CRPA CRPA Collections & Debt Recovery

Question 1

Under the Fair Debt Collection Practices Act (FDCPA), which of the following is a prohibited debt collection practice?

Accepted Answer

Calling a debtor before 8 AM or after 9 PM local time

Answer

The FDCPA prohibits debt collectors from contacting consumers before 8 AM or after 9 PM local time.

Question 2

A debtor sends a written cease communication request. Under the FDCPA, which action is still permissible for the collector?

Accepted Answer

Notifying the debtor that collection efforts are being terminated

Answer

After a cease communication request, collectors may still send a single notice informing the debtor that collection efforts are being terminated or that specific remedies may be pursued.

Question 3

Which collections strategy prioritizes contacting accounts with the highest balance and oldest past-due status first?

Accepted Answer

Balance-weighted aging prioritization

Answer

Balance-weighted aging prioritization focuses collector effort on accounts that represent the greatest financial exposure based on both dollar amount and delinquency period.

Question 4

What is a 'skip tracing' process in the context of receivables collections?

Accepted Answer

Locating a debtor who has moved without providing updated contact information

Answer

Skip tracing refers to the investigative process of locating a debtor who has disappeared or failed to update their contact information.

Question 5

When should a receivables professional typically recommend sending an account to a third-party collection agency?

Accepted Answer

After internal collection efforts have been exhausted, typically 90–120 days past due

Answer

Best practice is to escalate to a third-party collection agency after internal efforts have been exhausted, commonly after 90–120 days past due.

CRPA - Certified Receivables Professional Practice Test

CRPA - Certified Receivables Professional Practice Test

CRPA CRPA Collections & Debt Recovery