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 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 debt collector must be licensed in BC if they are contacting BC debtors from an office located in:* Canada Anywhere in the world BCWho can allege harassment due to the manner or frequency of communication with a collector?* All of these A debtor's neighbour A debtor's employer None of these A debtor's family memberA debt collector must notify a debtor in writing prior to:* Making the first collection call Going to their place of employment Freezing a debtor's bank accountAfter 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 debtor 14 days before verbally contacting the debtor 24 hours before verbally contacting the debtor There is no required waiting period 7 days before verbally contacting 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:* Neither of these The debtor submits the demand by email or letter and provides a mailing or emailing address where the debtor can be reached. Both of these The debtor provides a mailing address for the collector to useA 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.* False TrueIf there is no history of dishonoured payments, a collector must allow a debt to be paid by cheque or debit card.* False TrueIf a person informs a collector that they are not the debtor, the collector must:* All of these options None of these options Stop contacting the individual Make reasonable efforts to ensure that the person is the debtor before contacting the person again Give up on collecting the debtA collector may not state or threaten the possibility of a legal proceeding against a debtor if:* The collector does not already have the creditor's written authority The debtor has proven to be trustworthy 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:* A prohibited collection practice and possibly a deceptive trade practice Too much pressure for a first-time debtor Acceptable practice for a debtor who is refusing to payA 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.* 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.* True FalseNon payment of a contractual debt is a criminal offence and may result in 6 months imprisonment or a $10,000 fine.* True FalseIt is acceptable for a collector to identify themselves as someone other than a collector when trying to locate a debtor.* True FalseOnce a collector has confirmed that they are communicating with the debtor, the collector must immediately identify themselves as a collector.* True FalseWhen 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 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.* False TrueWho 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:* 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 debtor To determine from the person contacted where the debtor is employedA 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 told a collector that their mother may help pay a debt. Can the collector call the mother to pursue payment?* No YesIf a collector contacts a person about a debt they owe and the person says they are not the debtor, the collector:* Can keep calling until they are convinced the person is not the debtor Can try to convince the person that they do indeed owe the debt Must stop contacting the person and double-check the information they haveIf 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 circumstancesWhen a collection agency begins to collect a debt:* The time limitation for collecting on the debt starts over 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 debtParents or family of a debtor are responsible for the debt if:* the debtor is away on vacation and cannot be reached to collect the debt they co-signed on the debt or guaranteed repayment of the debt the debtor is acting irresponsiblyLegal action can only be threatened or stated to a debtor if:* The creditor has previously approved, in writing to the collector, legal action for this debtor The debtor is making excuses for not paying the debt and the collector knows the debtor is lying The debtor promised the collector they would pay the debt but have not done so The debtor has no obvious reason not to pay the debtCollection 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?* No YesMust 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 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 correct The debtor has a reputation of lying to other collectors All of these The collection agency usually only sends the initial notice by email so the email is needed The address is from 3 years ago or longerA 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 NoAfter two way communication is established with a debtor, when must the collector identify themselves?* Before demanding payment of the debt involved Sometime before the end of the communication Only the identity of the collection agency is required Never unless the collector wants to ImmediatelyDespite 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 credible Tell the debtor a breakdown will be provided later Attempt to collect only the initial amount owing when the debt first became due Do not commence any collection activity until a reconciliation has been done Discount the debt by 25% and attempt to collect that amountBefore contacting a debtor's employer to obtain certain information about a debtor, what must the collector have done first from the options provided (among other things)?* Obtained the employer's legal name and mailing address Reviewed the file with a lawyer Given notice to the debtor that the collector intends to bring proceedings to collect the debt None of these things Sent a similar request first to the registered corporate office of the employerCan 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 YesA 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?* Yes NoHow long does an employee of a debt collection agency have to deposit payments received from debtors into the agency's trust account?* 5 days 10 days 2 weeks Until the end of the month in which it was received Until the end of the following month in which it was receivedCan 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?* No YesA 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 father who guaranteed their son's car loan, which is now in default, has been contacted by a collector attempting to collect the loan. The father wants Consumer Protection to tell the collector to stop calling them. Is this possible?* 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?* No YesWhat collection cost(s) can a collector lawfully attempt to recover from a debtor?* All of these costs Costs incurred collecting debts in arrears of more than 2 years Costs of more than $50 None of these costs Default costs set out in the lending agreement Court-ordered costsA debt is on its third assignment with a new collection agency. The previous agencies did not properly document accounting of the debt. The new agency cannot account for the increase in the debt since it first became due. What can it do?* Not attempt to collect the debt Contact the creditor and obtain sufficient information to prepare the accounting Any of these actions Contact the previous agencies for enough information to prepare the accountingA 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?* 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 Yes
