CFPB issues follow-up debt-collection rule

The Consumer Financial Protection Bureau issued a final rule to implement Fair Debt Collection Practices Act requirements for certain consumer disclosures. The rule requires debt collectors to provide detailed disclosures at the outset of collection communications.

It follows a related rule issued in October on debt collection practices and prohibitions. As advocated by ICBA, the CFPB structured the rules to ensure they apply only to third-party debt collectors and don't cover community banks and other first-party debt collectors.