NAHMA Update: CFPB Issues Final Interim Rule on Debt Collection and Eviction Moratorium Tenant Protections\

April 19, 2021

Dear NAHMA Members,

The Consumer Financial Protection Bureau (CFPB) today issued an Interim Final Rule which addresses certain debt collector conduct associated with an eviction moratorium issued by the Centers for Disease Control and Prevention (CDC) in response to the global COVID-19 pandemic. The CFPB’s rule requires debt collectors (as defined by the Fair Debt Collection Practices Act) to provide written notice to tenants of their rights under the eviction moratorium and prohibits debt collectors from misrepresenting tenants’ eligibility for protection from eviction under the moratorium. Under the Interim Final Rule, debt collectors who evict tenants who may have rights under the moratorium without providing notice of the moratorium or who misrepresent tenants’ rights under the moratorium can be prosecuted by federal agencies and state attorneys general for violations of the Fair Debt Collection Practices Act and are also subject to private lawsuits by tenants. The Interim Final Rule will take effect on May 3, 2021.

The Interim Final Rule on Debt Collection Practices in Connection with the Global COVID-19 Pandemic is attached and also available here.

A summary of the CFPB Interim Final Rule is attached and also available here.

To view the CFPB press release regarding Interim Final Rule, click here.