Removing Barriers Blog

CFPB Proposes to Delay Debt Collection Rules
Posted April 09, 2021 by CUNA Advocacy

The CFPB issued a Notice of Proposed Rulemaking (NPRM) to delay by 60 days the effective date of two final rules issued under the Fair Debt Collection Practices Act (FDCPA).

The debt collection rules are currently scheduled to take effect on November 30, 2021.  If the proposal is finalized, the effective date of both rules would change to January 29, 2022.

The first debt collection rule, issued in October 2020, 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, issued in December 2020, clarifies disclosures debt collectors must provide to consumers at the beginning of collection communications.

The Bureau’s proposal will be open for comment for 30 days following publication in the Federal Register.