Prevent Abusive Debt Collection Tactics by Debt Buyers

Last updated: Jun 12, 2017

Details about this bill
Category: Miscellaneous
Status: Defeated
Sponsor: Representative Janice Cooper, House 107
Session: 128
Bill #: LD 1242

Position:

Monitoring.

Summary:

This bill amends the Maine Fair Debt Collection Practices Act to give debtors certain protections with respect to debt buyers. A debt buyer may not sell or transfer ownership of a debt or pursue collection activities regarding a debt without possessing specified information, including the names of the original creditor and all intervening creditors. If the debt collector initiates a court action to collect the debt, specific information about the original creditor, the intervening creditors and the basis for any interest, fees and charges must be included in the complaint.

This bill establishes an annual rate of 6% as the maximum post-judgment interest rate applicable to a judgment obtained by a debt buyer.

The bill further provides that a debt may not be collected if a debt buyer violates the Maine Fair Debt Collection Practices Act.