Removing Barriers Blog

CFPB Extends Comment Period for Time-Barred Debt Disclosures NPRM
Posted May 20, 2020 by CUNA Advocacy

The CFPB will provide an additional 60 days for the public to comment on its Supplemental Notice of Proposed Rulemaking (NPRM) on time-barred debt disclosures.  The extension is intended to allow stakeholders additional time to comment on the rulemaking as a result of the impact of the COVID-19 pandemic.  

The comment period will now close on August 4, 2020.

In the Supplemental NPRM, the Bureau proposes to prohibit collectors from using non-litigation means (including calls) to collect on time-barred debt unless collectors disclose to consumers during the initial contact and on any required validation notice that the debt is time-barred.  The NPRM also proposes model language and forms that debt collectors could use to comply with the proposed disclosure requirements.