On October 30, 2020, the Consumer Financial Protection Bureau (Bureau) issued a final rule (Debt Collection Rule or Rule) implementing the Fair Debt Collection Practices Act (FDCPA). 1 The Debt Collection Rule is available at https://www.consumerfinance.gov/rules-policy/final- rules/debt-collection-practices-regulation-f/. The Debt Collection Rule will become effective one year after publication in the Federal Register.
On December 18, 2020, the Consumer Financial Protection Bureau (Bureau) issued a final rule (December 2020 Rule) amending Regulation F to provide additional requirements regarding validation information and disclosures provided at the outset of debt collection communications, prohibit suits and threats of suits regarding time-barred debt, and identify actions that must be taken before a debt collector may report information about a debt to consumer reporting agencies (CRAs).
Debt buyers, debt collectors, and others who furnish information to credit reporting agencies have a variety of obligations under the Fair Credit Reporting Act (FCRA) 1 and Regulation V2. The Consumer Financial Protection Bureau (CFPB) issues this bulletin3 to highlight one of those obligations – the obligation of furnishers to investigate disputed information in a consumer report.
Pursuant to the FTC’s authority to enforce the Fair Debt Collection Practices Act (‘‘FDCPA’’), 15 U.S.C. 1692l(a), and Section 5 of the Federal Trade Commission Act (‘‘FTC Act’’), 15 U.S.C. 45, the Commission issues this final Statement of Policy Regarding Communications in Connection with the Collection of Decedents’ Debts (‘‘Statement’’).1 When a person dies, creditors and the debt collectors they hire usually have the right to collect on the person’s debts from the assets of his or her estate.