
the attackers used social engineering tactics
may be posed as a trusted source
to steal login information
it’s scary how easy it can be
way too easy and change Healthcare wasn’t the only one
were they nope
MGM Resorts got hit too
cost them an estimated $8.4 million per day
for the 10 days their systems were down
see this is why I have nightmares
so how can companies even begin
to protect themselves against this kind of thing
it feels like an impossible battle
it’s definitely a challenge
but the magazine stresses that cybersecurity
it’s not a one undone thing
you need layers of Protection
and it’s an ongoing process
so like an onion layers of security onions
ah something like that
first and foremost
multifactor authentication everywhere
no exceptions passwords just aren’t enough anymore
got it multifactor check
what else you also wanna beef up your email security
think spam filters antivirus software
the works it’s like having a bouncer for your inbox
I can get behind that keep the riff raff out
exactly and last but definitely not least
employee training
you can have the best tech in the world
but if someone falls for a fishing scam
it all goes out the window right
people are often the weakest link
so how often
should employees
be getting these cybersecurity refreshers
honestly I’d say make it a regular thing
like fire drills
the more you make it part of the company culture
the better couldn’t agree more
a little knowledge can go a long way
and speaking of knowledge
it looks like ACA International is
really stepping up to help their members with all this
yeah they’ve really been ramping up
their cybersecurity resources
which is great to see like what
well they launched this thing called
a cybersecurity collective
it’s basically a support network
specifically for their members
okay what does that mean exactly
so they’ve got a private
LinkedIn group
where people can share information and stuff
plus quarterly webinars with experts
they even have a whole library of resources available
it’s free for members too
which is pretty awesome not bad at all
knowledge is power and all that right
they’re really hammering home
the point that cybersecurity isn’t just an
it problem anymore
it’s a business imperative
absolutely one data breach in your toast exactly
speaking of things that can really disrupt a business
did you see the article about ACA’s convention
an expo I did
I did sounds like even a global
it meltdown couldn’t stop people from showing up
talk about dedication right
that whole crowd strike thing
really threw a wrench in the works
flight cancellations delays
you name it some people’s travel time increased sixfold
sixfold you’re kidding
nope but hey
at least they had some great keynote speakers lined up
that’s true John O’leary
the burn survivor sounds amazing right
his whole message of resilience
really resonated with the audience
it seems like
I bet always love a good dose of inspiration
and then there was Debra Fine
the small talk expert she’s a trip
I know the article said
she had everyone up in
practicing their networking skills
love it networking could be so awkward
especially these big events
tell me about it but it’s so important
especially in this industry
couldn’t agree more
so besides the key notes
what were some of the hot topics at the convention
well unsurprisingly
the CFPB’s proposed rule on medical debt
was front and center
they had a whole panel dedicated to it
make sense
that’s a big deal for a lot of folks in the industry
for sure and of course
AI was a hot topic too
one session focused on using it for things like
creating script templates
and personalizing communication with consumers
see it’s not all scary robots coming to take our jobs
yeah not yet anyway
there was another really interesting session
on the rise in Fair Credit Reporting Act cases too
they’re becoming more and more common
why is that
well they were saying that
a lot of it has to do with the way
credit repair companies are advertising
on social media making promises they can’t keep
encouraging people to dispute everything
whether it’s accurate or not
uh the Wild West to social media strikes again
exactly and then on top of that
it’s just so easy for
people to access their credit reports now
so
they’re more likely to spot something that seems off
and file a dispute even if it’s a simple mistake
make sense when you make it easier to do something
people tend to do it more
that’s the truth but anyway
this session was all about giving people practical
legal strategies to deal with this influx of lawsuits
sounds incredibly valuable
knowledge is power after all
speaking of knowledge let’s talk awards
who’s killing it in the world of collections right
so this year
the member of the year award went to Kevin Batech
the vice president of business development for Sisi
very nice
what did he do to earn such a prestigious honor
well for one thing
he was instrumental in creating the matching funds
program for Acos Industry Advancement Fund
which is so
it provides financial support to members
who are fighting back against frivolous lawsuits
which can be super expensive
oh wow
that’s huge
those lawsuits can really drain your resources
tell me about it and on top of that
he’s been a big advocate for the industry in general
working with their political action committee
and all that a true champion of the cost for sure
