FDCPA Required Disclosures and Mini-Miranda Warning

Question 1

What is the primary purpose of the 'mini-Miranda' disclosure required by the FDCPA?

Accepted Answer

To inform consumers that the communication is from a debt collector attempting to collect a debt

Answer

To provide consumers with a list of their legal rights under state law

Answer

To notify consumers that their credit score will be affected by the collection

Answer

To obtain the consumer's written consent to continue communications

Question 2

Within how many days of the initial communication must a debt collector send a written validation notice if it was not included in the initial communication?

Accepted Answer

5 days

Answer

3 days

Answer

10 days

Answer

30 days

Question 3

Which of the following must be included in the written validation notice sent to consumers?

Accepted Answer

The amount of the debt and the name of the creditor to whom it is owed

Answer

The consumer's credit score at the time of default

Answer

A complete list of all debts the consumer owes to any creditor

Answer

The original purchase date of the product or service underlying the debt

Question 4

What must a debt collector disclose in every subsequent communication with a consumer after the initial contact?

Accepted Answer

That the communication is from a debt collector

Answer

The consumer's right to file a complaint with the CFPB

Answer

The name and address of the original creditor

Answer

The current interest rate accruing on the debt

Question 5

If a consumer disputes the validity of a debt in writing within 30 days of receiving the validation notice, what must the debt collector do?

Accepted Answer

Cease collection activities until verification of the debt is obtained and mailed to the consumer

Answer

Immediately remove the debt from the consumer's credit report

Answer

Transfer the debt back to the original creditor

Answer

Reduce the outstanding balance by 25% as a dispute accommodation

Question 6

The FDCPA validation notice must inform the consumer of their right to dispute the debt within how many days of receiving the notice?

Accepted Answer

30 days

Answer

15 days

Answer

45 days

Answer

60 days

Question 7

What is the legal consequence if a debt collector's subsequent communication 'overshadows' the validation notice?

Accepted Answer

It constitutes a violation of the FDCPA

Answer

The consumer is entitled to double the amount of actual damages

Answer

The collector must resend the validation notice within 5 days

Answer

The 30-day validation period is automatically extended to 60 days