Collection Agents Bulletins
Collections Agents - Filing Requirement Reminder
May 4, 2022 - The FCAA is sending out a general reminder to all licensees with respect to their filing requirements under s. 27 of The Collection Agents Act.
As you are aware, it is a requirement of your licence as a collection agency that you provide the Registrar with your annual report, auditor-certified balance sheet and statement of profit and loss, no later than three months from the close of your fiscal year. Please be advised the Act does not provide our office with the discretion to consider extension requests. The provision of these documents is required by all licensed collections agents within the timeframes specified in the Act. If these requirements are not met, you may be in default under the Act, and are at risk of having your licence suspended or cancelled, subject to an opportunity to be heard.
The FCAA Annual report states:
- 27 Every licensed collection agent shall in each year cause to be prepared at the close of his fiscal year, a report on the affairs of the business of the collection agent for the preceding fiscal year, and a balance sheet of the business of the collection agent and a statement of profit and loss during the period covered by the report; and the report, balance sheet and statement of profit and loss shall be signed by the collection agent, certified by the auditor or auditors and forwarded to the registrar not later than three months after the close of the fiscal year to which they relate.
Further, s.17 and s.18 of the Act states:
Suspension or cancellation of licence
- 17(1) The registrar may suspend or cancel a licence upon any ground on which he might have refused to grant the licence or where he is satisfied that the licensee:
- (a) has violated any provision of this Act or has failed to comply with any of the terms, conditions or restrictions to which his licence is subject;
- (b) has made a material mis-statement in the application for his licence or in any of the information or material submitted by him to the registrar pursuant to section 19;
- (c) is guilty of misrepresentation, fraud, or dishonesty; or
- (d) has demonstrated his incompetency, unfitness, or untrustworthiness to carry on the business in respect of which his licence was granted.8
- (2) Where a bond filed under this Act is terminated, the licence of the collection agent shall automatically be suspended and shall remain so suspended until the collection agent files with the registrar a new bond in the amount and form required.
- (3) Where the licence of a collection agent is suspended or cancelled, the licence of all collectors of the collection agent shall be automatically terminated.
18 A person whose licence is cancelled is not entitled to a new licence until the expiration of one year after the cancellation.