The CFPB confirmed that the effective date of two final rules on debt collection communications under the Fair Debt Collection Practices Act remains November 30, 2021. The agency will withdraw an April 2021 proposal that would have extended the effective date to January 29, 2022. The CFPB stated that the extension proposal was intended to allow additional time to implement the rules in light of the COVID-19 pandemic, but that industry commenters generally stated that they would be prepared to comply by November 30, 2021.
The first rule, adopted in October 2020, clarifies prohibitions on misleading representations, harassment and abuse, and unfair debt collection practices. The second rule, adopted in December 2020, clarifies disclosure obligations for debt collectors at the beginning of collection communications, as well as prohibited predatory activities. The CFPB noted that its decision did not preclude it from reconsidering the debt collection rules at a later date.
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