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 Corporation Act Business Practices and Consumer Protection Act Bankruptcy and Insolvency Act Debtors Assistance 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 NoA debt collector must be licensed in BC if they are contacting BC debtors from an office located in:* Canada BC 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 family member All of these None of these A debtor's neighbourA 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 theseApart 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 TrueExcept 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 TrueUnless there is a history of dishonoured payments, a debtor must be allowed to make a debt payment using a cheque.* False TrueFor a credit agreement that is silent about interest charges on overdue amounts, a debtor is only responsible to pay:* Simple interest Court-ordered interest Compound interest Interested applied on the debt by the collector Interest applied on the debt by the creditorWritten 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 debtStating the collector's intent to bring or continue a legal proceeding for which no lawful authority exists would be considered:* Too much pressure for a first-time debtor Acceptable practice for a debtor who is refusing to pay A prohibited collection practice and possibly a deceptive trade practiceAt 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 may refuse to give an uncooperative debtor their BC collection agent and employee licensing information.* False TrueA collector is able to automatically garnish a debtor's wages under the Business Practices & Consumer Protection Act.* False TrueIt is acceptable for a collector to identify themselves as someone other than a collector when trying to locate a debtor.* True FalseWhen a collection agent purchases a debt:* 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 these The time period for reporting the debt on the debtor's credit report is reset to the beginningTo compensate for allowing a debt to default, a debtor must pay any reasonable collection costs a collector may incur while collecting or attempting to collect the debt.* 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.* True FalseFor 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 the account first went into arrears under the terms of the credit agreement The date of the last payment on the debt The date the debt was assigned to the collection agency The date the account is written off as uncollectable by the creditorA 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 Only once regardless of the number of late payments or when they are made Never Once each month that a payment is missedYou 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 expresses concern about the number of calls they are receiving from a collector, the collector:* Must ensure the frequency of calls is not excessive or unreasonable in the circumstances 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 cooperatingWhen a collection agency begins to collect a debt:* 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 debt The time limitation for collecting on the debt starts overParents or family of a debtor are responsible for the debt if:* they co-signed on the debt or guaranteed repayment of the debt the debtor is away on vacation and cannot be reached to collect the debt the debtor is acting irresponsiblyBC's debt collection legislation applies to transactions, matters or things, regardless of whether they involve a consumer and or business.* True FalseUnder the Business Practices and Consumer Protection Act, any agreement by the debtor to waive or release a debtor's rights under the Act and it's regulation is void.* False TrueA 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.* False TrueA 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 BC Statutory holidays anytime during the day until 9pm each evening.* False TrueMust a collector be able to account for any increase in the amount of a debt since it was first due and payable?* Yes NoA 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?* Yes NoA 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 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 TrueWhat 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 All of these The collector is prohibited from bringing the proceeding The proceeding could fail in courtMust 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 YesCan 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?* Yes NoCould 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 YesA 3rd party collector is identifying themselves to the debtor as the employee of a creditor and not as a debt collection agent. Is this allowed?* No YesCan 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 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 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 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 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?* Default costs set out in the lending agreement All of these costs Court-ordered costs Costs incurred collecting debts in arrears of more than 2 years None of these costs Costs of more than $50A collector wants to send the notice to a debtor to begin verbal collection activity. They do not have the debtor's home address or email. To get this information they call the debtor at home. Is this lawful since the initial notice has not been provided to the debtor?* Yes NoDebtors 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
