The bill, first introduced in the 2019/20 Congress, includes requirements on debt collectors’ communication with service members
4/22/2021 14:00
Legislation amending the Fair Debt Collection Practices Act requirements on communication with military service members about debts passed with bipartisan support in the U.S. House of Representatives April 21.
The Fair Debt Collection Practices for Service Members Act (H.R. 1491), sponsored by U.S. Reps. Madeline Dean, D-Pa., Warren Davidson, R-Ohio, Nikema Williams, D-Ohio, Brian Fitzpatrick, R-Pa., Karen Bass, D-Calif., and Josh Gottheimer, D-N.J., amends the FDCPA to state that debt collectors, “in connection with the collection of any debt of a covered member,” are prohibited from:
- Representing to service members that failure to cooperate with a debt collector will result in a reduction of rank, a revocation of security clearance, or military prosecution; or
- Communicating with a service member’s superiors in the chain of command.
ACA International supports the intent of this bill and its benefits for service members communicating with debt collectors.
The legislation also orders the Comptroller General of the U.S. to conduct a study and report to Congress on:
- The timely delivery of information to a covered service member (as defined in the FDCPA);
- Military readiness; and
- National security, including the extent to which covered members with security clearances would be impacted by uncollected debt.
The legislation was originally introduced by Dean in November 2019. ACA will provide updates on its progress in the U.S. Senate.