CBA Opposes Key Comprehensive Debt Collection Improvement Act Provisions

CBA Opposes Key Comprehensive Debt Collection Improvement Act Provisions

In letter to Speaker Pelosi and Minority Leader McCarthy, CBA warns the legislation could negatively impact the banking services consumers count on, including student loans

 

WASHINGTON – Consumer Bankers Association President and CEO Richard Hunt today sent a letter to House Speaker Nancy Pelosi (D-CA) and Minority Leader Kevin McCarthy (R-CA) opposing the Comprehensive Debt Collection Improvement Act the House is expected to consider this afternoon, noting the legislation “will have unintended or negative impacts on individuals and the banking services they pursue, including student lending.”

The letter raised several concerning provisions, including:

  • Title III—Private Loan Disability Discharge Act, which “would impose unhelpful bureaucracy into a situation where banks are already doing what the legislation would mandate” and “only hinder a well-functioning process and not provide any help to private student loan borrowers.”

 

  • Title V—Ending Debt Collection Harassment Act, which “will create confusing opt-in systems that will overall make it more difficult to reach customers over their often-preferred mode of communication.”

 

Additionally, the letter urged members of Congress to reject the following amendments, which are also expected to be considered as a part of the final legislative package and would impose unnecessary burdens on banks and undermine successful efforts already underway to serve consumers, including: 

 

  • Amendment #1, Offered by Ms. Craig of Minnesota 
  • Amendment #4, Offered by Ms. Bonamici of Oregon
  • Amendment #13, Offered by Ms. Omar of Minnesota
  • Amendment #16, Offered by Ms. Adams of North Carolina

 

Read the full letter here

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About the Consumer Bankers Association:

The Consumer Bankers Association represents America’s leading retail banks. We promote policies to create a stronger industry and economy. Established in 1919, CBA’s corporate member institutions account for 1.7 million jobs in America, extend roughly $4 trillion in consumer loans and provide $275 billion in small business loans annually. Follow us on Twitter @consumerbankers.