Consumer Law

Times Article: Robo-Signing Nothing New in Debt Collection

By Jeff Sovern

Here.  A memorable quote:

Analysts say that affidavit-signers at debt-buying companies appear to have little choice but to take at face value the few facts typically provided to them ? often little more than basic account information on a computer screen.

That was made vividly clear during the deposition last year of Jay Mills, an employee of a subsidiary of SquareTwo Financial (then known as Collect America), a debt-buying company in Denver.

?So,? asked Dale Irwin, the plaintiff?s lawyer, using shorthand for Collect America, ?if you see on the screen that the moon is made of green cheese, you trust that CACH has investigated that and has determined that in fact, the moon is made of green cheese??

?Yes,? Mr. Mills replied.

Given the volume of affidavits, even perfunctory research seems impossible. Cherie Thomas, who works for Asta Funding, a debt buyer in Englewood Cliffs, N.J., said in a 2007 deposition that she had signed 2,000 affidavits a day. With a half-hour for lunch and two brief breaks, that?s roughly one affidavit every 13 seconds.

Full post as published by CL&P Blog on November 01, 2010 (boomark / email).