September 16, 2014
CONTACT: Julia Spiess Lewis
[email protected]
New York Office of Court Administration Issues Rules on Debt Collection in New York
DBA International Recommendations Incorporated in Final Ruling
September 16, 2014 (New York, NY) – DBA International applauds the New York State
Unified Court System’s Office of Court Administration (OCA) for incorporating DBA
International’s recommendations in the final rules on debt collection, which were issued
DBA International provided the OCA balanced and measured comments to enhance
consumer protections while addressing its concerns with the proposed consumer credit
collection case reforms, published April 30, 2014. DBA’s comments were predicated on
the uniform industry standards adopted in its national certification program.
“DBA International supports the decision by the New York OCA and appreciates the
opportunity to work with its staff to address DBA member concerns. Due to the hard
work of DBA leadership and our New York consultant, DBA was successful in
communicating our concerns which ultimately led to the incorporation of our
recommendations into the final ruling,” said Bryan Faliero, DBA International President
and Director of Acquisitions for Sherman Capital Group.
DBA’s constructive dialogue with the OCA and other interested parties resulted in:
Delaying implementation of the rules on debt purchased before October 1, 2014 until
July 1, 2015. This concession recognized the challenges associated with the
retroactive nature of the rule. The industry will be able to operate under existing
court rules while they obtain the necessary data and documents in the new
prescribed format.
Clarifying that the court rules only applied to credit card debt.
Changing the definition of “credit agreement” to be more flexible, allowing various
original documents to be used as evidence of the debt obligation, including the
charge-off statement or the last activity statement.
Providing a clearer definition of “original creditor” and “debt buyer.”
Eliminating the pre-charge-off itemization requirement on account balances.
Allowing portfolio-level affidavits.
“New York debt buyers should be pleased with the hard work of DBA International
which resulted in a favorable outcome in the OCA rules. This is good news for debt
buyers in our state and the industry as a whole. However, with all new rules and
regulations, there will be additional clarification needed,” said Irwin Kirschenbaum, DBA
Board Member and Partner at Kirschenbaum & Phillips, P.C.
About DBA International
DBA International is the nonprofit trade association that represents the interests of public and private
companies that purchase performing and nonperforming receivables on the secondary market. Founded in
1997 by a small group of companies to provide a forum to advance best practices within the industry, today
DBA has grown to represent over 525 companies. DBA provides its members with networking, educational,
and legislative advocacy opportunities through an annual conference, an executive summit, regional
seminars, state and regional committees, newsletters, webinars, teleconferences, and other media. DBA
maintains a code of ethics and a national certification program that promote uniform industry standards of
best practice which member companies must comply with in order to maintain membership. DBA is
headquartered in Sacramento, California.