Fair Debt Collection: B.3.6 CFPB, Bulletin 2015-06: Requirements for Consumer Authorizations for Preauthorized Electronic Fund Transfers
This guidance summarizes current law regarding consumer authorization of preauthorized electronic fund transfers (EFTs) and discusses compliance with the Electronic Fund Transfer Act (EFTA), EFTA’s implementing Regulation E, and the E-Sign Act. Debt collectors, mortgage servicers, student loan servicers, and small dollar lenders frequently solicit preauthorized EFTs to make withdrawals from consumer accounts at regular intervals.