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 AgencyWhat is the name of the legislation that governs debt collection activity in British Columbia?* Bankruptcy and Insolvency Act Business Practices and Consumer Protection Act Debtors Assistance Act Business Corporation ActIf a debtor agrees to pay for some or all of the costs incurred by a collector collecting or attempting to collect her or his debt, is the debtor bound by this agreement?* Yes NoWho can allege harassment due to the manner or frequency of communication with a collector?* All of these A debtor's employer A debtor's neighbour None of these A debtor's family memberBefore being requested to pay, debtors must know:* What percentage of their payments go to the creditor Who the collector is and under what authority they are demanding payment of the debt All of these That the collector is located in BC None of theseA debt collector may not communicate verbally with a debtor until the collector:* Knows that the debtor is employed at least 15 hours per week Obtains a copy of the debtor's credit report and reviews it Sends written notice to the debtor Knows that the debtor is employed full-time Receives agreement in writing that they can contact the debtorAn acceptable reason to contact debtors at their place of employment is to:* Obtain a debtor's residential contact information Confirm a debtor's income Determine the frequency of the debtor's paydays None of theseA collector may only speak with a debtor's neighbour or relative if the collector has made 3 unsuccessful attempts to contact the debtor.* True FalseA reasonable amount of pressure can be applied to family and friends of debtors in order to have the debtor contact the collector.* True FalseCollection calls can be made to BC residents on Sundays between 9am and 5pm.* False TrueUnless requested by the employer, a collector may not contact a debtor's employer on a BC statutory holiday.* True FalseUnless there is a history of dishonoured payments, a debtor must be allowed to make a debt payment using a cheque.* False TrueParents of a debtor may be contacted about a debt if:* They guaranteed the debt which is in default Neither of these Both of these The debtor lives with themIf a person informs a collector that they are not the debtor, the collector must:* None of these options All of these options Stop contacting the individual Make reasonable efforts to ensure that the person is the debtor before contacting the person again Give up on collecting the debtA collector may not state or threaten the possibility of a legal proceeding against a debtor if:* The debtor has proven to be trustworthy The debtor is unemployed or otherwise unable to pay the debt The collector does not already have the creditor's written authorityStating the collector's intent to bring or continue a legal proceeding for which no lawful authority exists would be considered:* Acceptable practice for a debtor who is refusing to pay A prohibited collection practice and possibly a deceptive trade practice Too much pressure for a first-time debtorA debtor who refuses to either pay a lawful debt or make a suitable payment arrangement enables the collector to contact the local police for assistance.* True FalseIt is acceptable for a collector to identify themselves as someone other than a collector when trying to locate a debtor.* True FalseWhen speaking with a debtor's family member or neighbour, a collector may identify themselves as someone other than a collector to avoid embarrassing the debtor.* True FalseWhen a collection agent purchases a debt:* A licence is still required to collect the debt since the agent is not the original creditor None of these The time period for reporting the debt on the debtor's credit report is reset to the beginning The collection agent does not require a licence to collect the debt since it now owns the debtThe complete assignment or sale of a debt requires any resulting collection activity to be performed only by a licensed collection agent and collector.* False TrueFor credit reporting purposes, which of the following events is used as the starting date for the 6-year maximum reporting period:* The date when the debt arrears is first reported to a credit reporting agency The date of the last payment on the debt The date the account is written off as uncollectable by the creditor The date the debt was assigned to the collection agency The date the account first went into arrears under the terms of the credit agreementA debtor contacted about an overdue debt immediately begins swearing at the collector. In retaliation, the collector swears back at the debtor. Is this acceptable under the legislation?* Yes NoA collector is assigned a purchased debt to collect. Must the collector know and inform the debtor of the name of the original creditor?* Yes NoYou have learned that a debtor will be home today to attend their brother's funeral. Since you cannot call them at work, can you call them at their home today?