ACA CELEBRATES 75 YEARS
By Rosso, Anne | |
Proquest LLC |
Established in 1939,
U .S. consumers have long embraced the concept of "buy now, pay later." Though cash was king for many years, by the early part of the 20th century, consumers were regularly using charge cards and deferred-payment plans.
Additionally, while creditors had mainly been responsible for collecting their own debts until this point, third-party collection agencies started to spring up across the country, and soon the collection business was in high demand. Mail-order collection courses became popular as ambitious young men and women began to see the appeal of a career in collections.
As the collection industry grew, collection associations began to spring up on the
These groups established forwarding networks so agencies could send claims against consumers living in other cities to collectors in those cities. They fought for state legislation and established communities of collectors for both business and social activities. Most importantly, they elevated collectors' status in an environment in which some unscrupulous operators were making a bad name for the entire profession.
It didn't take long for PCA members to consider starting a national association that would provide a united front for collection professionals across the country. PCA members were a diverse and opinionated group, but they understood that a national association provided the opportunity to expand the forwarding network already established on the
At a joint convention of PCA and the
1939/40
ACA is launched with 273 members and less than
Aside from the association's membership directory, which is first released in
The first ACA convention is held in
1940/41
An association emblem is createdit is circular with an irregular edge, representing the edge of a coin, with a map of
The California Unit joins ACA, and votes to make a gift of
Association membership nearly doubles.
1941/42
President H. James Powsa organizes ACA units in the Midwest,
Membership increases to 634 with the addition of members from the
1942/43
President
The Membership Committee helps form the
1943/44
The ACA office moves from
President
ACA gains five new state units:
The board of directors authorizes King to make ACA a corporation.
Once again,
1944/45
ACA pushes a bill in
Membership tops 1,067, and the executive offices are so full that more office space is needed.
Paper shortages due to
1945/46
ACA searches for ways to cut costs in response to its
The business practices of ACA member
At the convention, a special meeting of the Grievance Committee convenes and CCC agrees to dismantle its franchise system, quit soliciting national clients and give ACA members preference when forwarding.
1946/47
President
Sanberg is determined to educate the public about collections. The committee writes up the ACA story and submits it to magazines, sends press releases to newspapers and creates a file of speeches for members to use when addressing their communities. A series called "The Collector and his Community" runs in Collector.
To help tackle ACAs deficit, the association forms a solicitation campaign. Thanks to member contributions, the deficit is gone by
1947/48
President
ACA changes its bylaws to make the entire Board of Directors a standing nominating committee, and to permit the convention attendees to make the final decision on election of officers.
1948/49
The Home Study Committee creates a 26-chapter course boasting 125 members' expertise. This is one of the first ventures that gets the membership excited about ACA.
When
1949/50
Executive Secretary
At this time, every state is represented by an ACA unit or individual member.
1950/51
Following the new American post-war ideal of bigger and better, ACA establishes a blueprint for its future. The five-year plan, "Operation Progress," contemplates membership advances through education and public affairs. It calls for ACA to host regional conferences around the country, create special divisions-commercial, professional and repossessionsorganize new units in
Additionally, Operation Progress directs ACA to establish an education program to teach members new and better ways of doing business. It also recommends hiring legal counsel for advice on association matters.
1951/52
In
ACA hires a full-time public relations director and establishes a
The board votes to discontinue bonding with the
1952/53
Due to increasingly cramped quarters, ACA organizes a building fund drive and raises more than
The first woman to hold national office in CAC-Thelma Ray Osborne of
1953/54
On
The Board of Directors reevalutes ACAs new self-bonding program, which had been put into place the year before. Many members speak out against it, and ultimately the board decides to require each member agency from nonbonded states to furnish a
1954/55
Bond Committee Chairman
ACA lobbies for better collection legislation in nine states.
The association's income increases
A historian position is created to research and document ACAs roots.
1955/56
ACA promotes collectors' services at various creditor conferences. ACA also creates a display booth featuring the motto "Relax and Live."
The Executive Committee decides to produce a film explaining the value of collectors to credit grantors and the general public.
