Privacy Protection & Ethical Practices Flashcards
7 cards from real CPC practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Privacy Protection & Ethical Practices flashcards as text
Under the FDCPA, which of the following constitutes a prohibited third-party disclosure?
Answer: Leaving a voicemail that mentions the debt to a shared household phone
Leaving a voicemail mentioning the debt on a shared line risks disclosure to unauthorized third parties, violating FDCPA privacy protections.
A collector learns that a debtor has filed for bankruptcy. What is the ethical and legal obligation?
Answer: Immediately cease all collection activity and refer the account to legal counsel
Upon learning of a bankruptcy filing, collectors must immediately stop collection activity due to the automatic stay provision of bankruptcy law.
Which practice best aligns with ethical data minimization principles in debt collection?
Answer: Retaining only the information necessary to collect the specific debt
Ethical data minimization requires collecting and retaining only information that is necessary and relevant to the specific collection purpose.
A debtor requests validation of a debt in writing within 5 days of initial contact. The collector must:
Answer: Cease all collection activity until validation is provided
Under the FDCPA, collectors must cease collection activity upon receipt of a written validation request until verification is mailed to the debtor.
Which scenario best represents an ethical skip-tracing practice?
Answer: Accessing public records and credit header data through permissible channels
Ethical skip tracing relies on permissible-purpose data sources such as public records and credit headers, not deception or unauthorized access.
What is the primary purpose of a cease-communication letter under the FDCPA?
Answer: To direct the collector to stop all further contact with the consumer
A cease-communication letter requires the collector to stop all contact except to notify the consumer of specific legal actions being taken.
When a collector discovers that a debtor's personal data was accessed by an unauthorized employee, the ethical response is to:
Answer: Notify affected individuals and appropriate authorities per breach protocols
Ethical and legal data breach protocols require timely notification to affected consumers and relevant authorities to mitigate harm.