What is one of the key responsibilities of a licensed collections manager?

One of the key responsibilities of a licensed collections manager is to ensure compliance with debt collection laws and regulations. This role is vital in protecting both the agency and the consumers they interact with. A collections manager must be knowledgeable about federal and state laws related to debt collection, such as the Fair Debt Collection Practices Act (FDCPA) and relevant Michigan state laws. Ensuring compliance helps prevent potential legal issues and maintains ethical standards in the collections process.

By adhering to these laws, the collections manager can ensure that collection practices are not only effective in recouping debts but also fair and respectful towards the debtor, promoting a positive relationship between debtors and creditors. This responsibility also includes training staff on compliance issues and implementing policies that align with legal requirements, thus safeguarding the agency from penalties and preserving its reputation.