FTC Closes Down Debt Collection Agency

As an advocate for consumers, I am always happy to see the government do something to prevent abuse of power. That said, the Federal Trade Commission closed down Rincom Debt Management last week, claiming that the agency made "bogus threats" against consumers. The FTC stated that Rincon threats included telling consumers that they had been sued and even could be arrested for debts...even those that they did NOT owe.

These are considered "unfair or illegal debt collection practices" (obviously) and it's refreshing to see the FTC making agencies like Rincon "play by the rules."