HomeDebt collector examIf you successfully complete this exam you will receive a certificate of achievement via the email you provide below. The signed certificate must be included with your application for a debt collector licence.Step 1 of 119%I prefer to respond anonymously Yes NoName First Last Email Enter Email Confirm Email Collection AgencyA collector is a person who:* Collects or attempts to collect debt owed to another person Collects and attempts to collect debts it has purchased Collects or attempts to collect its own debts (as the original creditor) All of these optionsA debt collector must be licensed in BC if they are contacting BC debtors from an office located in:* BC Canada Anywhere in the worldWho can allege harassment due to the manner or frequency of communication with a collector?* A debtor's employer A debtor's neighbour All of these A debtor's family member None of theseBefore being requested to pay, debtors must know:* Who the collector is and under what authority they are demanding payment of the debt What percentage of their payments go to the creditor None of these All of these That the collector is located in BCAfter sending a written notice to a debtor of the assignment of the debt for collection, the collector must wait:* 5 days before verbally contacting the debtor 7 days before verbally contacting the debtor 14 days before verbally contacting the debtor 24 hours before verbally contacting the debtor There is no required waiting periodA debtor can compel a collection agency to contact them in writing only if:* Both of these The debtor provides a mailing address for the collector to use Neither of these The debtor submits the demand by email or letter and provides a mailing or emailing address where the debtor can be reached.It is at the discretion of the collector whether the collection agency will deal with a debtor's lawyer or not, after being advised in writing by the debtor to do so.* True FalseIn order for a debtor to dispute a debt and stop all collection activity, except legal action, the debtor must:* Clearly state their reasons for disputing the debt Notify the collector and the creditor in writing that the debt is disputed and the debtor wants the matter to go to court Both of these None of theseA collector can communicate with a family member or relative of a debtor if:* The debtor authorized the collector to do so All of thse The debtor is unemployed The debtor is unavailable None of theseExcept for Sundays and statutory holidays, a debtor may be contacted between the hours of 7 a.m. and 9 p.m., local time for the collector.* False TrueIf there is no history of dishonoured payments, a collector must allow a debt to be paid by cheque or debit card.* True FalseIt is acceptable to demand that a debtor submit written notice or payment via registered mail.* False TrueFor a credit agreement that is silent about interest charges on overdue amounts, a debtor is only responsible to pay:* Court-ordered interest Interest applied on the debt by the creditor Interested applied on the debt by the collector Simple interest Compound interestUnless a family member or friend of a debtor is a co-borrower or guarantor, they are not responsible for paying for the debt.* True FalseA collector may not state or threaten the possibility of a legal proceeding against a debtor if:* The debtor is unemployed or otherwise unable to pay the debt The debtor has proven to be trustworthy The collector does not already have the creditor's written authorityA collector may not use an alias unless the alias appears on their BC collector licence issued by Consumer Protection BC.* False TrueAdvising a debtor that an unfavourable payment history will remain on their credit report for longer than 6 years from the date the payment was FIRST late or missed is misleading and contrary to the legislation.* True FalseNon payment of a contractual debt is a criminal offence and may result in 6 months imprisonment or a $10,000 fine.* False TrueA collector is able to automatically garnish a debtor's wages under the Business Practices & Consumer Protection Act.* True FalseThe complete assignment or sale of a debt requires any resulting collection activity to be performed only by a licensed collection agent and collector.* False TrueIt is considered an unreasonable collection practice for a collector to advise a debtor that the debtor will be responsible for the creditor's lawyer fees for an action that would be heard in Provincial Court.* False TrueA credit agreement requires a debtor to pay a late fee of $50 if payments are not received in accordance with the agreement. How many times can the fee be charged?* Never Only once for each late payment no matter when the late payment is made Once each month that a payment is missed Only once regardless of the number of late payments or when they are madePreviously, a debtor had instructed a collector to contact them in writing only. However, the debtor has not replied to any of the written communications sent by the collector. In this case, can the collector begin telephoning the debtor again?* Yes NoRemembrance Day falls on a Sunday. When can a collector telephone a debtor?