Star Tribune: "Local debt collector to pay $1.75 million"
Today, the Star Tribune reports that Allied Interstate Inc., a Minnesota debt collection agency, broke the law trying to illegally collect debts and will pay a $1.75 million settlement.
Sen. Al Franken, D-Minn., who introduced legislation last month to curb abusive collection practices, including the use of arrest warrants, said the fine "should serve as a reminder to other debt collection agencies that they have to follow the law.
"Still, we need to pass legislation that will update the law to make certain it addresses the wide range of abusive practices used by debt collection agencies to ensure that Minnesota's consumers are better protected against harassment," Franken said in a statement.
FTC officials said the action against Allied reflects a strategic shift in enforcement. About three years ago, the agency began to focus on larger debt collectors engaged in illegal practices. By cracking down on the big players, the agency hopes to influence smaller debt collectors who engage in the same behavior.
The full article can be found online.