Consumer Credit Law Manual

The <i>Consumer Credit Law Manual</i> attempts to analyze, in one volume, "every conceivable credit

issue facing consumers," and it does not fall far short of reaching its goal. It was written by the

attorneys and advocates at the National Consumer Law Center. Those who have been following the

hearings and debates in connection with the Bankruptcy Review Commission and the recent

attempts to amend the Bankruptcy Code know that the attorneys at the National Consumer Law

Center have been indefatigable in their advocacy of the rights of consumers.

</p><p>The manual is designed for the needs of, and the use by, attorneys representing consumers and

debtors. It is not, strictly speaking, a bankruptcy treatise, but analyzes the laws and

regulations governing those transactions that change people from "consumers" to "debtors."

Moreover, the manual enables attorneys for consumers and debtors with the tools to take the

offensive against creditors, whether in the context of a claims objection in bankruptcy or in

foreclosure defense; in that sense, this manual would be required reading for anyone who seeks

to zealously represent people in those conditions.

</p><p>The manual offers 17 chapters covering everything from truth in lending to utility

termination issues. It also offers a "primary source pamphlet" that is small and light enough to

be carried around routinely. If I were representing consumers and debtors on a regular basis,

that would certainly accompany me in my briefcase, just in case I discovered an issue at a

meeting of creditors or confirmation hearing.

</p><p>I believe the manual is also a required publication for attorneys representing creditors who

are concerned about their particular compliance with the Fair Debt Collection Practices Act

(FDCPA). As creditors' attorneys qualify as "debt collectors" under the FDCPA, these attorneys

should be aware of whether the underlying transactions comply with the appropriate statutes

and regulations, and whether they are fairly enforceable. For example, an attorney undertaking

the continued representation of one particular creditor based upon one pre-printed retail

installment sales contract would be well-advised to independently ensure that the contract

complies with all applicable federal and state statutes and regulations. The <i>Consumer Credit Law

Manual</i> is a starting point for that analysis because it provides the creditors' attorney with a

detailed listing of common pitfalls that consumer advocates have detected. The manual,

therefore, is good at identifying the safe harbors built into the somewhat arcane and Byzantine

world of FTC regulations.

</p><p>The manual discusses in detail the federal Truth in Lending Act (TILA), which is the primary

federal consumer credit legislation. A creditor violating the TILA often faces significant

liability, since the creditor is liable even for technical or <i>de minimus</i> violations (although this

was somewhat limited by the 1995 amendments). As the case law cited by the manual

demonstrates, TILA violations are not uncommon and an attorney for a debtor asserting a TILA

defense can often hit the jackpot.

</p><p>The manual also analyzes, in depth, the common law, statutes and regulations regarding the

cost of credit, whether it be from interest, finance charges or fees. Although much of the law

regarding the cost of credit has been federalized through the National Bank Act and the

Depository Institution Deregulation and Monetary Control Act, which are discussed and

explained, the manual provides a detailed list of those instances in which state statutes or the

common law prevail.

</p><p>Also covered in the manual are state unfair and deceptive credit practices acts, utility

terminations, the Fair Credit Reporting Act, the Consumer Leasing Act, repossessions and

foreclosure defenses.

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