The CFPB on Tuesday outlined how its new debt collection rule, which went into effect Nov. 30, impacts consumers.
The Fair Debt Collection Practices Act makes it illegal for debt collectors to harass or threaten consumers when trying to collect on a debt. The bureau’s new debt collection rule clarifies how debt collectors can communicate with consumers, including what information they’re required to provide at the outset of collection about the debt, consumer rights in debt collection and how consumers can exercise those rights.
The CFPB listed five key things to know about the new debt collection rule, including:
- What is a debt collection validation notice?
- How often can a debt collector call me?
- When can a debt collector report my debt to a credit reporting company?
- Can a debt collector contact me on social media about a debt?
- What is a “limited-content message?”
More information about the bureau’s debt collection rule and details about the five key questions can be accessed on the CFPB website.