REGULATORY · USA
Connecticut orders cease-and-desist on debt collection
Change
The Connecticut Department of Banking issued a final order directing a respondent to cease and desist from alleged unlawful debt-collection practices on February 25.
Why it matters
The Department of Banking issued a final administrative order on February 25. The order directs the named respondent to cease and desist from alleged unlawful debt-collection conduct. The directive establishes a binding prohibition on the respondent's specified collection activities. The respondent is required to comply with the cessation directive under state banking authority.
Implications
- · The respondent must stop the specified debt-collection practices and alter operations that relied on those practices.
- · Compliance teams will need to document and verify cessation of the prohibited activities.
- · State banking regulators have an enforceable administrative directive they can monitor against the respondent.
Who is affected
- · Legal teams
- · Banks
What to watch
- · Order issued and effective date: February 25
Source
Topics
Law & Public Safety Regulatory Actions Compliance Finance & Banking Banking Regulation