Scotiabank has been ordered to pay over $30,000 after a B.C. debt collection investigation by Consumer Protection B.C. (CPBC).
CPBC said it opened a file on Scotiabank to investigate its debt collection practices.
A customer had complained that the bank was communicating with them after notifying collectors that they should only be contacted through a lawyer.
According to CPBC, despite asking them to stop more than once, the consumer was contacted more than 100 times by Scotiabank.
“In B.C., a consumer can tell a debt collector they can only contact them in writing or through a lawyer. They can also tell the collector to stop contacting them and take them to court if they don’t believe they owe the debt,” Louise Hartland, the director of public relations for CPBC, said in a statement.
The CPBC release suggests that Scotiabank will change its business practices and pay over $3,500 to cover the cost of the investigation. Scotiabank has also paid $33,900 into a consumer education fund following the investigation.
The investigation reveals a lot about a customer’s rights when it comes to debt collectors.
“BC consumers have rights when it comes to debt collection. Even if someone owes money, that doesn’t give the creditor the right to harass them, or to challenge them on a debt they don’t have,” Hartland said.
“Harassment in debt collection often looks like excessive contact or disrespectful language. Any threatening behaviour is considered harassment.”
CPBC is advising the public to keep a record of any contact debt collectors make.
“Strict rules govern when, where, and how often someone who owes a debt can be called. To stop the calls, the collector must be notified in writing,” CPBC says.
CPBC also has resources and guides for anyone who is struggling with debt collectors.