News Home
Quick Bites
News Archive
News Channel
Special Features
On AirNewsClassical
School Closings
WKSU Support
Funding for WKSU is made possible in part through support from the following businesses and organizations.


Levin Furniture

Meaden & Moore

For more information on how your company or organization can support WKSU, download the WKSU Media Kit.

(WKSU Media Kit PDF icon )

Donate Your Vehicle to WKSU

Programs Schedule Make A Pledge Member BenefitsFAQ/HelpContact Us
Economy and Business

Ohio receives failing grades in debt collections report
The Columbus Dispatch says the report criticizes the lack of a living wage.

National Consumer Law Center (NCLC) is a nonprofit organization that fights "for consumer justice and economic security for low-income and other disadvantaged people, including older adults, in the U.S."
Courtesy of National Consumer Law Center
Download (WKSU Only)
In The Region:

Ohio is coming under fire from the National Consumer Law Center for policies that allow debt-collectors and creditors to push Ohioans into poverty when they default on debt. 

The state got two "F" grades in the study. One was for protecting only the federal minimum of 75 percent of wages from garnishments to pay debts. The state also got a failing grade for protecting less than $450 in a bank account from seizure. 

Ohio got a "D" for its policy that allows vehicles valued at more than $3,450 to be repossessed. 

Mark Schiffman is a spokesman for Minneapolis-based debt collection agency ACA International. He says debt collectors are not the enemy of consumers— they are just doing their jobs.

Hear Schiffman's opinion on debt collectors

Other options:
Windows Media / MP3 Download (0:14)

“All we ask is that these laws and regulations around consumer debt collection are fair and balanced,” Schiffman said. “They have to be able to protect consumers, but they also have to be able to allow the collection of rightfully owed debt.”

 Ohio does protect $125,000 in home equity after a change in state law in March. Because of that, the state received a "B" in that category. 

Ohio’s overall score on the report was a “C,” along with 23 other states.

The Consumer Law Center wants Ohio and other states to do more to protect families' ability to meet their basic needs when faced with debt.

Under current policies, a minimum-wage worker would have to live on $235 a week after wages are garnished.

Linda Cook is the senior staff attorney at the Ohio Poverty Law Center in Columbus. She says Ohio needs to update its collection laws to fit the reality of the economy.

Cook on what the state should do
Other options:
Windows Media / MP3 Download

“Ohio needs to recognize that during these economic times— given the continued, high unemployment rate and the under employment rate and the fact that most new jobs are being created at lower wage levels— we need to be more realistic about the expectations we place on people for being self-sufficient,” Cook said.

The report suggests states, including Ohio, increase the share of someone’s wages that are protected from garnishment. It also wants states to change limits on vehicle values and bank accounts.

And debt collectors would be prohibited from seizing necessary household goods. Advocates say that without vehicles to get to work, debtors actually become less likely to repay.

The National Consumer Law Center is a nonprofit advocacy group. 

Listener Comments:

Strategic Defaulters in non real estate defaults are treated better than Involuntary Defaulters by the courts. Until this is fixed, things will only get worse.

Until Involuntary Default pleadings are accepted by the courts so judges can move to freeze all future interest rate charges, penalties and fees on a default, things will only get worse.

Likes Debt Suspension Rights on facebook, it's free.

Posted by: Debt Suspension Rights for Consumers, where are they? (California) on November 3, 2013 5:11AM
Add Your Comment


E-mail: (not published, only used to contact you about your comment)


Page Options

Print this page

E-Mail this page / Send mp3

Share on Facebook

Stories with Recent Comments

Pluto: The Browns split from Manziel is long overdue
Get Brock Osweiler from the Denver Broncos! He's fantastic and seems like a great person.

Democratic Senate hopeful P.G. Sittenfeld pushes for local gun control
That makes no sense at all... why not let cities determine driving codes as well? Maybe Cincy want's folks to drive on the left side of the road. What could go ...

Exploradio: Autism in the workplace
I would love to get more information re: Autism on The Town and other such programs in Northeast Ohio. Thanks!!

Human trafficking cases rise in Ohio
It is about time this is presented to proceed with a plan of protect our youth.And very necessary to inform communities through school, churches ...

Fermented food company aims to preserve Cleveland's farm-to-table movement
This is terrific! I make my own sauerkraut and consider it vital to good health. Well done, I wish you all success.

Ohio doctors get new guidelines for prescribing certain painkillers
I would gladly smoke pot to get off pain killers but its not legal.It would save the hassle of doctor visits for pill counts,pee tests,blood tests,driving to pi...

Ohio unemployment cuts are nearing a Statehouse vote
What about those that are laid off seasonally? My husband has been employed by the same company for 26 years and has been laid off (for the last 17) mid-Januar...

Ban on microbeads is a big step in fighting plastic pollution
What a bunch of liberal "so open minded their brains fell out" tree huggin yuppies. Professing to be wise they became fools.

Who's on -- and left off -- Ohio's medical marijuana task force?
Biggest joke everm these people are evil they know marijuana is harmless they rigged the polls last nov everypne kmows it

Dayton 'Black Lives Matter' protesters to appear in court today
Police to fast with the trigger finger and not the brain.A lot of police officers out here judge by color first instead of accessing the situation first. If a p...

Copyright © 2016 WKSU Public Radio, All Rights Reserved.

In Partnership With:

NPR PRI Kent State University

listen in windows media format listen in realplayer format Car Talk Hosts: Tom & Ray Magliozzi Fresh Air Host: Terry Gross A Service of Kent State University 89.7 WKSU | NPR.Classical.Other smart stuff. NPR Senior Correspondent: Noah Adams Living on Earth Host: Steve Curwood 89.7 WKSU | NPR.Classical.Other smart stuff. A Service of Kent State University