Removing Barriers Blog

CFPB Issues Debt Collection Proposal
Posted May 07, 2019 by Chandler Schuette

Today the CFPB issued a proposed rule on debt collection practices under the Fair Debt Collection Practices Act (FDCPA).  As expected, the proposed rule appears to only cover FDCPA-covered debt collectors.  

According to the Bureau’s release, the proposal would “set clear, bright-line limits on the number of calls debt collectors may place to reach consumers on a weekly basis; clarify how collectors may communicate lawfully using newer technologies, such as voicemails, emails and text messages, that have developed since the FDCPA’s passage in 1977; and require collectors to provide additional information to consumers to help them identify debts and respond to collection attempts.” 

In addition to the proposal, the CFPB also released supplemental materials intended to assist entities to understand the proposal, including a Fact Sheet and Flowchart.  Comments on the proposed rule will be due 90 days after its publication in the Federal Register.

The proposed rule was released ahead of a CFPB Town Hall on debt collection scheduled to take place tomorrow in Philadelphia, PA.  CUNA, the Pennsylvania League, and several local credit unions will be present at the town hall.