The board votes to increase the base member dues to
1956/57
Executive Secretary
Charge It!, an ACA public relations film, is released as a marketing effort on behalf of member agencies.
1957/58
The Executive Committee moves for small ACA display booths to be used at unit meetings and conferences. Additionally, steps are taken to register the ACA name with the U.S. Trademark Office.
The Commercial Division boasts 223 members, while external promotion and national recognition move ahead at an encouraging tempo.
ACA establishes its first group insurance program-term life insurance.
1958/59
In an effort to improve its public relations efforts, ACA publishes the Creditors Collection Guide.
ACA creates the Women of ACA program, designed to encourage greater participation in association affairs by female members.
ACA launches a
1959/60
The first instructor training institute at
External promotion activities are successful-29 ACA advertisements appear in six nationwide publications.
By the close of the fiscal year, membership has grown to 2,216 offices, making ACAs convention in Hawaiithe first held outside the continental U.S.-quite a celebration.
1960/61
Executive Secretary
ACA places ads in trade publications promoting the use of member offices and 25 of them accept ACA material for publication.
An all-out push for ACAs schools program results in 19 schools held.
1961/62
ACA officers discuss forming a new corporation,
ACA's Executive Committee offers assistance to the
1962/63
With the newly created Repossession Division experiencing some early problems, President
The Executive Committee elects the first board for
1963/64
The 1963 edition is ACA's largest Directory, carrying the names of 2,218 member offices.
Hie association's group life insurance program covers a total of 939 lives, representing more than
ACA celebrates its silver anniversary at its convention in
1964/65
ACA changes the name-and focusof its degree program from Certified Collection Specialist to the International Fellowship of Certified Collectors.
ACA produces a state Model Licensing Act, designed as a guide for legislators to use when creating collection regulations.
Construction of an addition to ACA headquarters in
1965/66
ACA offers members professional liability group insurance, providing protection for a collector's innocent errors and omissions. Some 1,000 agencies take advantage of the new program.
1966/67
Hie
ACA moves into the electronic processing business with the Data Systemaca, introducing members to the benefits of computerized data processing. Twenty-one members sign up in the first year.
1967/68
In February, ACA launches national Pay Your Bills Week to inform the public of their obligations when using credit.
ACA approves hiring a representative in
ACA members find their collective voice in
1968/69
ACAs Board of Directors launches a new voluntary trade association called
ACA initiates education on the Consumer Credit Protection Act to protect credit grantor members' rights. The act requires every person granting consumer credit to disclose data showing the cost of credit before credit is even extended.
1969/70
ACA moves into a new association headquarters building at
The Commercial Division, now incorporated as the
For the first time in its history, ACA membership fails to show a net gain and instead shows a loss of nearly 100 members. More member collection agencies have been sold or absorbed this year than any other year in the association's history, and many of these agencies did not reapply under their new owners.
The board instructs the
1970/71
For the first time in 25 years, ACAs Code of Ethics is substantially revised. The revisions combine into one document the various operating policies the board established or approved during past years. The new code contains a much-debated requirement: all members must have separate trust accounts with sufficient funds to cover money owed to clients at all times.
ACA spends more of its total income on national and state legislative work than on any other single function.
ACA produces its first Techniques, Ideas and Procedures program: a set of four training cassettes with an accompanying workbook, Get with Collections.
1971/72
ACA engages in its first real battle over debt collection legislation in
The California Unit gives ACA its state legislative bulletin, Cred-Alert, which contains current information regarding state and federal creditors' remedies, legislative proposals, court decisions and executive rulings that affect both collectors and their clients.
1972/73
The Grievance Committee establishes a Compliance (later called Ethics) Committee. The function of this group is to convince members to voluntarily comply with guidelines, opinions and principles found in court decisions.
ACA becomes familiar with the Occupational Safety and Health Act, which took effect in 1971, and distributes
1973/74
The Board of Directors establishes the ACA Legal Defense program. The goal of the program is to assist members and nonmembers faced with lawsuits that, if decided adversely, might establish dangerous legal precedents that would have a detrimental effect on a significant number of members.
Buying, Budgeting and Borrowing, a series of six videotapes aimed at high school students, is produced and met with an enthusiastic response.
