Collector – June 2019 - 48

Pay Attention to Record Retention
State law may dictate how long collection documents and records must be maintained.

T

he business of debt collection
involves a lot of information, which
inevitably leads to questions about
record maintenance and retention. While
documentation may be critical to track the
record and history of accounts, payments
and communications, records in both
paper and electronic format can become
burdensome to manage and maintain as
information accumulates over time. This
begs the question: when is it safe for a debt
collector to purge its account files?
The Fair Debt Collection Practices
Act does not address how long certain
documentation must be maintained, but
several states have established record
retention requirements for debt collection
agencies that specify the storage method
and time period for which certain collection
records must be kept.
The requirements for retention vary
from state to state, and typically range
from 2-6 years. For instance, West
Virginia requires licensees to maintain
accounting records of collections and
payments for six years from the date of last
entry, whereas the state of Rhode Island
requires information to be maintained
for a minimum of five years following
the transaction. Washington requires
licensees to maintain accounting records
of collections and payments for four years
from the date of last entry. Tennessee sets
forth a shorter retention period and requires
licensees to retain individual records of
collections for a period of three years.
Some states require file retention beyond
just accounting and payment records. For
instance, Colorado requires a collection
agency to maintain summaries or records
of all communications with a consumer and
other individuals regarding an alleged debt
(such as a consumer's attorney, consumer
reporting agency, employer or people
contacted for skiptracing purposes) for two
years from the date of the communication.

48

Similarly, Illinois requires collection
agencies keep correspondence files that
include: copies of all correspondence
between the agency and creditor; copies of
correspondence between the agency and
consumer or other individuals (including
agency's attorney); and consumer payment
instructions. These files must be kept for one
year after closing an account.
New York City requires debt collection
agencies to maintain recordings of conversations
with all consumers (or alternatively, a randomly
selected sample of at least 5 percent of all
calls) for a one-year period.
Because state requirements may differ,
collectors need to be aware of and comply
with the document retention requirements
for the states in which they collect. To
assist in determining their compliance
obligations, ACA members should review
the ACA SearchPoint document, State Record
Maintenance Requirements, which was recently
updated with new information and provides
state retention laws and regulations.

Have you checked out ACA's member-only
SearchPoint library? ACA's SearchPoint
library is filled with documents that
put important compliance information
related to the FDCPA. FCRA, TCPA,
state laws and many other topics at your
fingertips. To access ACA SearchPoint, visit
acainternational.org/searchpoint.

Built for start-ups. Scalable for growth.
Demo.Collect-Cloud.com | Collect.org

ACAINTERNATIONAL.ORG


http://www.acainternational.org/searchpoint http://Demo.Collect-Cloud.com http://www.Collect.org http://www.ACAINTERNATIONAL.ORG

