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 anonymouslyYesNoName 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 .*FalseTrueThe 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.*FalseTrueWho can allege harassment due to the manner or frequency of communication with a collector?*None of theseA debtor's neighbourA debtor's family memberAll of theseA debtor's employerBefore being requested to pay, debtors must know:*Who the collector is and under what authority they are demanding payment of the debtThat the collector is located in BCAll of theseNone of theseWhat percentage of their payments go to the creditorAfter sending a written notice to a debtor of the assignment of the debt for collection, the collector must wait:*5 days before verbally contacting the debtorThere is no required waiting period14 days before verbally contacting the debtor24 hours before verbally contacting the debtor7 days before verbally contacting the debtorA debtor may agree to be contacted by the collector at their place of employment.*TrueFalseA debtor can compel a collection agency to contact them in writing only if:*Both of theseNeither of theseThe 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 useA collector can communicate with a family member or relative of a debtor if:*None of theseAll of thseThe debtor is unemployedThe debtor authorized the collector to do soThe debtor is unavailableA collector may only speak with a debtor's neighbour or relative if the collector has made 3 unsuccessful attempts to contact the debtor.*FalseTrueA reasonable amount of pressure can be applied to family and friends of debtors in order to have the debtor contact the collector.*TrueFalseUnless there is a history of dishonoured payments, a debtor must be allowed to make a debt payment using a cheque.*TrueFalseIt is acceptable to demand that a debtor submit written notice or payment via registered mail.*TrueFalseUnless a family member or friend of a debtor is a co-borrower or guarantor, they are not responsible for paying for the debt.*FalseTrueA collector may be required to show evidence that they believed the person they contacted to pay a debt was actually the debtor.*FalseTrueStating the collector's intent to bring or continue a legal proceeding for which no lawful authority exists would be considered:*A prohibited collection practice and possibly a deceptive trade practiceToo much pressure for a first-time debtorAcceptable practice for a debtor who is refusing to payNon payment of a contractual debt is a criminal offence and may result in 6 months imprisonment or a $10,000 fine.*FalseTrueA collector may refuse to give an uncooperative debtor their BC collection agent and employee licensing information.*FalseTrueA collector is able to automatically garnish a debtor's wages under the Business Practices & Consumer Protection Act.*TrueFalseIt is acceptable for a collector to identify themselves as someone other than a collector when trying to locate a debtor.*TrueFalseOnce a collector has confirmed that they are communicating with the debtor, the collector must immediately identify themselves as a collector.*FalseTrueIf a collector engages in a prohibited collection practice, can the debtor sue for any damages or loss that result from the prohibited practice?*YesNoWho can a debtor sue if the debtor has suffered loss or damage due to a prohibited collection practice?*BothThe collectorThe collection agentFor credit reporting purposes, which of the following events is used as the starting date for the 6-year maximum reporting period:*The date the debt was assigned to the collection agencyThe date the account first went into arrears under the terms of the credit agreementThe date of the last payment on the debtThe date when the debt arrears is first reported to a credit reporting agencyThe date the account is written off as uncollectable by the creditorA collector is assigned a purchased debt to collect. Must the collector know and inform the debtor of the name of the original creditor?*YesNoA debtor told a collector that their mother may help pay a debt. Can the collector call the mother to pursue payment?*NoYesWhen a collection agency begins to collect a debt:*The time limitation for collecting on the debt starts overThe debt is already so overdue that extra pressure is now OK to use on a debtor to make the debtor pay the debtThe time limitation remains unchanged and is still calculated from the date the debt first became past-dueA collector may call a debtor’s employer to:*Let other people know that the debtor is not paying their billsRequest an agreement to garnish a debtor’s wagesConfirm the debtor is employed there and to obtain the debtors title and work place addressShow a debtor that they can’t hide from their responsibility to pay the debtIf they are located outside of BC, debt collection employees are not required to be licensed in BC if they are only calling into BC.*TrueFalseBC's debt collection legislation applies to transactions, matters or things, regardless of whether they involve a consumer and or business.*FalseTrueUnder 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.*TrueFalseCan a collector attempt to collect a debt if the collector does not know who the original creditor was?*NoYesPrior to verbally contacting a debtor to collect a debt, a collector must provide written notification to a debtor that contains certain information about the debt. Which of the following MUST be included in the notice?*The employment status of the debtorThe name of the original creditorThe time allowed the debtor to pay the debtThe credit limit on the accountThe debtors cell phone number, if anyA 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?*NoYesA 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 collector has actual reasons to believe it is not correctAll of theseThe debtor has a reputation of lying to other collectorsThe address is from 3 years ago or longerThe collection agency usually only sends the initial notice by email so the email is neededA 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?*NoYesS.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?*Only 2 timesOnly 1 time3 times maximumAs many times as required0 timesAfter two way communication is established with a debtor, when must the collector identify themselves?*Only the identity of the collection agency is requiredNever unless the collector wants toBefore demanding payment of the debt involvedSometime before the end of the communicationImmediatelyDespite best efforts, a collector cannot reconcile the amount currently owing on a debt with the amount owed when the debt first became due and payable. What must the collector do?*Fudge the numbers so they seem credibleTell the debtor a breakdown will be provided laterAttempt to collect only the initial amount owing when the debt first became dueDo not commence any collection activity until a reconciliation has been doneDiscount the debt by 25% and attempt to collect that amountMust 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?*NoYesA 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.*FalseTrueCan 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?*YesNoCan the number of times a collector calls a debtor about a debt (call frequency) be considered as harassment of the debtor under the legislation?*NoYesThe 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?*YesNoHow long does an employee of a debt collection agency have to deposit payments received from debtors into the agency's trust account?*5 days10 days2 weeksUntil the end of the month in which it was receivedUntil the end of the following month in which it was receivedA 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?*YesNoThe 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 permittedToo high, maximum should be the bank prime rateOK if the rate is the industry norm for that type of debtUnlawful and therefore not permittedWhat collection cost(s) can a collector lawfully attempt to recover from a debtor?*None of these costsCosts of more than $50All of these costsCourt-ordered costsCosts incurred collecting debts in arrears of more than 2 yearsDefault costs set out in the lending agreementA 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?*YesNoCan a debtor "call block" a collector so avoid future telephone calls from the collector?*YesNot governed under the BPCP Act or Debt Collertion Industry RegulationNoDebtors may be contacted at their cell phone number if:*They provided it to the collectorThey provided it to the creditor and the collector does not have a land line number for the debtorThe debtor has a land line but requested to be called on their cell phoneAll of these
