Latest news with #financialcrisis
Daily Mail
2 hours ago
- Business
- Daily Mail
States and cities where debt collection calls are surging
American households currently carry a record $18.2 trillion in debt, and delinquencies are rising. An unfortunate consequence is that unpleasant calls from debt collectors are also skyrocketing. Debt collection calls rose by more than 150 percent in the first quarter of the year compared to the same period last year, according to Federal Trade Commission (FTC) complaint data. Individuals may report debt collector calls to the FTC, the Consumer Financial Protection Bureau (CFPB) or their state's attorney general office. Americans living in Georgia have been the most inundated with these calls, with residents filing 80 complaints per 100,000 people, according to NumberBarn analysis . Atlanta was the worst hit city, with 6,500 complaints made for every 100,000 residents. Texas was the second worst hit state, with locals filing more than 18,000 complaints of debt collector calls - 62 for every 100,000 people. Experts claim the recent surge is down to both legitimate debt collectors ramping up efforts to claim back funds amid economic uncertainty , as well as scammers exploiting the situation by impersonating collectors. Dallas was the city flooded with the second most calls adjusted for population, followed by Miami. Although debt collection call complaints have been steadily rising for the last 10 years - averaging between 35,000 and 45,000 per quarter - the recent spike is notable. The biggest chunk of complaints are made by those aged 30 to 39, a group weighed down by more than half of the nation's student loan debt. This leaves Americans in that age bracket open to legitimate and fraudulent debt collection calls, experts warned. 'When it comes to debt collection, we're seeing a perfect storm right now,' Michael Boggiano, managing partner at Wealthcare Financial, told . 'The surge in complaints against collectors reflects both a rise in legitimate frustration and a rise in fraud.' The average American's debt is now $61,660, up $970 from a year ago, according to the New York Federal Reserve. That is more than four times the volume that were described as such in the same period of 2024. Experts from NumberBarn say that aggressive or threatening tactics could be a sign a call is a scam, as official debt collectors must follow certain regulations.
Daily Mail
2 hours ago
- Business
- Daily Mail
The states and cities where debt collection calls are surging
American households currently carry a record $18.2 trillion in debt, and delinquencies are rising. An unfortunate consequence is that unpleasant calls from debt collectors are also skyrocketing. Debt collection calls rose by more than 150 percent in the first quarter of the year compared to the same period last year, according to Federal Trade Commission (FTC) complaint data. Individuals may report debt collector calls to the FTC, the Consumer Financial Protection Bureau (CFPB) or their state's attorney general office. Americans living in Georgia have been the most inundated with these calls, with residents filing 80 complaints per 100,000 people, according to NumberBarn analysis. Atlanta was the worst hit city, with 6,500 complaints made for every 100,000 residents. Texas was the second worst hit state, with locals filing more than 18,000 complaints of debt collector calls - 62 for every 100,000 people. Experts claim the recent surge is down to both legitimate debt collectors ramping up efforts to claim back funds amid economic uncertainty, as well as scammers exploiting the situation by impersonating collectors. Dallas was the city flooded with the second most calls adjusted for population, followed by Miami. Although debt collection call complaints have been steadily rising for the last 10 years - averaging between 35,000 and 45,000 per quarter - the recent spike is notable. The biggest chunk of complaints are made by those aged 30 to 39, a group weighed down by more than half of the nation's student loan debt. This leaves Americans in that age bracket open to legitimate and fraudulent debt collection calls, experts warned. 'When it comes to debt collection, we're seeing a perfect storm right now,' Michael Boggiano, managing partner at Wealthcare Financial, told 'The surge in complaints against collectors reflects both a rise in legitimate frustration and a rise in fraud.' The average American's debt is now $61,660, up $970 from a year ago, according to the New York Federal Reserve. Delinquency is also rising on consumer debt, particularly on auto loans which now account for $1.6 trillion of debt. Michael Boggiano, managing partner at Wealthcare Financial, warned that scams are rising Miami residents have also been inundated with scam calls in the first quarter of the year The recent surge is down to both legitimate debt collectors ramping up efforts to claim back funds amid economic uncertainty, as well as scammers impersonating collectors Almost half of all the call complaints filed in the first quarter of the year were described as 'abusive, threatening or harassing.' That is more than four times the volume that were described as such in the same period of 2024. Experts from NumberBarn say that aggressive or threatening tactics could be a sign a call is a scam, as official debt collectors must follow certain regulations. Debt collectors are barred from using threat or profanity; from calling before 8am or after 9pm; from impersonating law enforcement or a government agency and from attempting to collect debts you do not actually owe. They must also identify themselves. If they evade questions about who their employer is, that could also be a sign the call is a scam.
The Independent
8 hours ago
- Business
- The Independent
Interim head appointed at university after damning report into financial crisis
A new interim principal has been appointed at the University of Dundee less than 24 hours after a damning report prompted his predecessor's resignation. Professor Nigel Seaton will take on the role on a short-term basis after Professor Shane O'Neill and two other senior officials at the university stepped down on Thursday. Prof O'Neill's departure was hastened by a report into the financial crisis facing the institution, which is struggling with a £35 million black hole. The report found management had 'failed' to 'properly respond to the worsening situation'. It identified Prof O'Neill, former principal Professor Iain Gillespie and ex-chief operating officer Jim McGeorge as a 'triumvirate' at the top of the institution who were believed by other staff to be making 'key university decisions'. In his resignation statement, Prof O'Neill said it was important for the university to be able to 'move on'. Prof Seaton – who served as principal and vice-chancellor of Abertay University between 2012 and 2022 – was previously the interim provost at Dundee University before taking the top job. He said he is 'honoured' to take up the position, adding: 'The university faces considerable challenges in its recovery from a difficult financial position, and from what I know has been a very difficult period for staff. 'I am ready to work with my colleagues and with the university court to set the university on its way to a sustainable and successful future. 'In all this, we should not lose sight of the things that make this university such a great place. 'Prime among those is graduation, and I look forward to playing a part in the ceremonies next week to celebrate the achievements of our wonderful graduates.' Dr Ian Mair, the deputy chairman of the university court, said he is 'grateful' Prof Seaton is willing to 'lend us stability at this challenging time'.
