Daily Digest - July 20, 2026

🎂 Happy birthday to: Jeremy Nixon of Frost-Arnett and Travis Bowley of Empereon Marketing and Constar Financial. Happy belated Birthday to: Richard Brown of Citi (July 18), and Daniel Parry of TruDecision Inc. (July 18).

NEW AI SURVEY

Have 90 seconds to help me out? Take this quick survey, sponsored by TCN, on how you are using AI, what you like about it, and what frustrates you.

New Digital Communications Report

The industry is optimistic. Placements are expected to climb. Consumers, it turns out, are more ready for digital than the businesses serving them.

New AI Event!

I am thrilled to announce a new live conference I am hosting. It’s an AI conference for the credit and collection industry. It will be held in Denver this September. Check out getbrainstorming.com for more information. And watch the video below to see me showcasing my outdoor skills.

If you are interested in being a speaker at the event, click here.

Warren Report Claims CFPB Rollbacks Have Cost Consumers $26.5 Billion as Vought Faces Senate Grilling

• Senate Democrats say the CFPB's overhaul has cost consumers $26.5 billion, and they dropped the number right as Russell Vought sat down for his oversight hearing. The Cato Institute calls the math "hopelessly oversimplified." The fight over these figures previews the oversight climate the next confirmed director will inherit.

• More details here.

A MESSAGE FROM TCN

TODAY’S WEBINAR

UPCOMING WEBINARS

Judge Dismisses FCRA Suit Against Furnisher Where Plaintiff's Own Complaint Proved the Investigation She Denied

• A Pennsylvania judge dismissed an FCRA suit after the plaintiff accused a lender of skipping an investigation while admitting, twice, that the lender verified her disputes. One paragraph of her complaint even named a different defendant and called her "he." Dismissed with prejudice, with a pointed word about candor.

• More details here.

Judge Dismisses FDCPA Class Action Accusing State Agency, Collection Attorneys of 'Zombie' Student Loan Scheme

• A Maine judge tossed a class action accusing a state agency and its collection counsel of running a "zombie" student loan scheme, ruling the agency can't be sued under the FDCPA and most claims against the attorneys were too late or too thin. A First Amendment claim over "confidential" court records failed too. A clean sweep for the defendants.

• More details here.

Medical Debt Distributed Unevenly Among Races, Study Finds

• Black Americans had unpaid medical debts sent to collections at nearly double the rate of white and Hispanic borrowers, according to a Berkeley analysis of 23 million credit reports. The surprise: the gaps come from how many people owe, not how much. Essential reading for anyone collecting in healthcare.

• More details here.

Capital One Releases Open-Source AI Security Tool That Hunts Vulnerabilities Before Hackers Do

• Capital One just open-sourced VulnHunter, an AI tool that thinks like an attacker to find exploitable code flaws before hackers do. Seven years after its landmark breach, the bank is positioning itself as a leader in AI defense, and raising the bar for what "reasonable security" may mean for everyone handling consumer data, including the ARM industry.

• More details here.

Renkim Introduces Direct Statement, Delivering a Frictionless Approach to Digital Consumer Communications

• Renkim has launched Direct Statement, a mobile-first channel that pairs the familiarity of a traditional statement with the immediacy of digital delivery. It slots into existing print, SMS, and email workflows for organizations in regulated industries looking to boost engagement without sacrificing compliance.

• More details here.

Compliance Digest – July 20

• The brightest minds in compliance are back to break down the week's biggest developments. Mike Frost on the N.J. Supreme Court's licensing ruling, Leslie Bender on HIPAA's shifting priorities, JoAnn Needleman on the CFPB's contradictions, Stefanie Jackman on the AI AGENT Act, plus insights from Issa Moe, Akeela White, Loraine Lyons, Brit Suttell, Sarah Doerr, James K. Schultz, Lori Quinn, Jason Esteves, Dale Golden, and Roshni Patel. Now sponsored by Frost Echols.

• More details here

• This series is sponsored by Frost Echols

WORTH NOTING: Members of Generation Z are more about instant gratification when it comes to prioritizing what they are saving up for ... A debt relief company is pulling out the big guns to get the word out about its services ... A New Jersey man is looking to set a world record for the number of pull-ups completed in a 24-hour period to help fight against medical debt ... Go ahead, have that third, fourth, or even fifth cup of coffee, according to the American Heart Association ... A look at auto insurance premiums, based on the different types of cars that are out there ... Why you may want to consider using something other than a brand name AI tool ... An important debate - should you roll or fold your clothes when you are packing a suitcase? ... Design tricks to make a small home look bigger.

Music Monday, part I

Music Monday, Part II

Webinar Recap: Updating & Maintaining Policies & Procedures in the Age of AI

The session on Updating & Maintaining Policies & Procedures in the Age of AI highlighted how traditional compliance frameworks must adapt to AI-driven processes. Panelists emphasized that while the structure of policies remains consistent—purpose, scope, roles, and responsibilities—the governance and procedures must expand to account for AI’s unique risks and capabilities.

Lauren Valenzuela described policies as “the same skeleton, just a new nervous system,” underscoring the need to integrate AI oversight into existing compliance structures. Laura Baumann stressed that procedures must broaden to include auditing AI processes, while Aaron Mack noted that AI is more flexible for internal procedures than for client-facing policies.

Governance frameworks such as the NIST AI Framework, EU AI Act, and state-level regulations were cited as useful guides. Panelists warned against “shadow AI”—employees using unapproved tools outside secure environments—and emphasized the importance of enterprise accounts with proper safeguards.

The discussion also addressed human-in-the-loop oversight, defining clear triggers for when AI outputs must be reviewed, and highlighted risks around intellectual property, data privacy, and over-reliance on AI outputs. Ultimately, the panel agreed that the biggest risk may be not using AI at all, as competitors are already leveraging it to identify trends and scale operations.

🧠 Key Takeaways:

• Update Policies & Procedures: Create or revise AI use policies, define roles, and expand procedures to include auditing AI processes alongside human workflows.

• Adopt Governance Frameworks: Leverage elements from NIST, EU AI Act, and state regulations to build tailored compliance frameworks that fit your organization’s use cases.

• Strengthen Oversight & Controls: Prevent shadow AI by approving enterprise tools, define human-in-the-loop triggers, and document ownership/IP rights when AI is used in development.

Did you know you can get full access to all of my past webinars, along with transcripts and summaries of each, for only $29/month? Sign up to be a premium subscriber today!

The Daily Digest is sponsored by TCN