Fair Debt Collection Practices Act (FDCPA) staff letter: Zepkin
Sept. 16, 1993 · Section 803(6) [1692a(6)]; Section 803(6)(A) [1692a(6)(A)]; Section 811 [1692i]
Topic: Definition of "debt collector"
Staff opinion letters are informal views of FTC staff, not binding Commission rulings, and some were later superseded by statutory amendments (including the 2006 FDCPA amendments) or later guidance. Check current law before relying on any letter.
UNITED STATES OF AMERICA
FEDERAL TRADE COMMISSION
WASHINGTON, D.C. 20580
Division of Credit Practices Bureau of Consumer Protection
September 16, 1993
Mr. J.R. Zepkin, Lecturer
P.O. Box 452
Williamsburg, VA 23187-0452
Dear Mr. Zepkin:
This is in reply to your letter of August 16, 1993 concerning whether a debt collector is covered by the Fair Debt Collection Practices Act while collecting the debt collector's own debts (as a creditor) in its own name.
The answer to your question is both yes and no. The debt collector is still covered by the Act with respect to debts it collects for others; however, the creditor exemption immunizes the debt collector from the Act's applicability with respect to its own debts which it collects in its own name. Thus, an attorney-debt collector does not have to furnish a validation notice when sending a demand letter concerning debts that originated with the attorney.
The Commentary's comment on Section 811 refers to situations where the debt collector has been assigned an account by a creditor solely for the purpose of collecting it (or suing upon it) in its own name, but whatever recovery is obtained is ultimately returned to the creditor. See the exception in Section 803(4), "Definition of Creditor."
I hope this has been helpful.
Sincerely,
John F. LeFevre
Source: FTC staff letter as archived by the U.S. National Archives web harvest, archived copy. Works of the U.S. government.