Small Business and Consumer Debt Collection Emergency Relief Act of 2020

Small Business and Consumer Debt Collection Emergency Relief Act of 2020

This bill places restrictions on the collection of consumer and small business debts during a major disaster or emergency, including during the COVID-19 (i.e., coronavirus disease 2019) emergency period. Among other things, debt collectors may not during such a period

• enforce a security interest through a repossession or foreclosure,
• commence or continue litigation to collect a debt,
• terminate utility service,
• seize assets,
• commence or continue an eviction, or
• charge fees or apply a higher interest rate as a result of nonpayment.

After such a period, debt collectors must provide certain repayment options including extending the repayment period for debts.

Violations of these provisions are subject to civil enforcement.