Something Positive For A Change

Debt collectors can be evil.

The companies, which buy huge swaths of soured bills from lenders for pennies on the dollar, are deluging the courts with shoddy lawsuits, according to a review of debt collection lawsuits along with interviews with state judges and prosecutors.

As part of an effort to stamp out such practices, New York’s state attorney general, Eric T. Schneiderman, was expected to reach a settlement on Friday with a debt buyer, the Encore Capital Group, over concerns that the company filed thousands of flawed debt collection lawsuits against state residents, according to several people briefed on the matter who spoke on the condition of anonymity.