Hie Data Processing Division acquires a larger and faster computer, the GE 415, to improve service.
1974/75
ACAs student loan collection amendment is introduced, and National Legislative Council Chair
Although ACAs Data Processing Division is growing rapidly, some members begin to criticize the program, warning that ACA is getting into too many areas.
1975/76
ACA becomes aware of several preliminary federal law drafts regulating debt collection activities written by Rep.
ACA members are converting to the computerized Data Systemaca at a rate of more than six each month.
1976/77
ACA opens the newly completed second floor of ACA Center.
Tensions within ACA continue to mount as a sharp line divides those at ACA who approve of the Annunzio debt regulation bill and those who oppose it. After a long and intense debate, the ACA Board of Directors comes to a majority vote that ACA favors the bill. For the first time, ACA is on record in favor of supporting proposed national legislation regulating debt collection services.
ACA forms a political action committee, dubbed SAMPAC.
1977/78
The
ACA's GE computers are replaced by
1978/79
President
ACA continues to raise money to create and furnish a historical room for the lower level of ACA Center.
In light of the growth of Data Systemaca, the ACA Center staff now totals more than 90 full-time and parttime employees.
1979/80
President
Hie continually rising expense of running Data Systemaca reaches the point where it is operating in the red, even though a growing number of members are signing on.
1980/81
Hie ACA Board of Directors adopts Business Week as an official ACA public relations program. Additionally, President
ACA General Counsel
ACA members vote to assess themselves
1981/82
The Executive Committee raises the budget for soliciting contributions to ACAs Political Action Committee from
ACA conducts FDCPA seminars across the country and aggressively promotes its FDCPA compliance manual. Directors adopt new rules for the
ACA holds its first Committee of 100 meeting, an annual, invitation-only event.
1982/83
ACA holds its first major ACA Expo-a trade show for suppliers of products and services for ACA members-at its convention in
ACA operates at a deficit, foreshadowing a dues increase or additional expense cuts in the new fiscal year.
1983/84
ACA plays a key role in getting the Bell Telephone System to reduce its proposed long-distance information charge from
ACA creates the
Membership reaches an all-time high, shattering the 3,000 barrier for the first time.
ACA members debate the pros and cons of going cardless. Some say they will never give up their paper card files and trust the vagaries of unseen records on a computer, while other believe cardless offices are the wave of the future. The latter opinion wins within ACA, and the association's in-house system, which is based on cards and paper documents, must be redesigned-a long, expensive and tedious process.
ACA launches an effort to amend the FDCPA to require any attorney who collects debts on behalf of a client to follow provisions of the FDCPA.
1984/85
ACA holds a two-day
1985/86
ACA continues to back the FDCPA amendment to cover collection activities of attorneys just as it does collectors. Despite opposition from the
ACA launches itself into the effort to pass a federal law permitting the garnishment of federal employees' salaries.
The first
1986/87
The department also creates a new Scholar and Fellow Degree Program to recognize members who have successfully completed a specific number of ACA schools, both elective and required, and who earn an appropriate number of credits.
To better identify ACA with its political action fund, the name is changed to American Collectors Political Action Committee, ACPAC.
ACAs Data Division struggles to return a profit. Part of the problem is competition from outside data processing services, but a larger issue is the slowness with which ACA develops new in-house systems, leaving the field open for rivals.
1987/88
ACA continues to garner endorsements from associations, chambers of commerce and credit grantors for its work to gain passage of a salary garnishment bill.
Data Systemaca gains some stability, and in April and May shows the first back-to-back profitable months in nearly three years. Many attribute this success to the sales of the new in-house PC networking system.
ACA hosts a record number of schools, attended by a record number of members.
1988/89
A newly appointed Insurance Committee begins putting together an ACA program that would offer members new group hospitalization and health programs.
ACA begins to search for a new owner and manager for Data Systemaca, much to the disappointment of the member offices currently using the data services.
1989/90
ACA celebrates its 50th anniversary at the Annual Convention, held
ACA creates the Affiliate Membership program for collection industry vendors.
Attendees get the first look at ACAs new computer-based training program, allowing members' employees to learn about telephone collection techniques and the FDCPA through their computers.
