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?* No YesAn individual's credit report may include information that is adverse to their interests for what maximum period of time?* 4 years 7 years 2 years 6 yearsWho can allege harassment due to the manner or frequency of communication with a collector?* A debtor's family member A debtor's neighbour None of these A debtor's employer All of theseThreatening to publish a debtor's failure to pay a debt, in a manner generally accessible to the public, is acceptable under the Act.* False TrueA debt collector may not communicate verbally with a debtor until the collector:* Receives agreement in writing that they can contact the debtor Knows that the debtor is employed full-time 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 debtorA debtor must communicate with a debt collector if they are contacted at their place of employment.* True FalseA debtor can compel a collection agency to contact them in writing only if:* The debtor provides a mailing address for the collector to use Both of these 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 theseIt is a legislated requirement that a debtor's employer respond to a collector's inquiries about an employee.* False TrueA collector cannot collect an amount that is more than the amount of the debt owed to the creditor.* True FalseFor a credit agreement that is silent about interest charges on overdue amounts, a debtor is only responsible to pay:* Interested applied on the debt by the collector Compound interest Interest applied on the debt by the creditor Simple interest Court-ordered interestA debtor's spouse is equally liable for a debt even if she or he is not named in the credit agreement.* True FalseA creditor may give a collector the authority to bring or continue a legal proceeding by:* Granting the authority in writing in each case Granting the authority in the collection agreement between the creditor and collection agent Both of these optionsStating 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 Too much pressure for a first-time debtor A prohibited collection practice and possibly a deceptive trade practiceNon payment of a contractual debt is a criminal offence and may result in 6 months imprisonment or a $10,000 fine.* True FalseIt is acceptable for a collector to identify themselves as someone other than a collector when trying to locate a debtor.* False TrueOnce a collector has confirmed that they are communicating with the debtor, the collector must immediately identify themselves as a collector.* 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.* False TrueThe complete assignment or sale of a debt requires any resulting collection activity to be performed only by a licensed collection agent and collector.* True FalseIt 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 TrueIf a collector engages in a prohibited collection practice, can the debtor sue for any damages or loss that result from the prohibited practice?* No YesA 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?* Only once for each late payment no matter when the late payment is made Once each month that a payment is missed Never Only once regardless of the number of late payments or when they are madeA collector is assigned a purchased debt to collect. Must the collector know and inform the debtor of the name of the original creditor?* Yes NoA debtor told a collector that their mother may help pay a debt. Can the collector call the mother to pursue payment?* No YesWhen 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 debtLegal action can only be threatened or stated to a debtor if:* The debtor has no obvious reason not to pay the debt The debtor is making excuses for not paying the debt and the collector knows the debtor is lying The debtor promised the collector they would pay the debt but have not done so The creditor has previously approved, in writing to the collector, legal action for this debtorA collector may call a debtor’s employer to:* Show a debtor that they can’t hide from their responsibility to pay the debt 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 billsBC's debt collection legislation applies to transactions, matters or things, regardless of whether they involve a consumer and or business.* True FalseDebtors are not obligated to communicate with debt collectors if they are contacted at their places of employment.* 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 FalseWho does NOT need a debt collection licence issued by Consumer Protection BC?* Debt buyers collecting their purchased debts Collection agencies located outside of BC collecting outside BC Collection agencies located in BC Collection agencies located outside of BC collecting into 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 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 collection agency usually only sends the initial notice by email so the email is needed The address is from 3 years ago or longer The collector has actual reasons to believe it is not correct The debtor has a reputation of lying to other collectors All of theseA debtor previously provided a valid email address to the creditor. The collector prefers a phone number so he may call the debtor. May the collector call the debtor at work to obtain a phone number?* 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?* 0 times Only 2 times 3 times maximum As many times as required Only 1 timeAfter reaching a debtor on their home telephone, the collector must do what as soon as the contact is established?* Identify themself and their authority to collect the debt and give the debtor details about the debt ownership and amount owed Be adaptive and do what the collector believes will result in payment of the debt Identify themself and their authority to collect the debt Threaten the debtor with legal action if the debtor hangs up Demand payment of the debtA 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 NoWho must give notice to a debtor that a legal proceeding will be brought to recover a debt?* All 3 groups A debt buyer collecting on a purchased debt None of the 3 groups A collector assigned a debt for collection owing to another person A creditor collecting its own debtWhat could happen if a collector does not notify a debtor that the collector intends to sue the debtor for recovery of a debt?* All of these The proceeding could fail in court The debtor could use the failure to provide the required notice as a defense to the action The collector is prohibited from bringing the proceedingCould 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?* Yes NoCan 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?* No YesThe best ploy to use to get an uncooperative debtor to take a collection call is to represent the call as coming from Prizes Section of the BC Lottery Corporation.* False TrueCan 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 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?* No YesA 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 NoA debtor is fired from their job because of repeated calls from a collector that required them to leave their work station for extended periods. Can the debtor bring a legal action against the collector for any damages or losses that resulted from their loss of employment?* Yes NoA 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?* 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?* Any of these actions Contact the previous agencies for enough information to prepare the accounting Contact the creditor and obtain sufficient information to prepare the accounting Not attempt to collect the debtCan 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
