CFPB Monthly Report Shows Spike in Debt Collection Complaints in August

The CFPB issued its monthly report on consumer complaints this week. The report is a high level snapshot of trends in consumer complaints. Here are the big stories in this month’s report:

• The three products which continue to yield the highest volume of complaints on a three-month average are debt collection, credit reporting and mortgage. 
• While the number of debt collection complaints remains almost flat when compared to the same three-month time period for 2015, it’s worth noting that debt collection complaints picked up in volume in August, showing a 50% increase over July.
• For the second month in a row, student loans indicated the highest increase in change from last year– a 78% increase when compared to the same three-month period in  2015.  Similarly, payday loan complaints continue to show the greatest decrease from last year – an 18% decrease when compared to the same period for 2015; and
• With all the media reports concerning the Wells Fargo Consent Order, it will be interesting to watch whether complaints against Wells Fargo spike in the coming months and in what categories.  Currently, they are in the middle of “Top 10 Most Complained-About Companies according to this month’s report, checking in at Number 6 with approximately 1/3 of the complaints against them being attributable to bank account/services and credit cards.