CFPB Proposes Delay of Effective Date for Debt Collection Final Rules – On April 7, 2021, the CFPB proposed delaying the effective date of the Debt Collection Final Rules, extending the effective date of both the October and December 2020 rules from November 30, 2021 to January 29, 2022. The proposal was published in the Federal Register on April 19, 2021. Comments are due on or before May 19, 2021. For more details click here.
Venable partners Jonathan Pompan and Alex Megaris will present “Understanding the CFPB Debt Collection Final Rule -- An ACC Legal Quick Hit.” The webinar will provide an overview of the CFPB’s long-awaited Debt Collection Final Rule implementing the Fair Debt Collection Practices Act (FDCPA), with a focus on highlighting for in-house counsel how creditors and debt collectors can prepare for the new requirements and opportunities presented by the rule.
The rule addresses use of electronic communications (e.g., email, text messages, and social media), voicemail messages, and telephone call frequency. The rule also has provisions on disputes, record retention, and several other topics. The rule is a major development for all participants in the credit and accounts receivable marketplace and will have a direct impact on enforcement investigations, supervisory examinations, and litigation.
We will discuss:
- How the rule impacts originating creditors / first party collections, including vendor management and third-party oversight of debt collectors and in debt sales.
- Steps originating creditors can take to help optimize accounts for placement at debt collectors (or sale to debt buyers) to facilitate use of electronic communications.
- Enhancements to debt collector compliance management systems, policies, procedures, and practices.
- A preview of what’s anticipated next for debt collection regulation in 2020, and understanding the potential for Congressional Review Act and other challenges to the rule.
- What the Final Rule means for exams, federal (CFPB and FTC) and state enforcement investigations, and private FDCPA litigation.
For more information about the webinar, click here.