Encore Capital Group

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Encore Capital Group
S&P 600 Component
IndustryFinancial services,
Debt buyer
Key people
Ashish Masih,
President & CEO
ProductsSpecialty finance
ServicesCollections and recoveries
RevenueIncrease US$ 1.19 billion (FY 2017) [1]
Number of employees
8,300 Globally
SubsidiariesMidland Credit Management, Inc.

Encore Capital Group, Inc. and its subsidiaries form the largest publicly traded debt buyer by revenue in the United States.[2] It has operations and investments in 15 countries. Encore's subsidiaries purchase portfolios of consumer receivables from major banks, credit unions, commercial retailers, and telecommunications companies, and work with individuals to repay their debts.[3] The firm is a publicly traded NASDAQ Global Select company (ECPG), a component stock of the Russell 2000, the S&P SmallCap 600, and the Wilshire 4500.[4]


Encore Capital Group’s wholly owned operating subsidiary, Midland Credit Management, Inc., was founded in 1953 and was incorporated in Kansas in September 1953. In 1998, an investor group led by Nelson Peltz and Peter May (members of Triarc Companies, Inc. management) and Kerry Packer of Consolidated Press International Holdings Limited, acquired a majority interest in its operations.The group formed a holding company, which it incorporated in Delaware in April 1999 as MCM Capital Group, Inc., later renamed Encore Capital Group, Inc. in April 2002. The company completed its initial public offering of 2,250,000 shares of common stock in July 1999.[5] In June, 2013, Encore acquired Asset Acceptance Corporation ( NASDAQ: AACC), another large publicly held debt buyer based in Warren, Michigan. In 2014, Encore Capital acquired Virginia-based Atlantic Credit & Finance.[6]. In 2018, Encore fully acquired Cabot Financial (U.K.)

Regulatory Action[edit]

Encore Capital’s debt purchasing and collection activities are subject to federal, state, and municipal statutes, rules, regulations, and ordinances that establish specific guidelines and procedures that debt purchasers and collectors must follow when collecting consumer accounts.[7] Multiple federal and state laws apply to the conduct and information practices of debt buyers.[8] In September 2015, both Encore and Portfolio Recovery Associates, the United States’ two largest publicly held debt buyers, were charged with violating the Fair Debt Collection Practices Act and the Dodd–Frank Wall Street Reform and Consumer Protection Act by filing "lawsuits against consumers without having the intent to prove many of the debts, winning the vast majority of the lawsuits by default when consumers failed to defend themselves."[9] U.S. federal regulators – the Consumer Financial Protection Bureau – imposed an enforcement action on Encore Capital for pressuring borrowers "to pay with false statements, with lawsuits and with the use of using so-called robo-signed court documents."[9] According to The New York Times, Encore paid "$42 million in consumer refunds and a $10 million penalty" and an injunction to "stop collections on debts totaling more than $125 million."[10]

In January 2015, New York State Attorney General Eric Schneiderman sued Encore Capital over shoddy practices and forced Encore Capital to pay a $675,000 penalty and vacate more than 4,500 court judgments against borrowers.[11]


Encore Capital is the largest publicly traded United States debt buyer by revenue. Its subsidiaries purchase portfolios of consumer receivables from major banks, credit unions, commercial retailers, and telecommunications companies, and work with individuals to repay their debts. The company has extensive investments in data and behavioral science, and applies predictive modeling when considering acquisition of a debt portfolio to help assess the potential return on investment.

Goodwill Practices[edit]

In 2011, Encore Capital and its subsidiary Midland Credit Management unveiled its Consumer Bill of Rights, which “codifies the company’s commitment to respectful consumer treatment.”[12] In 2013, Encore launched its global Corporate Social Responsibility program.[13] On June 6, 2017, Encore Capital announced the launch of its financial literacy program, Money Matters. This initiative, part of Encore's Corporate Social Responsibility program, promotes financial literacy in schools by having employee volunteers teach high school and college students credit and financial basics.[14]


Encore Capital is based in San Diego, California, with a further U.S. presence in Phoenix, AZ, St. Cloud, MN, Tampa, FL, Troy, MI, New Freedom, PA, Roanoke, VA and Hato Rey, Puerto Rico. International Operations extend from New Delhi, India, San Jose, Costa Rica to Baycorp in both Australia and New Zealand—also includes their call center in The Philippines.

