CPC Privacy Protection & Ethical Practices 2

Question 1

Under the FDCPA, which of the following constitutes a prohibited third-party disclosure?

Accepted Answer

Leaving a voicemail that mentions the debt to a shared household phone

Answer

Leaving a voicemail mentioning the debt on a shared line risks disclosure to unauthorized third parties, violating FDCPA privacy protections.

Question 2

A collector learns that a debtor has filed for bankruptcy. What is the ethical and legal obligation?

Accepted Answer

Immediately cease all collection activity and refer the account to legal counsel

Answer

Upon learning of a bankruptcy filing, collectors must immediately stop collection activity due to the automatic stay provision of bankruptcy law.

Question 3

Which practice best aligns with ethical data minimization principles in debt collection?

Accepted Answer

Retaining only the information necessary to collect the specific debt

Answer

Ethical data minimization requires collecting and retaining only information that is necessary and relevant to the specific collection purpose.

Question 4

A debtor requests validation of a debt in writing within 5 days of initial contact. The collector must:

Accepted Answer

Cease all collection activity until validation is provided

Answer

Under the FDCPA, collectors must cease collection activity upon receipt of a written validation request until verification is mailed to the debtor.

Question 5

Which scenario best represents an ethical skip-tracing practice?

Accepted Answer

Accessing public records and credit header data through permissible channels

Answer

Ethical skip tracing relies on permissible-purpose data sources such as public records and credit headers, not deception or unauthorized access.

(CPC) Certified Professional Collector Practice Test