FDCPA Debt Collector Liability and Penalties 2

Question 1

Which government agency has primary rulemaking authority over the FDCPA for non-bank debt collectors?

Accepted Answer

Consumer Financial Protection Bureau (CFPB)

Answer

Federal Trade Commission (FTC)

Answer

Office of the Comptroller of the Currency (OCC)

Answer

Federal Reserve Board

Question 2

Can individual employees of a debt collection company be personally liable for FDCPA violations?

Accepted Answer

Yes, individuals who materially participate in violations can be personally liable

Answer

No, only the collection company as an entity can be sued

Answer

Yes, but only supervisors and managers

Answer

No, personal liability requires a separate tort claim

Question 3

A debt collector violates the FDCPA. The collector's defense is that it relied in good faith on FTC guidance. Is this a valid defense?

Accepted Answer

Yes, relying on FTC formal guidance can serve as a defense

Answer

No, ignorance of the law is never a defense under the FDCPA

Answer

Yes, any government guidance eliminates liability

Answer

No, only court decisions can serve as a defense

Question 4

What type of damages can a consumer recover under the FDCPA beyond statutory and actual damages?

Accepted Answer

Attorney's fees and court costs

Answer

Punitive damages up to $10,000

Answer

Treble damages on actual losses

Answer

Consequential damages for business losses

Question 5

A debt collector commits multiple FDCPA violations in a single collection letter. How many separate lawsuits can the consumer file?

Accepted Answer

One lawsuit covering all violations in the letter

Answer

One per violation contained in the letter

Answer

Unlimited suits as long as filed within one year

Answer

One per type of violation regardless of frequency

Question 6

Under the FDCPA, actual damages can include which of the following?

Accepted Answer

Out-of-pocket losses and emotional distress

Answer

Loss of future earning potential

Answer

Punitive awards for egregious conduct

Answer

Statutory penalties under state law