* Yes NoIf a debtor informs you that they are disputing the debt you are calling about, you:* Can demand to see the evidence that they have Can still contact them about the debt until they actually go to court Must stop trying to collect the debt if the debtor informs you and the creditor in writing of the disputeWhen a debtor has requested communication in writing only but has not responded to any of the letters sent to them by the collector,* The debtor is ignoring the fact that they have not paid their bill and the collector should start calling again The debtor can be sued for not answering collection letters The debtor is acting illegally The collector cannot begin to call the debtor againOn a debtor’s credit report, a past-due account will:* Be visible for a set time period which re-starts each time the debt is transferred to a new collection agency Be visible for a set time period that starts when the account becomes overdue Remain forever, until the debt is paidA 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 Let other people know that the debtor is not paying their bills Show a debtor that they can’t hide from their responsibility to pay the debtIf they are located outside of BC, debt collection employees are not required to be licensed in BC if they are only calling into BC.* False TrueDebtors are not obligated to communicate with debt collectors if they are contacted at their places of employment.* True FalseA collector does not require authorization from the debtor to communicate with a debtor's employer to confirm the debtor's wages, benefits or personal information related to collecting the debt.* False TrueCollection calls can be made on Sundays between 1pm and 5pm, local time for the debtor.* True FalseWho does NOT need a debt collection licence issued by Consumer Protection BC?* Debt buyers collecting their purchased debts Collection agencies located in BC Collection agencies located outside of BC collecting outside BC Collection agencies located outside of BC collecting into BCCan a collector attempt to collect a debt if the collector does not know who the original creditor was?* Yes NoPrior to verbally contacting a debtor to collect a debt, a collector must provide written notification to a debtor that contains certain information about the debt. Which of the following MUST be included in the notice?* The time allowed the debtor to pay the debt The employment status of the debtor The debtors cell phone number, if any The name of the original creditor The credit limit on the accountS.116(1) allows a collector to contact a debtor at work if unsuccessful contacting the debtor at their home; address, phone number or email. How many times can the collector attempt to communicate with an uncooperative debtor at work?* As many times as required Only 2 times Only 1 time 3 times maximum 0 timesA 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?* Yes NoAfter reaching a debtor on their home telephone, the collector must do what as soon as the contact is established?* Demand payment of the debt Identify themself and their authority to collect the debt Threaten the debtor with legal action if the debtor hangs up Be adaptive and do what the collector believes will result in payment of the debt Identify themself and their authority to collect the debt and give the debtor details about the debt ownership and amount owedHow many notices must a debtor be sent by a collector intending to sue on a debt assigned to the collector?* One Three Two NoneCan a collector acting for a certain creditor also act as a debt repayment agent for a debtor if the debtor owes money to that certain creditor?* No YesIf 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 number of times a collector calls a debtor about a debt (call frequency) be considered as harassment of the debtor under the legislation?* No YesCan 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 collector called the manager of a debtor at their work and demanded that the debtor take the call because a debt the employee has is in arrears and payment is required immediately to avoid a default. Is this permitted?* No Yes Depends on situationA small collection agency decides it would be easiest to only have 1 bank account for its business, mixing both funds collected from debtors and other company funds. Is this acceptable?* 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 cancellations Administrative monetary penalties All of these Convictions of an offence Licence suspensionsA collection agency purchased the arrears debt of a business that has closed. Many of the debts appear, on their face, to be statute-barred under the Limitations Act. Can the agency collect the debts anyway?* No YesWhat collection cost(s) can a collector lawfully attempt to recover from a debtor?* Default costs set out in the lending agreement Costs incurred collecting debts in arrears of more than 2 years Court-ordered costs All of these costs Costs of more than $50 None of these costsA collector does not have a debtor's home contact information. Is a collector allowed to contact a debtor's neighbour to request the debtor's home address, phone number or email?* Yes NoCAPTCHA TweetShareSharePin0 Shares
