Got Debt?

From FDP:

Congressman McCollum Sold Out Florida Consumers, Attorney General McCollum Dropped The Ball, And Now Candidate McCollum Says He Wants To Start Helping

Tallahassee, FL - The countless Floridians facing mortgage, credit card or other forms of debt during the current economic crisis should be concerned--very concerned-- by Republican candidate for governor, Bill McCollum.

Candidate Bill McCollum says he wants to protect Floridians who are facing mounting debt and growing bills after Attorney General McCollum dropped the ball. But Congressman McCollum pushed anti-consumer legislation for the banking and credit card interests that funded his campaigns and committees.

"After three years of dropping the ball, Candidate Bill McCollum is now calling for more power to go after abusive debt collectors," Florida Democratic Party Spokesman Eric Jotkoff said. "However, in Washington, Congressman McCollum pushed anti-consumer legislation for the special interests that funded him. Congressman McCollum went on to be well rewarded with campaign cash-a payoff for representing the special interests, not Floridians. He lined his campaign coffers at the expense of Florida consumers."

CANDIDATE McCollum Called For Greater Powers To Go After Abusive Debt Collectors AFTER ATTORNEY GENERAL MCCOLLUM Dropped The Ball

McCollum's Office Called For Broadened Powers To Go After Debt Collectors-But His Office Had "Not Opened A Single Investigation Despite A Flood Of Complaints." "Consumer advocates and lawyers say harassment - including threats - has surged as the economy tanked and people lost the ability to pay their bills." The Orlando Sentinel reported that McCollum "wants to broaden his power to go after debt-collectors - and his office is suggesting Sink's proposal" to grant the Department of Financial Services the power to regulate and punish debt collectors "would weaken the attorney general's ability to protect consumers." But "McCollum's office had not opened a single investigation despite a flood of complaints. Initially, McCollum's office said it had received more than 4,400 complaints last year but later lowered that number to roughly 2,400." The Office of Financial Regulation also received complaints but had not "fined or suspended anyone." (Orlando Sentinel, 01/25/10)

Jacksonville Lawyer Specializing In Consumer Law And Predatory Lending Found That McCollum Rarely Pursued Collector Cases. The Sun-Sentinel reported: "The Attorney General's Office can launch investigations against rogue collectors, but it focuses on companies that generate lots of complaints from consumers across the state. Laura Boeckman is a Jacksonville lawyer specializing in consumer law and predatory lending. She said she has found that the attorney general rarely pursues collector cases - something she attributes to a lack of resources. 'It would be great to see the AG go after more of these on their own,' said Boeckman, 'but given the current budget cuts the office has had, I don't see that happening soon.'" (Sun-Sentinel, 11/09/09)

Attorney General McCollum's Office Only "Generally Referred" Consumer Complaints To OFR, But Never Sent Official Notice. McCollum "said his office would begin taking complaints it receives from its consumer line and forwarding those items to OFR. Until now, staffers manning the hotline - or responding to consumer e-mails - generally referred the person to OFR but did not send that office any documentation." (Orlando Sentinel, 11/04/09)

Orlando Sentinel: "Onus On The Attorney General To Protect Consumers From Illegal Business Practices". The Orlando Sentinel reported: "Florida law puts an onus on the attorney general to protect consumers from illegal business practices. Mr. McCollum's predecessors, Republican Charlie Crist and Democrat Bob Butterworth, took on that responsibility with enthusiasm. (Orlando Sentinel, 07/06/08)

Candidate McCollum Is Running From Congressman McCollum's Record Of Pushing Anti-Consumer Legislation For Bank And Credit Card Contributors

Candidate McCollum Has "More Recently - Morphed Into Something Of A Consumer Advocate" As Voters Might Be Seeking A "Pocketbook Protector" For Their Governor- McCollum's "Record In Congress" Is Known For Different Agenda. The Sun-Sentinel reported: "Bill McCollum's current stint as Florida's attorney general is the latest stop in a three-decade political career that began with his 1980 election to Congress from Central Florida. Once known as a fiery social conservative, McCollum in Tallahassee has been mostly low-key. He has pulled together groups to fight gang violence, sought to crack down on child pornography and - more recently - morphed into something of a consumer advocate. ... In a state with the nation's fourth-highest foreclosure rate, double-digit unemployment and the first year-over-year population loss since 1946, economic woes could crowd out everything else" during the election. ... McCollum's record in Congress as a staunch social conservative ... might matter less to voters than having a 'pocketbook protector' for governor." (Sun-Sentinel, 08/23/09)

Congressman McCollum "Was Blistered By Consumer Groups" For Pushing Bankruptcy Law Changes From Banks And Credit Card Companies As He Took Contributions From Them. Earlier, while in Congress, Mr. McCollum was blistered by consumer groups for pushing bankruptcy-law changes for banks and credit-card companies as he took campaign contributions from them." (Orlando Sentinel, 07/06/08)

Congressman McCollum Pushed Legislation On Behalf Of Banking And Credit-Card Industries Who Wanted To Make It Harder For Borrowers To Discharge Their Debt In Bankruptcy. To "Campaign fundraising documents exposed by the Wall Street Journal show that McCollum heavily targeted banks and credit-card companies on whose behalf he has been promoting legislation to make it harder for borrowers to discharge their debts in bankruptcy." (St. Petersburg Times, 10/18/00)

Congressman McCollum Was Well Rewarded For His 'Anti-Consumer Credit Card Legislation. The Orlando Sentinel stated, "In 1998, Public Campaign (an open government group) gave McCollum its 'Golden Leash' award for accepting $373,857 in campaign cash from the banking and financial service industries while using his position on the Banking and Financial Services Committee and the Financial Institutions and Consumer Credit Subcommittee to promote anti-consumer credit card legislation." (Orlando Sentinel, 05/14/09)

DEBT INDUSTRY IS GROWING AND FLORIDANS ARE FACING A SURGE OF DEBT CHALLENGES

Debt Collectors Are In High Demand, Particularly in Florida Which Has "The Second-Highest Rate Of Credit Card Delinquencies In The Country." The St. Petersburg Times reported that debt collectors' "services are in sharp demand. Double-digit unemployment translates to surging delinquencies, particularly acute in places like Florida, which has the second-highest rate of credit card delinquencies in the country. Retailers, hospitals and credit card companies are all willing to turn to experts ... in trying to get bad debt off their books as painlessly as possible." (St. Petersburg Times, 11/29/09)

With Millions Of Americans In Debt, 'Secondary Debt' Industry Is Estimated To Be A $60 Billion Industry. Millions of Americans "find themselves saddled with debt they can't repay or can repay only with such difficulty it discourages them from even trying. Trying to collect these debts has become a big and fast-growing business with debts being packaged and sold, of-ten for pennies on the dollar, in financial instruments with a disturbing resemblance to the way subprime mortgages were packaged and sold off. The whole point of buying deeply discounted debt is that the buyers keep every dollar they collect. So-called secondary debt is now a $60 billion industry." (Naples Daily News, 12/02/09)