BBC News
8 hours ago
- Business
- BBC News
Charity regulator to investigate crisis-hit Dundee University
Scotland's charity regulator has launched an investigation into the running of the crisis-hit University of Dundee. The university's principal and two senior members of its governing body quit following a damning independent report into the institution's financial collapse and government at the Office of the Scottish Charity Regulator (OSCR) will now probe the governance of the university, which is a registered charity, in recent years. The university, which has apologised for its failings, plans to cut 300 jobs in a bid to address a £35m deficit. The report by the Scottish Funding Council (SFC), the University of Dundee's main funder, found that university bosses and its governing body failed multiple times to identify a worsening crisis and continued to overspend instead of taking said the problems were "self-inflicted" and it should have been clear to senior members of the university that its financial position "was worse than presented".The OSCR investigation will centre on the actions of these university bosses in their role as trustees of the charity. OSCR has the power to appoint its own trustees if it believes the governance changes now planned by the University of Dundee in the coming months are not up to scratch. It can also ban individuals from being trustees of other charities in Scotland. A statement issued by OSCR said the findings of the SFC's review "indicate that concerns remain about the governance" of the University of added: "That's why we are now opening an inquiry into this charity, so that we can better understand these matters of concern."We look forward to working with the university and its trustees, past and present, to determine whether regulatory action is required."The university is more than six weeks late in lodging its latest financial accounts with OSCR. What went wrong at Dundee University? The SFC report, led by Prof Pamela Gillies, found the main causes of the institution's deterioration included poor financial judgement from university bosses and weak governance from the university court, which is meant to hold senior management to report found that almost £40m of ringfenced money had been spent elsewhere and there had been "a lack of real action" to address an £8m "hole" due to a fall in international student said those in charge of the university's governance should have known well before November last year that there was a were numerous points where "a reasonable person" could have reached a judgement that the university's financial position was worse than presented, it said. The current principal Prof Shane O'Neill and two senior members of the university's governing bodies resigned as soon as the SFC report was O'Neill took over as interim principal in December but he was previously deputy vice was identified in the report along with former principal Prof Iain Gillespie, the chief operating officer and the director of finance as one of the university leaders who "did not cultivate a culture of openness and challenge at all levels".Prof Gillespie, who resigned as the university's principal in December, was said to have had an "overbearing leadership style" and a dislike of potentially awkward confrontations or report said he frequently demonstrated hubris - or excessive pride - in his role, which it said can lead to a contempt towards people who offer criticism - and an obsession with personal image and status. New interim leader appointed The University of Dundee has now appointed Prof Nigel Seaton as its interim principal and vice-chancellor on a short-term Seaton joined the university in May and previously ran Dundee's Abertay University. He said: "The university faces considerable challenges in its recovery from a difficult financial position, and from what I know has been a very difficult period for staff. "I am ready to work with my colleagues and with the university court to set the university on its way to a sustainable and successful future."In response to the funding council report, Dr Ian Mair, deputy chair of the university court, said: "It is evident from the report that there have been clear failings in financial monitoring, management and governance."I understand that this has been an extremely stressful time for staff and students and I offer my sincere apologies for all of the anxiety and uncertainty this situation has O'Neill said he was "truly sorry for the impact this financial crisis has had on many people, particularly our staff and students".The BBC has tried to contact Prof Gillespie for his response to the report.
Yahoo
8 hours ago
- Business
- Yahoo
Interim head appointed at university after damning report into financial crisis
A new interim principal has been appointed at the University of Dundee less than 24 hours after a damning report prompted his predecessor's resignation. Professor Nigel Seaton will take on the role on a short-term basis after Professor Shane O'Neill and two other senior officials at the university stepped down on Thursday. Prof O'Neill's departure was hastened by a report into the financial crisis facing the institution, which is struggling with a £35 million black hole. The report found management had 'failed' to 'properly respond to the worsening situation'. It identified Prof O'Neill, former principal Professor Iain Gillespie and ex-chief operating officer Jim McGeorge as a 'triumvirate' at the top of the institution who were believed by other staff to be making 'key university decisions'. In his resignation statement, Prof O'Neill said it was important for the university to be able to 'move on'. Prof Seaton – who served as principal and vice-chancellor of Abertay University between 2012 and 2022 – was previously the interim provost at Dundee University before taking the top job. He said he is 'honoured' to take up the position, adding: 'The university faces considerable challenges in its recovery from a difficult financial position, and from what I know has been a very difficult period for staff. 'I am ready to work with my colleagues and with the university court to set the university on its way to a sustainable and successful future. 'In all this, we should not lose sight of the things that make this university such a great place. 'Prime among those is graduation, and I look forward to playing a part in the ceremonies next week to celebrate the achievements of our wonderful graduates.' Dr Ian Mair, the deputy chairman of the university court, said he is 'grateful' Prof Seaton is willing to 'lend us stability at this challenging time'.