and speaking of champions
we can’t forget about the inaugural AC Pack
Hall of Fame inductions ooh fancy
who were the lucky winners this year
they inducted Tom Hague Jim Richards and Phil Rosenthal
all true pioneers in the industry
wow what a legacy
absolutely and I have to mention that
Megan Hebert took home the speaker of the year award
too that’s awesome
what’s her specialty
she’s really great at giving practical advice
especially for smaller agencies
trying to compete in a tough market
love that yeah
always gotta support the little guy
any other awards one more
Courtney Reno won the Visionary Award
for her work on promoting diversity and inclusion
yes so important
especially these days it’s great to see the industry
making strides in that area absolutely
now we’ve talked about cybersecurity
the legal landscape
all the cool stuff happening at the convention
but there’s even more to cover
credit reporting hit me with it
what do we need to know well
they highlight three big trends to keep an eye on
first up
remember those Fair Credit Reporting Act lawsuits
we were talking about oh yeah
those are becoming a real problem
right
and it doesn’t look like that’s going away anytime soon
in fact they’re calling it a full blown trend
what I thought good
what’s the second trend
it’s the ongoing debate about medical debt
and whether it should even be on credit reports
in the first place yeah
that’s a tough one
there are good arguments on both sides definitely
and to make matters even more complicated
some states are starting to pass their own laws
about it so now
you’ve got this whole state versus federal thing
happening is enough to make your head spin okay
we’ve got lawsuits we’ve got medical debt drama
what’s trend No. 3 remember those rabble letters
well they’re not just annoying
they’re officially a trend
that’s changing
how credit reporting disputes are handled
it’s amazing how quickly
something that seems like a minor annoyance
can turn into a major headache right
so now you’ve got more lawsuits
the medical debt debate
and this influx of Robba letters
it’s a lot to keep track of
it really is so
what’s the take away for everyone
trying to navigate
this crazy world of credit reporting
it’s all about staying one step ahead
stay informed about those legal changes
both at the federal level and the state level
because what works in one state
might get you in hot water in another
it’s like a constantly moving target
exactly
and don’t let up on those cybersecurity measures
we were talking about those fishing emails right
well those rabble letters
same deal they can be a way for malware to sneak in
right right
stay vigilant stay informed
knowledge is power especially in this business
couldn’t agree more and speaking of knowledge
have you checked out ACA
International’s ACA Search Point library
it’s a treasure trove of compliance information
I’ve heard good things what’s so special about it
well imagine a compliance encyclopedia
but it’s constantly updated
new rules court decisions
the whole shebang
they actually just revamped a bunch of their documents
including one on medical debt
statutes of limitation and interest rates
which can vary a lot from state to state
it’s gotta be super helpful
with all the scrutiny on medical debt these days
exactly and that’s not all they’ve got
there’s this thing called this state collection
laws and practices cohort
which sounds really jargany
but it’s actually super helpful
for keeping up with all those state
specific regulations state regulations
don’t get me started
it’s like every state is speaking a different language
right but this cohort thing
it gives you monthly summaries of new laws
state specific details live webinars
and even a dedicated discussion group
wait so
you can actually connect with experts
and other people in the industry
and get advice in real time
yep it’s like
having a direct
line to the collective wisdom of the collections world
pretty amazing so
as we wrap up
this deep dive into the world of collections
what’s your biggest take away from this issue
of collector you know
it really feels like the industry is at a crossroads
right now new technologies
new regulations and
consumer expectations are changing faster than ever
talk about a whirlwind of change road seriously
but it’s not all doom and gloom
not even close this issue
also highlights just how resilient
and innovative this industry can be
companies are putting more focus on employee wellbeing
which is huge for morale and productivity
they’re finding creative ways to use AI
not to replace humans
but to make things better for everyone
and the
really stepping up and advocating for their interests
making sure their voices are heard
it’s a time of great challenge
but also great opportunity
exactly those who are willing to adapt
innovate and never stop learning
will be the ones who not only survive
but thrive in this new landscape
I love that oh
and that’s a great note to end on
this deep dive has been a roller coaster
that’s for sure
we’ve gone from the very human side of collections
to the super complicated world of legal
and regulatory compliance
with a little AI
and cybersecurity thrown in for good measure
it’s never a dull moment in the world of collections
that’s for sure that’s the truth
well thank you so much for joining us on this deep dive
until next time