The bank(s) do not get involved once they assign a loan out to a third-party. The bank feels that after they assign it out, they are no longer responsible to service you. This is their rule of thumb. They always refer people to any third-party(s) involved. The Federal Government handling student loans (CRA) is notorious for this. They always advise borrowers to deal with their third parties.

If a complaint is drawn as a result of malfeasance, miscarriage - or total disregard of any statutes that govern their industry, then it would be to the best interest of the bank to terminate it's third-party service provider. In most cases, they simply do whatever is possible to sweep this dirt under the carpet and continue as if it were business as usual.

What puzzles me is that banks actually use third-party collection agencies. Privacy and protection of your personal information is something that is paramount, and bound by legislation and statute pertaining to their industry. However, once they hire a third-party collection agency, the potential for your personal information to be spilled out to your neighbor(s), emloyer/fellow employees, other unrelated creditors, landlord/mortgage holder, parents, siblings, in-laws, local post office, community corner stores, gas stations, and relatives is VERY high.

Banks and credit-related organizations continue to live in the 18th century. They have absolutely no concept about how to truly solve their own problems regarding risk management, relations, and productivity. Because of this, they are destroying the lives of people and businesses across the entire country. It is not an isolated problem. It is a national one.

Johnny

http://www.cfwgroup.ca/forum - www.cfwgroup.ca/forum

Johnny