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 AgencyThe debt collection provisions of the Business Practices and Consumer Protection Act apply only to transactions involving a consumer and do not apply to business-to-business transactions or debts .* True FalseA debt collector must be licensed in BC if they are contacting BC debtors from an office located in:* Canada BC Anywhere in the worldBefore being requested to pay, debtors must know:* That the collector is located in BC What percentage of their payments go to the creditor All of these None of these Who the collector is and under what authority they are demanding payment of the debtAfter sending a written notice to a debtor of the assignment of the debt for collection, the collector must wait:* 14 days before verbally contacting the debtor 5 days before verbally contacting the debtor There is no required waiting period 7 days before verbally contacting the debtor 24 hours before verbally contacting the debtorA debt collector may not communicate verbally with a debtor until the collector:* Sends written notice to the debtor Receives agreement in writing that they can contact the debtor Knows that the debtor is employed full-time Obtains a copy of the debtor's credit report and reviews it Knows that the debtor is employed at least 15 hours per weekA debtor must communicate with a debt collector if they are contacted at their place of employment.* 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 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 FalseIf there is no history of dishonoured payments, a collector must allow a debt to be paid by cheque or debit card.* True FalseUnless there is a history of dishonoured payments, a debtor must be allowed to make a debt payment using a cheque.* True FalseParents of a debtor may be contacted about a debt if:* Neither of these They guaranteed the debt which is in default The debtor lives with them Both of theseWritten notice must be provided by a collector to a debtor before starting a legal proceeding to recover that debt.* True FalseA 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 authorityNon payment of a contractual debt is a criminal offence and may result in 6 months imprisonment or a $10,000 fine.* True FalseA 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 FalseA collector is able to automatically garnish a debtor's wages under the Business Practices & Consumer Protection Act.* False TrueWhen 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 TrueA collector may charge an uncooperative debtor for the reasonable collection costs incurred by the collector while collecting the debt.* 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 YesWho can a debtor sue if the debtor has suffered loss or damage due to a prohibited collection practice?* The collection agent Both The collectorA collection agent may add interest to a debt when the debt is in arrears even if the credit agreement does not provide for interest:* Only for the time period the debt is in arrears Only on the amount of the debt that is in arrears Both of those Neither of theseA 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?* No YesPreviously, 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?* No YesIf a collector contacts a person about a debt they owe and the person says they are not the debtor, the collector:* Must stop contacting the person and double-check the information they have Can try to convince the person that they do indeed owe the debt Can keep calling until they are convinced the person is not the debtorIf 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 cooperatingOn a debtor’s credit report, a past-due account will:* Remain forever, until the debt is paid Be visible for a set time period that starts when the account becomes overdue Be visible for a set time period which re-starts each time the debt is transferred to a new collection agencyA collector may call a debtor’s employer to:* 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 debt Confirm the debtor is employed there and to obtain the debtors title and work place address Request an agreement to garnish a debtor’s wagesThreatening to publish a debtor's failure to pay a debt in a manner generally accessible to the public constitutes harassment under the Act.* False TrueCollection calls can be made on Sundays between 1pm and 5pm, local time for the debtor.* False TrueCan a collector attempt to collect a debt if the collector does not know who the original creditor was?* Yes NoA 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?* Yes NoA collector demands a fee to provide a debtor with a breakdown amount of an old debt. The debtor claims he must be provided with the information before the debt can be collected and with no cost. Who is right?* The collector The debtorA 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?* No YesAfter 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?* 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 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 owed Threaten the debtor with legal action if the debtor hangs up Identify themself and their authority to collect the debtAfter two way communication is established with a debtor, when must the collector identify themselves?* Immediately Sometime before the end of the communication Never unless the collector wants to Before demanding payment of the debt involved Only the identity of the collection agency is requiredA 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.* True FalseCan 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 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?* No YesUnder the Debt Collection And Repayment Regulation, what must an employee of a licensed collection agency do if the employee receives money from a debtor?* Calculate their commission on the payment and advise their employer accordingly Ensure the money is deposited directly into the collection agencies' trust account within 5 days of when the money was received Thank the debtor for the payment None of the 3 actions, All of the 3 actionsA 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?* No YesA 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 NoWhat collection cost(s) can a collector lawfully attempt to recover from a debtor?* Costs of more than $50 None of these costs All of these costs Court-ordered costs Default costs set out in the lending agreement Costs incurred collecting debts in arrears of more than 2 yearsA 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 NoA 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?* No YesCAPTCHATweetShareSharePin0 Shares
