Debt buyer Collection House is moving to what it calls a more "customer focused" approach it its business, in response to demands from clients and consumer groups that it change its punitive approach to dealing with debtors.In August last year, a report prepared by Financial Counselling Australia, Consumer Action Law Centre and Financial Rights Legal Centre identified the Collection House subsidiary Lion Finance as the debt collection agency with the highest number of court applications to put debtors into bankruptcy.It made 512 applications in the 2018/19 financial year. Only the ATO made more bankruptcy petitions.The report said: "A few debt collectors are regularly and persistently making people bankrupt. This is clearly a deliberate policy decision. Such a decision is inconsistent with a best practice approach to working with people in financial hardship."Using bankruptcy as an enforcement mechanism is particularly problematic for people on low incomes who own their homes. It is poor public policy when people become homeless over relatively small debts."In November, Collection House announced that it had increased the threshold at which it will consider recovery by bankruptcy, moving from the regulatory limit of A$5000 to $20,000.In a statement to the ASX yesterday the company said it was considering "how it might further respond to the continuing development and evolution of its operating environment."It is undertaking a review of its operating model and collection strategies. "These are not matters of legal compliance. Collection House has always operated as required by the laws and regulations that govern the industry," it said."However, industry developments, including changes expected of us by the vendors of purchased debt ledgers and the wider community extend beyond legal and regulatory compliance requirements, and Collection House aims to follow best practice."It said changes may have an impact on the valuation of its assets.