DEBT COLLECTION RULES SCHEDULED TO CHANGE

​Two new rules by the Consumer Financial Protection Bureau affect how creditors can collect debts under the Fair Debt Collection Practices Act (FDCPA) and are expected to take effect November of 2021 or early in 2022.

The first debt collection rule focuses on the use of communications related to debt collection, and clarifies prohibitions on harassment and abuse, false or misleading representations, and unfair practices by debt collectors when collecting consumer debt.

The second debt collection rule clarifies disclosures debt collectors must provide to consumers at the beginning of collection communications. The rule also prohibits debt collectors from making threats to sue, or from suing, consumers on time-barred debt. The rule requires debt collectors to take specific steps to disclose the existence of a debt to consumers before reporting information about the debt to a consumer reporting agency.
​
If you are receiving collection calls, texts, emails, or correspondence, contact Marshall Entelisano Law to discuss your options.