Good News, Bad News in Latest Debt Collection Rule
Advocates at consumer group Consumer Action break down the elements of the Consumer Financial Protection Bureau’s (CFPB) new rule on debt collection.
The good news: “debt parking” may be prohibited because the new rule requires debt collectors to reach out to consumers and notify them before posting debts to credit reports. That’s helpful, because consumers will now have an opportunity to dispute a debt BEFORE it impacts their credit score.
The bad news: Debt collectors may get virtually unlimited electronic access to…