Darren Waggoner

INDIANAPOLIS — Eli Lilly FCU will take a $26 million loss on default-prone loans to students enrolled at ITT Technical Institute, owned by ITT Educational Services, a for-profit college chain sued in February by the Consumer Financial Protection Bureau for alleged predatory lending practices.

Midland, Texas, is the latest in a growing number of cities proposing an ordinance that affects payday lenders, or credit access businesses.

JPMorgan Chase illegally won thousands of default judgments in credit card collection lawsuits by robosigning affidavits, according to a class action lawsuit filed in the U.S. District Court for the Southern District of Florida.

In 30 states and the District of Columbia, attorneys general are urging the Consumer Financial Protection Bureau to adopt new debt collection rules that will "better protect consumers and military service members."

A New Jersey appeals court ruled that debt buyers do not have to provide notice to consumers when debts are purchased and assigned but must prove they own the debt and the amount before they can collect. Further, electronic business records are sufficient for proof.

Unicredit America Inc., the Erie, Pa.-based collection agency that used a fake courtroom to coerce debtors to pay, could have to pay more than $1.2 million in penalties pending a ruling by Senior Erie County Judge John A. Bozza.

The operators of a Philadelphia-based telemarketing scheme will pay more than $7.5 million to settle FTC charges that they peddled bogus credit cards and illegally debited consumers’ bank accounts.

CFS II, a Tulsa, Okla.-based debt collection agency, is scouting offices in North Carolina to potentially open a call center with as many as 2,000 jobs, according to company officials.

A federal court has halted an online operation that allegedly debited consumers’ bank accounts without their consent when consumers visited the defendants’ Web sites seeking payday loans.

Minnesota Attorney General Lori Swanson's office on Thursday sued debt collection giant Encore Capital Group Inc. for allegedly using fraudulent "robo-signed" affidavits in lawsuits against consumers.

Bill Bartmann's fast rise and fall in the debt-buying industry is an epic tale that many thought ended nearly a decade ago. But Bartmann is determined to keep the story going.

The Federal Trade Commission has filed contempt charges against a promoter of credit repair and debt relief services and three of his companies, alleging that they continued their deceptive marketing practices in violation of a federal court order.

A Texas woman suing a collection agency claims it threatened to garnish her to collect on a delinquent account.

The Federal Trade Commission has mailed 1,410 refund checks totaling an estimated $2.3 million to consumers allegedly defrauded by Home Assure LLC, a so-called mortgage foreclosure rescue service.

The state of Washington's Department of Financial Institutions ordered Home Credit Law Center, a California mortgage loan modification firm, to stop operating in the Evergreen State.

Experian PLC this week unveiled a model to help lenders comply with the new Federal Reserve Board rule that requires issuers to consider only applicants' individual, not household, incomes.

Credit Collections Defense Network, a debt settlement business based in Chicago, is banned from doing business in West Virginia.

West Asset Management Inc., the debt collection unit of West Corp., has agreed to pay $2.8 million to settle charges it used aggressive collection methods that violated federal law, according to the Federal Trade Commission.

A fugitive debt collector from Buffalo, N.Y., has been captured near downtown Pittsburgh. Tobias W. Boyland faces 15 years in prison after his conviction on weapons charges last year.

Collectors increasingly are hounding consumers for unsubstantiated debt, according to a report issued Thursday by Consumers Union and the East Bay Community Law Center.