Collector – June 2019

Table of Contents for the Digital Edition of Collector – June 2019

President’s Page
Industry News
Best Practices
FYI
Collection Tips
Adapting to a New Environment
“Today agencies realize this is an opportunity to help the consumer.”
ACA International’s 2019 Convention & Expo
Close the Revolving Door
Calendar
Honor Roll
Education Spotlight
Ask the Experts: Small Talk
Growing into the Industry
Exploring STIR/SHAKEN
CFPB Releases Proposed Debt Collection Rule
Industry Advancement Program Helps Member Defeat FDCPA Claim in Ninth Circuit
ACA SearchPoint
Ad Index
Membership
Last Word
Collector – June 2019 - Cover1
Collector – June 2019 - Cover2
Collector – June 2019 - 1
Collector – June 2019 - 2
Collector – June 2019 - 3
Collector – June 2019 - Industry News
Collector – June 2019 - President’s Page
Collector – June 2019 - 6
Collector – June 2019 - 7
Collector – June 2019 - 8
Collector – June 2019 - 9
Collector – June 2019 - Best Practices
Collector – June 2019 - 11
Collector – June 2019 - FYI
Collector – June 2019 - 13
Collector – June 2019 - 14
Collector – June 2019 - 15
Collector – June 2019 - Collection Tips
Collector – June 2019 - 17
Collector – June 2019 - Adapting to a New Environment
Collector – June 2019 - 19
Collector – June 2019 - 20
Collector – June 2019 - 21
Collector – June 2019 - Close the Revolving Door
Collector – June 2019 - “Today agencies realize this is an opportunity to help the consumer.”
Collector – June 2019 - ACA International’s 2019 Convention & Expo
Collector – June 2019 - 25
Collector – June 2019 - 26
Collector – June 2019 - 27
Collector – June 2019 - 28
Collector – June 2019 - 29
Collector – June 2019 - 30
Collector – June 2019 - 31
Collector – June 2019 - 32
Collector – June 2019 - 33
Collector – June 2019 - Calendar
Collector – June 2019 - Honor Roll
Collector – June 2019 - Education Spotlight
Collector – June 2019 - 37
Collector – June 2019 - Ask the Experts: Small Talk
Collector – June 2019 - 39
Collector – June 2019 - Growing into the Industry
Collector – June 2019 - 41
Collector – June 2019 - Exploring STIR/SHAKEN
Collector – June 2019 - 43
Collector – June 2019 - CFPB Releases Proposed Debt Collection Rule
Collector – June 2019 - 45
Collector – June 2019 - Industry Advancement Program Helps Member Defeat FDCPA Claim in Ninth Circuit
Collector – June 2019 - 47
Collector – June 2019 - ACA SearchPoint
Collector – June 2019 - Ad Index
Collector – June 2019 - Membership
Collector – June 2019 - 51
Collector – June 2019 - Last Word
Collector – June 2019 - Cover3
Collector – June 2019 - Cover4
http://online.collector.com/collectormagazine/201910/
http://online.collector.com/collectormagazine/201909/
http://online.collector.com/collectormagazine/201908/
http://online.collector.com/collectormagazine/201907/
http://online.collector.com/collectormagazine/201906/
http://online.collector.com/collectormagazine/201905/
http://online.collector.com/collectormagazine/201904/
http://online.collector.com/collectormagazine/201903/
http://online.collector.com/collectormagazine/201902/
http://online.collector.com/collectormagazine/201901/
http://online.collector.com/collectormagazine/201812/
http://online.collector.com/collectormagazine/201811/
http://online.collector.com/collectormagazine/201810/
http://online.collector.com/collectormagazine/201809/
http://online.collector.com/collectormagazine/201808/
http://online.collector.com/collectormagazine/201807/
http://online.collector.com/collectormagazine/201806/
http://online.collector.com/collectormagazine/201805/
http://online.collector.com/collectormagazine/201804/
http://online.collector.com/collectormagazine/201803/
http://online.collector.com/collectormagazine/201802/
http://online.collector.com/collectormagazine/201801/
http://online.collector.com/collectormagazine/201712/
http://online.collector.com/collectormagazine/201711/
http://online.collector.com/collectormagazine/201710/
http://online.collector.com/collectormagazine/201709/
http://online.collector.com/collectormagazine/201708/
http://online.collector.com/collectormagazine/201707/
http://online.collector.com/collectormagazine/201706/
http://online.collector.com/collectormagazine/201705/
http://online.collector.com/collectormagazine/201704/
http://online.collector.com/collectormagazine/201703/
http://online.collector.com/collectormagazine/201702/
http://online.collector.com/collectormagazine/201701/
http://online.collector.com/collectormagazine/201612/
http://online.collector.com/collectormagazine/201611/
http://online.collector.com/collectormagazine/201610/
http://online.collector.com/collectormagazine/201609/
http://online.collector.com/collectormagazine/201608/
http://online.collector.com/collectormagazine/201607/
http://online.collector.com/collectormagazine/201606/
http://online.collector.com/collectormagazine/201605/
http://online.collector.com/collectormagazine/201604/
http://online.collector.com/collectormagazine/201603/
http://online.collector.com/collectormagazine/201602/
http://online.collector.com/collectormagazine/201601/
http://online.collector.com/collectormagazine/201512/
http://online.collector.com/collectormagazine/201511/
http://online.collector.com/collectormagazine/201510/
http://online.collector.com/collectormagazine/201509/
http://online.collector.com/collectormagazine/201508/
http://online.collector.com/collectormagazine/201507/
http://www.nxtbookMEDIA.com