CFPB Release Debt Collection Proposal to be Unveiled July 28 Posted by Association of Vermont Credit Unions on 11:03 AM

The Consumer Financial Protection Bureau is expected to unveil a proposal on 7/28/16 that would regulate debt collection practices. The bureau said it plans to hold a public hearing in Sacramento, California focused on debt collection and feature remarks from CFPB Director Richard Cordray, as well as a panel discussion with consumer advocates, industry representatives, and the public.

The CFPB often uses field hearings to unveil key regulations and it's widely expected the agency will roll out a proposal on debt collection.

The plan is likely to expand the Fair Debt Collection Practices Act to cover first-party debt collectors, not just debt buyers. Debt collection activities also fall within the CFPB's authority to protect consumers from unfair, deceptive or abusive acts or practices, known as UDAAP.