Due to slipping profits, Data Systemaca is sold to
1990/91
ACA creates the Check Services Program because the business of check verification, guarantee and recovery differs significantly from traditional debt collection. Before the year is out, CSP conducts six regional seminars on check recovery, distributes a newsletter featuring trends and legislation affecting the industry, and produces two manuals covering the industry and state civil penalties for returned checks.
ACA replaces its outdated computer system with IBM AS/400 minicomputers, a conversion that requires reprogramming and retraining.
1991/92
ACA voices its opposition to a telecommunications bill that would make it illegal for "any person in
Although intended to protect consumers from unwanted solicitations, as written, the bill would prohibit the use of most predictive dialing systems with prerecorded "hold" messages that play when a consumer cannot immediately be connected to a collector. ACA leads the national effort to successfully amend this bill and helps to write the
ACA introduces American Collectors & Communication, a new program designed to save members money on their long-distance telephone bills. By
1992/93
In August, ACA introduces the Integrated Communication Opportunity Network, a prospective interactive information service. The project is enormous and fraught with technical difficulties. Few members sign up for the initial services and no money is available for the expensive programming and ongoing research necessary for ICON to fulfill its goals. ICON is suspended after only a few months.
ACA creates the
1993/94
ACA begins working on a controversial new project, the launch and management of the
Also in
1994/95
The Executive Committee accepts the recommendation that ACA undergo a complete identity redesign, updating its logo and corporate design. This will be only the second time since the creation of ACA that the emblem has been changed.
IBA abruptly announces its termination of ACAs management contract.
ACA introduces the Government Services Program to assist member agencies that specialize in collecting federal, state and municipal government accounts.
ACA has its strongest financial year in history.
1995/96
ACA unveils its new website, ACA On-Line, which allows members to communicate via e-mail, exchange files electronically and access the Internet.
Recognizing the importance of their attorneys becoming better educated on the provisions of the FDCPA, the Board of Directors creates the Members' Attorney Program. While initially met with some skepticism, MAP is successful and boasts rapid growth.
After 41 years of service,
1996/97
ACA succeeds in amending the FDCPA-only the second time the FDCPA has been amended since it became a law in 1977. The amendment limits the mini-Miranda disclosure to the initial written or oral communication, rather than requiring it in all communications.
MAP completes its first year, enlisting more than 450 members attorneys.
1997/98
ACA establishes the creditor membership-albeit with some controversy-to help increase the number of individuals enrolled in the program. It also acts as a resource for insight into the types of products and services members need to better serve their clients.
In
Under ACAs guidance, the
1998/99
With the year 2000 right around the corner, ACA takes steps to make its computer system
ACA releases the first FDCPA CDROM training materials. The CD-ROM proves to be both entertaining and educational-it sells at a record rate.
ACA introduces the Licensing Service, which strives to help members get through the licensing process quickly and painlessly.
ACA also debuts its new Fastfax service.
1999/2000
ACA expands its successful creditor membership program into a new
ACA works to amend the FDCPA with new legislation, H.R. 3435. Thanks to ACAs efforts, the FTC issues its firstever advisory opinion on the FDCPA on
2000/01
ACA launches its Professional Practices Management System, a company certification program for collection agencies. The first PPMS training session is held
ACAs Board of Directors and Executive Committee approve new bylaws and SOPs.
The association and industry gear up for implementation of the Health Insurance Portability and Accountability Act of 1996. The new medical privacy regulations take effect
At ACAs request, several legislators propose amendments to the FDCPA, which would provide the collection industry relief from lawsuits that stem from alleged hypertechnical violations of the FDCPA.
ACA also launches the Collection Notice Review Process, which requires that members have all collection notices or letters reviewed by an attorney and approved by the
ACA establishes an International Unit, reflecting the association's geographically diverse membership.
2001/02
ACA officially changes its name from the
In September, more than 100 ACA members plan to attend ACAs national legislative conference, Washington Agenda, in
Almost immediately after
ACA achieves success on two of its four requested changes to HIPAA's Privacy Rule published by the
2002/03
The association dissolves its
HHS releases the final version to the Privacy Rule section of the HIPAA, which includes several ACA proposals.
