Credit Card Collection Review Involves Several States

Iowa Attorney General Tom Miller's office is heading an investigation into credit card collection practices, specifically focusing on the paperwork banks give to debt buyers.

The probe is the second multi-state investigation Miller has led in recent years, following a review in 2012 of consumers who were wrongly foreclosed on, which resulted in a $25 billion settlement.

Additional details of the new investigation have not yet been released by Miller's office but spokesman Geoff Greenwood has suggested there will be a review of robosigning issues much like those in the mortgage industry. 

He also told Des Moines TV station ABC5, "What we are hearing, in many cases, is the paperwork that the banks provided the debt buyers may be incomplete, or the paperwork that the debt buyers may have presented to court to collect on that debt, is incomplete and the result is we have spotty paperwork and it is not accurate. This isn't just an Iowa problem, this is a national problem and that is what we are trying to address."

Miller was the lead attorney general in a 2012 multi-state investigation into mortgage foreclosure practices that resulted in a $25 billion settlement between state and federal regulators and several national mortgage lenders.