IQor was fined $500,000 for calling consumers with no debts and for not identifying on whose behalf they were calling.
Photo Credit: CBC

Collection agency fined after consumer complaints

One of Canada’s largest companies for collecting debts has been fined half a million dollars by the Canadian Radio-television and Telecommunications Commission (CRTC), a government tribunal that regulates broadcasting and telecommunications.

Several complaints were made about automated phone calls made by iQor Canada between October 2011 and February 2013.

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Robert Buisson in Laval, Quebec said the company called him at all hours of the day trying to collect on phone bill that was not his. © CBC

IQor called consumers who owed nothing

“They called consumers repeatedly who owed no debt at all or they called vulnerable consumers in dire financial difficulty at all hours and they didn’t identify on whose behalf they were calling,” said Andrea Rosen of the CRTC.

IQor has up to 60 days to appeal the fine.

Telecoms outsourcing collection

Calls from collection agencies have increased in the past decade, according to a consumer advocacy group. It seems telecom companies have outsourced their bill collection practices to save money.

In the past telecoms would work out payment schedules with consumers who were late paying their bills. They had an interest in keeping the client, whereas collection agencies are known for “harassing you,” said John Lawford of the Public Integrity Advocacy Centre. He thinks the phone companies should go back to doing their own collecting.

Minister aware of  “horror stories”

Canada’s industry minister said he was aware there were “horror stories” involving collection agencies and that it may be time to consider what the government can do to address consumers’ complaints.

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