WebRecon Feb 2023 Stats: The Red Sea

Quick analysis: The Red Sea

It may have happened once or twice over the years, I’m not even sure (and who has the time to go through all of those blog posts?) but even if so, it’s exceedingly rare. February 2023 saw every category in our famous consumer complaint grid turn red, meaning all TCPA, FDCPA and FCRA lawsuits were down from the previous month, the same month in the previous year, and year-to-date. And CFPB complaints were down in all three categories as well. It’s quite a sight to see.

While it’s still too early to draw meaningful trends out of the data for this year, it is notable that TCPA claims (-.8%) – which have been on a downward trajectory for the last couple of years – are running neck and neck with the first two months of 2022. And FDCPA claims (-23.5%) – which have been on a downward trajectory for several years – continue that pattern with way fewer suits than in the first two months of 2022. Even FCRA (-13.1%) which has been the only statute with a consistently growing number of claims is down by double digits over this time in 2022. And CFPB complaints are down too – a not-insignificant -23.5% YTD.

All in all, with so many things to be concerned about in the regulated industries we track complaints for, this is a moment worth celebrating. Probably a fleeting one though – so enjoy it while it’s here!

In other news, putative class actions represented 11.7% of FDCPA, 50.5% of TCPA and 2.9% of FCRA lawsuits filed last month. About 42% of all plaintiffs who filed suit last month had filed at least once before. And finally, Chicago-area attorney David J. Phillips has represented the most consumers in February (18) and YTD so far (35) in 2023.

Complaint Statistics:

5170 consumers filed CFPB complaints, and about 680 consumers filed lawsuits under consumer statutes from Feb 01, 2023 to Feb 28, 2023.

• 5170 CFPB Complaints
• 315 FDCPA, 37 Class Action (11.7%)
• 105 TCPA, 53 Class Action (50.5%)
• 383 FCRA, 11 Class Action (2.9%)

Litigation Summary (scroll down for CFPB data):

• Of those cases, there were about 680 unique plaintiffs (including multiple plaintiffs in one suit).
• Of those plaintiffs, about 284, or (42%), had sued under consumer statutes before.
• Combined, those plaintiffs have filed about 1835 lawsuits since 2001
• Actions were filed in 141 different US District Court branches.
• About 525 different collection firms and creditors were sued.

The top courts where lawsuits were filed:

• 36 Lawsuits: Georgia Northern District Court – Atlanta
• 35 Lawsuits: Illinois Northern District Court – Chicago
• 30 Lawsuits: Florida Middle District Court – Tampa
• 26 Lawsuits: Pennsylvania Eastern District Court – Philadelphia
• 24 Lawsuits: California Central District Court – Western Division – Los Angeles
• 22 Lawsuits: Texas Northern District Court – Dallas
• 19 Lawsuits: New York Eastern District Court – Brooklyn
• 19 Lawsuits: Minnesota District Court – Dmn
• 18 Lawsuits: Florida Middle District Court – Orlando
• 18 Lawsuits: Indiana Southern District Court – Indianapolis

The most active consumer attorneys were:

• Representing 18 Consumers: DAVID J PHILIPPS
• Representing 13 Consumers: ALLEN EDGAR ROBERTSON
• Representing 11 Consumers: SHAWN SHAWN JAFFER
• Representing 10 Consumers: MARY E PHILIPPS
• Representing 10 Consumers: YOUSSEF HUSSEIN HAMMOUD
• Representing 9 Consumers: PHILLIP WESLEY POOL
• Representing 9 Consumers: JOSEPH BRIAN ANGELO
• Representing 9 Consumers: KYLE W SCHUMACHER
• Representing 8 Consumers: NATHAN CHARLES VOLHEIM
• Representing 8 Consumers: ROBERT LEACH

Statistics Year to Date:
1524 total lawsuits for 2023, including:

• 658 FDCPA
• 822 FCRA
• 238 TCPA

Number of Unique Plaintiffs for 2023: 1425 (including multiple plaintiffs in one suit)

The most active consumer attorneys of the year:

• Representing 35 Consumers: DAVID J PHILIPPS
• Representing 24 Consumers: JOSEPH POWELL MCCLELLAND
• Representing 23 Consumers: ALLEN EDGAR ROBERTSON
• Representing 21 Consumers: MATTHEW THOMAS BERRY
• Representing 19 Consumers: PHILLIP WESLEY POOL
• Representing 19 Consumers: JOEL SPENCER HALVORSEN
• Representing 19 Consumers: MARY E PHILIPPS
• Representing 19 Consumers: SHAWN SHAWN JAFFER
• Representing 18 Consumers: ANTHONY PARONICH
• Representing 16 Consumers: NATHAN CHARLES VOLHEIM

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CFPB Complaint Statistics:

There were 5170 complaints filed against debt collectors from Feb 01, 2023 to Feb 28, 2023.

Total number of debt collectors complained about: 787

The types of debt behind the complaints were:

• 1576 Other debt (30%)
• 1322 I do not know (26%)
• 1084 Credit card debt (21%)
• 703 Medical debt (14%)
• 225 Auto debt (4%)
• 117 Payday loan debt (2%)
• 74 Mortgage debt (1%)
• 36 Private student loan debt (1%)
• 33 Federal student loan debt (1%)

Here is a breakdown of complaints:

• 2826 Attempts to collect debt not owed (55%)
• 977 Written notification about debt (19%)
• 479 Took or threatened to take negative or legal action (9%)
• 433 False statements or representation (8%)
• 361 Communication tactics (7%)
• 94 Threatened to contact someone or share information improperly (2%)

The top five subissues were:

• 1495 Debt is not yours (29%)
• 830 Debt was result of identity theft (16%)
• 610 Didnt receive enough information to verify debt (12%)
• 402 Debt was paid (8%)
• 344 Attempted to collect wrong amount (7%)

The top states complaints were filed from are:

• 581 Complaints: FL
• 539 Complaints: TX
• 462 Complaints: CA
• 429 Complaints: GA
• 233 Complaints: NY
• 219 Complaints: IL
• 180 Complaints: NC
• 179 Complaints: PA
• 164 Complaints: NJ
• 159 Complaints: OH

The status of the month’s complaints are as follows:

• 3869 Closed with explanation (75%)
• 765 In progress (15%)
• 450 Closed with non-monetary relief (9%)
• 65 Untimely response (1%)
• 21 Closed with monetary relief (0%)

This includes 5032 (97%) timely responses to complaints, and 138 (3%) untimely responses.