Debt-collection agencies are reporting big losses, according to
The Wall Street Journal. For example, one agency owned by Chase lost $15 million in the last 90 days because their level of collections has dropped. People are tapped out and you can't squeeze blood from a turnip!
The Wall Street Journal also reports that as collectors are getting more desperate, they're also engaging in more illegal activity to try to get money. There are reports of collectors cussing at people and threatening them with jail or physical harm. One caller to the show even told us that a collector told her 7 year old, "Mommy is going to jail."
For more on the nuances of dealing with collectors,
see Clark's recent discussion of the issue.
