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 AgencyDo debt collection agency employees performing collection functions from or into BC need a BC collector licence?* Yes NoWhat is the name of the legislation that governs debt collection activity in British Columbia?* Business Practices and Consumer Protection Act Business Corporation Act Bankruptcy and Insolvency Act Debtors Assistance ActThe time limitation on reporting adverse information on a debtor's credit report may be extended by the purchase of the debt by a collection agency or other third party.* True FalseWho can allege harassment due to the manner or frequency of communication with a collector?* A debtor's neighbour All of these None of these A debtor's employer A debtor's family memberA debt collector must notify a debtor in writing prior to:* Going to their place of employment Making the first collection call Freezing a debtor's bank accountA debtor must communicate with a debt collector if they are contacted at their place of employment.* False TrueIt 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.* False TrueA collector can communicate with a family member or relative of a debtor if:* The debtor authorized the collector to do so All of thse None of these The debtor is unemployed The debtor is unavailableApart from being authorized by the debtor to do so, the only reason a collector may communicate with a debtor's employer is to confirm the debtor's employment, business title and business address.* False TrueCollection calls can be made to BC residents on Sundays between 9am and 5pm.* 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 TrueParents of a debtor may be contacted about a debt if:* Both of these The debtor lives with them They guaranteed the debt which is in default Neither of theseWritten notice must be provided by a collector to a debtor before starting a legal proceeding to recover that debt.* False TrueA collector may not state or threaten the possibility of a legal proceeding against a debtor if:* The debtor has proven to be trustworthy The collector does not already have the creditor's written authority The debtor is unemployed or otherwise unable to pay the debtAt the beginning of a communication with a debtor, the collector must clearly identify themself to a debtor as a third-party collection agent.* False TrueA collector is able to automatically garnish a debtor's wages under the Business Practices & Consumer Protection Act.* True FalseOnce a collector has confirmed that they are communicating with the debtor, the collector must immediately identify themselves as a collector.* True FalseWhen a collection agent purchases a debt:* 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 debt A licence is still required to collect the debt since the agent is not the original creditor None of theseA collector may charge an uncooperative debtor for the reasonable collection costs incurred by the collector while collecting the debt.* True FalseWho can a debtor sue if the debtor has suffered loss or damage due to a prohibited collection practice?* Both The collector The collection agentFor credit reporting purposes, which of the following events is used as the starting date for the 6-year maximum reporting period:* The date the account is written off as uncollectable by the creditor The date when the debt arrears is first reported to a credit reporting agency The date the account first went into arrears under the terms of the credit agreement The date the debt was assigned to the collection agency The date of the last payment on the debtPreviously, 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 NoA debtor told a collector that their mother may help pay a debt. Can the collector call the mother to pursue payment?* No YesYou 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?* No YesIf 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 May increase the frequency of calls because the debtor is not cooperating Must ensure the frequency of calls is not excessive or unreasonable in the circumstancesOn a statutory holiday, a debtor or a debtor’s employer can only be called:* Never During regular business hours If the debtor or the debtor’s employer requests and pre-arranges a time to be contactedParents or family of a debtor are responsible for the debt if:* 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 debt the debtor is acting irresponsiblyOn 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 Remain forever, until the debt is paid Be visible for a set time period that starts when the account becomes overdueThe prohibited debt collection practices in the legislation are not applicable to third-party collection agents, creditors collecting their own debts or buyers of third party debts.* True FalseA collector must stop communicating with a debtor if the debtor notifies the collector to communicate with the debtor's lawyer and provides an address for the lawyer.* 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 FalsePrior 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 credit limit on the account The debtors cell phone number, if any The name of the original creditor The employment status of the debtor The time allowed the debtor to pay the debtA collector who has a home address of a debtor may only call the debtor before sending out the Section 115(1) initial notice if:* All of these The debtor has a reputation of lying to other collectors The collector has actual reasons to believe it is not correct The address is from 3 years ago or longer The collection agency usually only sends the initial notice by email so the email is neededAfter failing to communicate with a debtor at their home, a collector calls the debtor at work. The debtor, immediately upon learning the caller is a debt collector, hangs up the telephone. Can the collector call them back at work?* No YesS.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?* Only 2 times Only 1 time 3 times maximum As many times as required 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?* 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 NoA notice sent to a debtor under S. 121 of the Act that states the collector intends to begin action to recover a debt can be general in nature and not reference the debt(s) owed that would be subject of the proceeding.* False TrueCan 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 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?* Yes NoCan the director publish the name of a creditor against whom an action has been taken?* Yes NoCan a collector be sued by a debtor if the collector contravenes or acquiesces in a contravention of the Act or its Regulations that causes the debtor to suffer damages or a loss as a result?* Yes NoA debtor is refusing to answer collection calls from a collector. The collector has the debtor's daughter's telephone number. Can the collector call the daughter to discuss the debt?* No YesA 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 NoThe lending agreement for a debt that is in arrears is silent about interest being charged on the outstanding loan balance. The collector who was assigned the account suggests that 10.9% APR interest be added to the debt. Is this:* Reasonable and permitted Too high, maximum should be the bank prime rate OK if the rate is the industry norm for that type of debt Unlawful and therefore not permittedA debt collection agency employee located in Ontario has been assigned a debt for collection that is owed by a person living in BC. The agency is licensed in Ontario but not in BC. Does the Ontario agency require a BC licence to collect this debt?* Yes NoA 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?* Not attempt to collect the debt 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 accountingDebtors may be contacted at their cell phone number if:* They provided it to the collector They provided it to the creditor and the collector does not have a land line number for the debtor The debtor has a land line but requested to be called on their cell phone All of theseCAPTCHA TweetShareSharePin0 Shares
