[Code of Federal Regulations]
[Title 45, Volume 4]
[Revised as of October 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 45CFR2506.13]

[Page 561]
 
                        TITLE 45--PUBLIC WELFARE
 
       CHAPTER XXV--CORPORATION FOR NATIONAL AND COMMUNITY SERVICE
 
PART 2506_COLLECTION OF DEBTS--Table of Contents
 
                      Subpart B_General Provisions.
 
Sec. 2506.13  How will the Corporation contract for private collection 
services?

    The Corporation uses the services of a private collection contractor 
when it determines that such use is in the Corporation's best interest. 
When the Corporation determines that there is a need to contract for 
private collection services, the Corporation:
    (a) Retains sole authority to:
    (1) Resolve any dispute with the debtor regarding the validity of 
the debt;
    (2) Compromise the debt;
    (3) Suspend or terminate collection action;
    (4) Refer the debt to the DOJ for litigation; and
    (5) Take any other action under this part;
    (b) Requires the contractor to comply with the:
    (1) Privacy Act of 1974, as amended, to the extent specified in 5 
U.S.C. 552a(m);
    (2) Fair Debt Collection Practices Act (15 U.S.C. 1692-1692o); and
    (3) Other applicable Federal and State laws pertaining to debt 
collection practices and applicable regulations of the Corporation in 
this part;
    (c) Requires the contractor to account accurately and fully for all 
amounts collected; and
    (d) Requires the contractor to provide to the Corporation, upon 
request, all data and reports contained in its files related to its 
collection actions on a debt.