ACA releases its first credit grantor collector training tool: Collecting From Your Customers: Telephone Collection Techniques for Creditors.
The association introduces ACA News Link, a weekly electronic newsletter for ACA members and prospective members.
2003/04
ACAs government affairs program undergoes many changes in 2003, including new staff, a market basket of issues that serve the association's priority action list, better coordination of ACPAC activities and ACAs government affairs objectives, and a recognition of the need to synchronize ACA's legislative priorities with
ACA works on legislation authorizing the
ACA and the
ACA debuts Campus ACA, the new name and structure of the association's educational services.
2004/05
ACA updates
ACA and the
2005/06
ACA launches its online State Tracking Action Network, which tracks bills that may affect the credit and collection industry.
The Asset Buyers Division replaces the Asset Buyers Program, opening up membership to important players in the debt purchasing market that previously did not have access within ACA's membership structure.
ACA releases a landmark study that demonstrates for the first time the value of the third-party collection industry to the U.S. economy. The report, Value of Third-Party Debt Collection to the U.S. Economy: Survey and Analysis, is authored by global advisory firm
ACAs Healthcare Services Program and Internet and Check Services Program combine their conferences.
ACA hosts its first targeted "fly-in," in which members visit
ACA members also begin grappling with the ramifications of the 2006 case, Foti v. NCO Fin.
2006/07
ACA develops the Healthcare Debt Collection, Servicing and PurchasingStatement of Guiding Principles. While not a mandatory requirement for membership, the principles demonstrate to lawmakers and regulatory authorities, the media, health care providers and the general public members' values and commitment to providing quality services.
ACA introduces Alliance ACA, a member-discount program offering special deals on telecommunications, office supplies, employee background screenings, shipping, car rental and more.
2007/08
The ACA Board approves an enhanced ACA Code of Ethics, which establishes new ethical conduct requirements to clarify and protect consumer rights and define collector responsibilities.
Thanks in part to ACA's efforts, the
ACA celebrates another legislative accomplishment when the FTC issues a formal advisory opinion in response to a request from ACA. This marks only the second time the FTC has issued an advisory opinion regarding the FDCPA. The opinion clarifies that the FDCPA permits collectors to inform a consumer that the collector has ceased attempting to collection debt.
Hie ACA Executive Committee decides to eliminate dues for the Internet & Check Services Program. The benefits of the program, previously available only to its members, are now provided to all ACA members.
ACA establishes an office in
ACA changes the name of
2008/09
The ACA Board of Directors votes to eliminate separate program fees for the Asset Buyers Division, Government Services Program and Healthcare Services Program. ACA members also see a dues adjustment, and the association aligns its fiscal year with the calendar year.
ACA purchases and remodels property located at
2009/10
ACA launches its social media presence with a Twitter stream, a Facebook page and a Linkedln page.
ACA and members of the collection industry experience a rare event on
CEO
2010/11
The Board of Directors amends ACAs Bylaws and Standard Operating Procedures to require contingent membership for collection agencies between ACA and its units.
The Executive Committee announces its decision to not renew Andersen's contract as CEO, and names ACA Senior Vice President
ACA releases The Path Forward: ACAs Blueprint for Modernizing America's Consumer Debt Collection System, which addresses the unnecessary impediments to effective, straightforward communications between consumers and debt collectors.
2011/12
The board approves bylaw amendments that significantly change the structure of ACA by eliminating the Executive Committee, reducing the size of the board and creating the new
On
ACA announces the results of an Ernst & Young survey, The Impact of Third-Party Debt Collection to the National and State Economies. According to the study, agencies returned
2012/13
ACA remains focused on engagement with the
ACA introduces The Hub, an online community for member discussions.
2013/14
Beginning with the 2014 membership renewal, ACA streamlines its complex dues structure to a new three-tiered model based on company employee count.
The board also votes to establish the Industry Advancement Program to aggressively pursue a proactive litigation, regulatory and state legislative agenda.
ACA works on a three-pronged (legislative, regulatory and judicial) strategy to reform the TCPA
In lieu of multiple fly-in events in
ACA celebrates its 75th anniversary at the annual convention in
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