This morning the CFPB released a new proposed rule that would govern debt collection. Continuing a process begun in 2013, the rule would mark the first major update to the FDCPA in more than 40 years. A common theme throughout the process of developing the rule has been a concentration on updating the FDCPA to accommodate modern technology, including use of both human-initiated and computer-initiated debt collection telephone calls as well as other avenues of communication with consumers, including the use of emails and text messages.

You can access the proposed debt collection rule here: https://files.consumerfinance.gov/f/documents/cfpb_debt-collection-NPRM.pdf

You can access the Fast Facts summary of the proposed rule here: https://files.consumerfinance.gov/f/documents/cfpb_debt-collection-fast-facts.pdf

You can access the flowchart on the proposed rule’s electronic disclosure options here: https://files.consumerfinance.gov/f/documents/cfpb_debt-collection-electronic-disclosure-flowchart.pdf

The agency is proposing these changes and opening the proposal for notice and comment from the public, including industry stake holders. The current deadline to provide comments is August 5, 2019.

The CFPB is hosting a Debt Collection Town Hall in Philadelphia, beginning at noon tomorrow, May 8th. Information on the live stream of that event is available here.

We will be providing a more thorough analysis of the new rule shortly.

Troutman Sanders will also be hosting a webinar to discuss the impact of the new rule on Wednesday, May 15th from 3:00 – 4:00 pm ET.

You can register for the webinar here.