* Only between 11 a.m. and 9 p.m. Only between 1 p.m. and 5 p.m. None of these options Only after 11 a.m. until 5 p.m.If a debtor informs you that they are disputing the debt you are calling about, you:* Must stop trying to collect the debt if the debtor informs you and the creditor in writing of the dispute Can demand to see the evidence that they have Can still contact them about the debt until they actually go to courtIf a debtor expresses concern about the number of calls they are receiving from a collector, the collector:* May continue to make calls at the same frequency because there is nothing wrong with the number of calls they’re making to the debtor Must ensure the frequency of calls is not excessive or unreasonable in the circumstances May increase the frequency of calls because the debtor is not cooperatingWhen a collection agency begins to collect a debt:* The time limitation for collecting on the debt starts over The time limitation remains unchanged and is still calculated from the date the debt first became past-due The debt is already so overdue that extra pressure is now OK to use on a debtor to make the debtor pay the debtParents or family of a debtor are responsible for the debt if:* the debtor is acting irresponsibly the debtor is away on vacation and cannot be reached to collect the debt they co-signed on the debt or guaranteed repayment of the debtLegal action can only be threatened or stated to a debtor if:* The creditor has previously approved, in writing to the collector, legal action for this debtor The debtor promised the collector they would pay the debt but have not done so The debtor is making excuses for not paying the debt and the collector knows the debtor is lying The debtor has no obvious reason not to pay the debtA collector may call a debtor’s employer to:* Request an agreement to garnish a debtor’s wages Confirm the debtor is employed there and to obtain the debtors title and work place address Show a debtor that they can’t hide from their responsibility to pay the debt Let other people know that the debtor is not paying their billsCollection calls can be made on BC Statutory holidays anytime during the day until 9pm each evening.* False TrueWho does NOT need a debt collection licence issued by Consumer Protection BC?* Collection agencies located outside of BC collecting into BC Collection agencies located outside of BC collecting outside BC Debt buyers collecting their purchased debts Collection agencies located in BCA collector does not know who the original creditor of an assigned debt was but does provide the debtor with an account number of the debt. Can the collector attempt to collect the debt?* No YesA debtor has provided a valid email to a creditor. The collector has not yet provided written notification to the debtor. The collector wants to contact the collector by phone instead of email, can they do this?* Yes NoA collector who has a home address of a debtor may only call the debtor before sending out the Section 115(1) initial notice if:* The collector has actual reasons to believe it is not correct All of these The address is from 3 years ago or longer The debtor has a reputation of lying to other collectors The collection agency usually only sends the initial notice by email so the email is neededA collector is unsuccessful in contacting a debtor by email which is the only contact info they have for the debtor. The collector wants to call the debtor at work to obtain the debtor's home phone number. Is this allowed?* No YesA collector has an email address for a debtor but wants a telephone number as well, which the debtor has refused to provide. Can the collector call a family member or neighbour in an attempt to obtain the number?* Yes NoHow many notices must a debtor be sent by a collector intending to sue on a debt assigned to the collector?* Three One None TwoWhat could happen if a collector does not notify a debtor that the collector intends to sue the debtor for recovery of a debt?* The debtor could use the failure to provide the required notice as a defense to the action The collector is prohibited from bringing the proceeding The proceeding could fail in court All of theseMust a creditor collecting its own debt give notice to a debtor that a proceeding may be brought against the debtor to recover the debt before bringing such an action?* No YesCould a collector threatening a debtor with debtor's prison if a debt is not paid be charged with an offence under the Business Practices and Consumer Protection Act?* No YesCan a collector threaten or actually inform a defaulting debtor that the collector will inform the debtor's other creditors of the default if the debt is not paid immediately?* Yes NoIf a debtor is called by a collector with such a frequency or in such a manner that it upsets the debtor, can the debtor end all future verbal communications with the collector?* Yes NoCan the director publish the name of a creditor against whom an action has been taken?* No YesA debtor has provided proof to a collector that they assigned themselves into bankruptcy several years ago, including all their debts, and was absolutely discharged from the bankruptcy. Can collector still attempt to collect on a discharged debt?* Yes NoA debtor in arrears is working out-of-country. Can their spouse, who has no liability for the debt, be used as a go-between to try to have the debt paid?* Yes NoWhat penalties would collectors who contravene any of the legislative provisions regulating debt collection practices expose themselves to?* Legal proceedings for damages or loss Licence suspensions Convictions of an offence Administrative monetary penalties All of these Licence cancellationsA debt is on its third assignment with a new collection agency. The previous agencies did not properly document accounting of the debt. The new agency cannot account for the increase in the debt since it first became due. What can it do?* Contact the previous agencies for enough information to prepare the accounting Any of these actions Contact the creditor and obtain sufficient information to prepare the accounting Not attempt to collect the debtA collector who was previously informed by the debtor to only communicate with the debtor in writing, wants to call the debtor and explain that legal proceeding in court may commence. Can the collector call the debtor?* Yes NoCan a debtor "call block" a collector so avoid future telephone calls from the collector?* Yes No Not governed under the BPCP Act or Debt Collertion Industry RegulationCAPTCHA TweetShareSharePin0 Shares
