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 NoAn individual's credit report may include information that is adverse to their interests for what maximum period of time?* 7 years 2 years 6 years 4 yearsA collector is a person who:* Collects or attempts to collect its own debts (as the original creditor) All of these options Collects and attempts to collect debts it has purchased Collects or attempts to collect debt owed to another personThe prohibited debt collection practices in the legislation are applicable to third-party collection agents as well as to creditors collecting their own debts and buyers of third party debts.* False TrueA debt collector may not communicate verbally with a debtor until the collector:* Knows that the debtor is employed full-time Sends written notice to the debtor Receives agreement in writing that they can contact the debtor Obtains a copy of the debtor's credit report and reviews it Knows that the debtor is employed at least 15 hours per weekA 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 useA collector can communicate with a family member or relative of a debtor if:* All of thse The debtor authorized the collector to do so None of these The debtor is unemployed The 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.* False TrueIt is a legislated requirement that a debtor's employer respond to a collector's inquiries about an employee.* True FalseOn a statutory holiday, a BC debtor may receive a collection call only if they have specifically requested to be contacted on that day.* True FalseIf there is no history of dishonoured payments, a collector must allow a debt to be paid by cheque or debit card.* False TrueIt is acceptable to demand that a debtor submit written notice or payment via registered mail.* True FalseIf a person informs a collector that they are not the debtor, the collector must:* None of these options All of these options Give up on collecting the debt Make reasonable efforts to ensure that the person is the debtor before contacting the person again Stop contacting the individualWritten 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.* True FalseA 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.* 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 FalseWhen a collection agent purchases a debt:* None of these The time period for reporting the debt on the debtor's credit report is reset to the beginning A licence is still required to collect the debt since the agent is not the original creditor The collection agent does not require a licence to collect the debt since it now owns the debtTo 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 FalseWho can a debtor sue if the debtor has suffered loss or damage due to a prohibited collection practice?* Both The collector The collection agentA debtor told a collector that their mother may help pay a debt. Can the collector call the mother to pursue payment?* Yes NoIf a debtor informs you that they are disputing the debt you are calling about, you:* Can demand to see the evidence that they have Must stop trying to collect the debt if the debtor informs you and the creditor in writing of the dispute Can still contact them about the debt until they actually go to courtIf 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 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 debtorLegal 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 debtor promised the collector they would pay the debt but have not done so The debtor has no obvious reason not to pay the debt The creditor has previously approved, in writing to the collector, legal action for this debtorOn a debtor’s credit report, a past-due account will:* Be visible for a set time period which re-starts each time the debt is transferred to a new collection agency Remain forever, until the debt is paid Be visible for a set time period that starts when the account becomes overdueThreatening to publish a debtor's failure to pay a debt in a manner generally accessible to the public constitutes harassment under the Act.* False TrueDebtors are not obligated to communicate with debt collectors if they are contacted at their places of employment.* True FalseA 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.* True FalseMust a collector be able to account for any increase in the amount of a debt since it was first due and payable?* No YesPrior 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 name of the original creditor The time allowed the debtor to pay the debt The debtors cell phone number, if any The employment status of the debtor The credit limit on the accountA 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 All of these The address is from 3 years ago or longer The debtor has a reputation of lying to other collectors The collection agency usually only sends the initial notice by email so the email is neededAfter 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?* 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 debt buyer collecting on a purchased 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 groupsHow many notices must a debtor be sent by a collector intending to sue on a debt assigned to the collector?* Two Three One NoneCan 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 NoCan 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?* 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?* Yes NoCan 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 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?* Yes NoA collector called the manager of a debtor at their work and demanded that the debtor take the call because a debt the employee has is in arrears and payment is required immediately to avoid a default. Is this permitted?* Depends on situation 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 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 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 NoA 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
