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 collector is a person who:* Collects or attempts to collect debt owed to another person Collects or attempts to collect its own debts (as the original creditor) Collects and attempts to collect debts it has purchased All of these optionsThreatening to publish a debtor's failure to pay a debt, in a manner generally accessible to the public, is acceptable under the Act.* False TrueAfter 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 There is no required waiting period 5 days before verbally contacting the debtor 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:* Knows that the debtor is employed at least 15 hours per week Knows that the debtor is employed full-time Obtains a copy of the debtor's credit report and reviews it Receives agreement in writing that they can contact the debtor Sends written notice to the debtorA debtor must communicate with a debt collector if they are contacted at their place of employment.* False TrueA debtor can compel a collection agency to contact them in writing only if:* The debtor submits the demand by email or letter and provides a mailing or emailing address where the debtor can be reached. The debtor provides a mailing address for the collector to use Both of these Neither of theseA collector can communicate with a family member or relative of a debtor if:* The debtor authorized the collector to do so None of these The debtor is unavailable The debtor is unemployed All of thseApart 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 TrueIt is a legislated requirement that a debtor's employer respond to a collector's inquiries about an employee.* False TrueIt is acceptable to demand that a debtor submit written notice or payment via registered mail.* True FalseA collector cannot collect an amount that is more than the amount of the debt owed to the creditor.* True FalseUnless a family member or friend of a debtor is a co-borrower or guarantor, they are not responsible for paying for the debt.* True FalseIf a person informs a collector that they are not the debtor, the collector must:* Give up on collecting the debt Stop contacting the individual Make reasonable efforts to ensure that the person is the debtor before contacting the person again None of these options All of these optionsA collector who is not the original creditor or an employee of the original creditor contacting a debtor and presenting themselves as the creditor is acceptable.* True FalsePromising a debtor that derogatory credit information will be deleted from the debtor's credit report following full payment of a debt is acceptable.* False TrueAdvising a debtor that an unfavourable payment history will remain on their credit report for longer than 6 years from the date the payment was FIRST late or missed is misleading and contrary to the legislation.* False TrueA 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.* 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.* True FalseTo 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 TrueOne of only 2 reasons a collector can contact a debtor's family or acquaintances is:* To determine from the person contacted where the debtor is employed None of the reasons To determine if the person contacted will help pay the debt To have the person contacted forward a message to the debtorA 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?* 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 debtor expresses concern about the number of calls they are receiving from a collector, the collector:* May increase the frequency of calls because the debtor is not cooperating 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 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 contactedLegal action can only be threatened or stated to a debtor if:* The debtor is making excuses for not paying the debt and the collector knows the debtor is lying The creditor has previously approved, in writing to the collector, legal action for this debtor The debtor has no obvious reason not to pay the debt The debtor promised the collector they would pay the debt but have not done soThreatening to publish a debtor's failure to pay a debt in a manner generally accessible to the public constitutes harassment under the Act.* True FalseDebtors are not obligated to communicate with debt collectors if they are contacted at their places of employment.* 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.* True FalseCollection calls can be made on BC Statutory holidays anytime during the day until 9pm each evening.* True FalseMust a collector be able to account for any increase in the amount of a debt since it was first due and payable?* Yes NoA collector just received a debt to collect. They have both the debtor's old mailing address and a valid email address on file. Can the collector call the debtor to confirm the mailing address?* No YesA 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 YesA 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 NoA 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?* A collector assigned a debt for collection owing to another person None of the 3 groups A creditor collecting its own debt All 3 groups A debt buyer collecting on a purchased debtA 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 collector is prohibited from bringing the proceeding The debtor could use the failure to provide the required notice as a defense to the action The proceeding could fail in court All of theseCan 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 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?* Yes NoUnder 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 None of the 3 actions, Ensure the money is deposited directly into the collection agencies' trust account within 5 days of when the money was received All of the 3 actions Thank the debtor for the paymentThe 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 the director publish the name of a creditor against whom an action has been taken?* Yes NoA 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?* 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?* No YesA 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 collector only has a home 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?* No YesA 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