Encore also has the following subsidiaries: Grove Capital Management (Europe), Lucania Gestión (Europe), and Refinancia (Latin America).

Leadership team[edit]

Ashish Masih is Encore Capital's President and Chief Executive Officer. Mr. Masih joined Encore Capital in 2009. Previously, he was an Associate Principal at McKinsey & Company and a Manager at KPMG Consulting. Mr. Masih earned an MBA from The Wharton School of the University of Pennsylvania, a Master of Science in Manufacturing Systems Engineering from Lehigh University and a bachelor’s degree in Mechanical Engineering from the Indian Institute of Technology in New Delhi, India.[15]


Encore Capital enjoyed revenue growth from $545 million in 2012 to $1.19 billion in 2017.[16] Its net income grew from $69.5 million in 2012 to $76.570 million in 2016.[16] Since 2009, Encore Capital’s stock (ticker symbol ECPG) has increased from a 2009 low of $2.92 to over $40 in July 2017.[16]


  1. ^ "ENCORE CAPITAL GROUP, INC. - Form 10-K - February 9, 2012" (PDF). secdatabase.com. Retrieved 2012-05-15.
  2. ^ Lagerkvist, Mark (May 11, 2017). "How to Beat Debt Collectors at Their Own Game". Retrieved August 17, 2017.
  3. ^ "SEC FILING | Encore Capital Group Form 10-K". services.corporate-ir.net. Retrieved 2017-08-17.
  4. ^ "Encore Capital Group Inc Common Stock (ECPG) Real-Time Stock Quote - NASDAQ.com". www.nasdaq.com. Retrieved 2017-08-17.
  5. ^ "Investor FAQ - Investors - Encore Capital Group". Phx.corporate-ir.net. 2003-10-01. Retrieved 2015-12-04.
  6. ^ "Encore Capital Group Buys Collection Agency Atlantic Credit & Finance for Nearly $200 million". 2014-08-08. Retrieved 2017-08-17.
  7. ^ "Debt Collection". Consumer Information. 2015-05-01. Retrieved 2017-08-17.
  8. ^ "The Structure and Practices of the Debt Buying Industry" (PDF). FTC. January 2013. Retrieved August 17, 2017.
  9. ^ a b "CFPB Takes Action Against the Two Largest Debt Buyers for Using Deceptive Tactics to Collect Bad Debts | Consumer Financial Protection Bureau". Consumer Financial Protection Bureau. Retrieved 2017-08-17.
  10. ^ Carrns, Ann (2015-09-09). "Debt Collectors to Pay $61 Million in Consumer Refunds and Amend Their Practices". The New York Times. ISSN 0362-4331. Retrieved 2017-08-17.
  11. ^ Silver-Greenberg, Jessica (January 8, 2015). "Debt Buyer Faces Fine and Loss of Thousands of Court Judgments". DealBook. Retrieved 2017-08-17.
  12. ^ Inc., Encore Capital Group,. "Encore Capital Group Launches Industry-First Consumer Bill of Rights". www.prnewswire.com. Retrieved 2017-08-17.
  13. ^ "Corporate Social Responsibility - Encore Capital Group". Encore Capital Group. Retrieved 2017-08-17.
  14. ^ "Encore Capital Group Launches Financial Literacy Program for Students - New York Times". markets.on.nytimes.com. Retrieved 2017-08-17.
  15. ^ "Ashish Masih to Become President and CEO of Encore Capital Group - Encore Capital Group". Encore Capital Group. Retrieved 2017-08-17.
  16. ^ a b c "Growth, Profitability, and Financial Ratios for Encore Capital Group Inc (ECPG) from Morningstar.com". financials.morningstar.com. Retrieved 2017-08-17.

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