HomeDebt collector exam If 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 .* False TrueIf 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 NoThe 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.* False TrueA collector is a person who:* Collects and attempts to collect debts it has purchased All of these options Collects or attempts to collect debt owed to another person Collects or attempts to collect its own debts (as the original creditor)A 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 Receives agreement in writing that they can contact the debtor Sends written notice to the debtor Obtains a copy of the debtor's credit report and reviews itAn acceptable reason to contact debtors at their place of employment is to:* Obtain a debtor's residential contact information Confirm a debtor's income Determine the frequency of the debtor's paydays None of theseA debtor can compel a collection agency to contact them in writing only if:* Neither of these Both of these 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 useIt 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 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.* True FalseIt 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 FalseA collector may be required to show evidence that they believed the person they contacted to pay a debt was actually the debtor.* False TrueWritten notice must be provided by a collector to a debtor before starting a legal proceeding to recover that debt.* True FalseA 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 FalseAt 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 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 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 FalseIf 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 collector The collection agent BothOne of only 2 reasons a collector can contact a debtor's family or acquaintances is:* To have the person contacted forward a message to the debtor To determine from the person contacted where the debtor is employed To determine if the person contacted will help pay the debt None of the reasonsA 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 theseRemembrance Day falls on a Sunday. When can a collector telephone a debtor?* Only between 11 a.m. and 9 p.m. Only after 11 a.m. until 5 p.m. Only between 1 p.m. and 5 p.m. None of these optionsIf 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 debtorLegal action can only be threatened or stated to a debtor if:* The debtor promised the collector they would pay the debt but have not done so 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 debtOn 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 agencyIf they are located outside of BC, debt collection employees are not required to be licensed in BC if they are only calling into BC.* False TrueThreatening to publish a debtor's failure to pay a debt in a manner generally accessible to the public constitutes harassment under the Act.* 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 into BC Collection agencies located outside of BC collecting outside BC Collection agencies located in BCMust 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?* Yes NoA collector has a debt to collect and wants to confirm an old home address in the collection file for the debtor to ensure it is still correct. Can they call the debtor at work to do so?* 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?* 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?* 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?* 3 times maximum Only 2 times Only 1 time 0 times As many times as 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 FalseMust 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?* Yes NoA collector who fails to provide a debtor with written notice that the collector intends to bring proceedings to collect a debt can be charged with an offence under the Act.* False TrueCould 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 YesIf 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?* 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?* No YesThe legislation allows a collector to attempt to contact a debtor at their place of employment under two very restricted circumstances. Does the law also require the debtor to communicate with the collector during either of these attempts?* No YesCan 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 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 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?* No YesThe 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 Unlawful and therefore not permitted Too high, maximum should be the bank prime rate OK if the rate is the industry norm for that type of debtA 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 YesDebtors 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 these
