CIP Skip Tracing & Debtor Location

Question 1

What is 'skip tracing' in the context of debt collection?

Accepted Answer

The process of locating a debtor who has moved without providing a forwarding address

Answer

Skip tracing is the practice of tracking down a debtor who has 'skipped' their known address without leaving updated contact information.

Question 2

Which federal law primarily governs how collectors communicate with third parties when seeking location information for a debtor?

Accepted Answer

The Fair Debt Collection Practices Act (FDCPA)

Answer

FDCPA Section 804 specifically regulates how debt collectors may contact third parties when acquiring location information about a debtor.

Question 3

In collections terminology, what does the term 'skip' refer to?

Accepted Answer

A debtor who has moved without leaving forwarding contact information

Answer

A 'skip' is industry slang for a debtor who has disappeared or relocated without providing updated contact details.

Question 4

Which of the following is a leading data aggregation platform used by collection professionals to locate debtors?

Accepted Answer

LexisNexis Accurint

Answer

LexisNexis Accurint is one of the foremost data aggregation platforms used in collections to locate debtors through public records and other data sources.

Question 5

What type of information do 'credit header' files typically contain that makes them useful for skip tracing?

Accepted Answer

Name, address, Social Security number, and date of birth

Answer

Credit header data refers to the identifying information at the top of a credit report — name, address, SSN, and DOB — which is frequently used to locate and identify debtors.

CIP - Collection Industry Professional Certification Practice Test

CIP - Collection Industry Professional Certification Practice Test

CIP Skip Tracing & Debtor Location