NOBILLSMAN  

S.1405

Financial Regulatory Relief and Economic Efficiency Act of 1997 (Introduced in the Senate)

COSPONSORS TOTAL (13):

Sen Mack - 11/07/97 --- Sen Faircloth - 11/07/97 --- Chairman Sen D'Amato - 11/07/97  (no longer in office) Sen Bryan - 11/07/97 --- Sen Grams - 11/07/97 --- Sen Kerry - 11/07/97 --- Sen Bennett - 11/07/97
Sen Gramm - 11/07/97 --- Sen Hagel - 11/07/97 --- Sen Allard - 11/07/97 --- Sen Enzi - 11/07/97
Sen Moseley-Braun - 11/07/97 (no longer in office) --- Sen Cochran - 03/17/98

SEC. 207. FAIR DEBT COLLECTION PRACTICES.

(a) EXEMPTION FOR COMMUNICATIONS INVOLVING LEGAL PROCEEDINGS- Section 803 of the Fair Debt Collection Practices Act (15 U.S.C. 1692a) is amended--

(1) in paragraph (2)--

(A) by striking `communication' means the' and inserting the following: `communication'-- `(A) means the'; and

(B) by striking the period at the end and inserting the following: `; and `(B) does not include communications made pursuant to the Federal Rules of Civil Procedure, in the case of a proceeding in a State court, the rules of civil procedure available under the laws of that State, or a nonjudicial foreclosure proceeding.'; and

(2) in paragraph (5)-- (A) by striking `debt' means any' and inserting the following: `debt'-- `(A) means any';

(B) by striking the period at the end and inserting the following: `; and `(B) does not include a draft drawn on a bank for a sum certain, payable on demand and signed by the maker.'.

(b) COLLECTION ACTIVITY FOLLOWING INITIAL NOTICE- Section 809 of the Fair Debt Collection Practices Act (15 U.S.C. 1692(g)) is amended by adding at the end the following new subsection:

`(d) CONTINUATION DURING PERIOD- Collection activities and communications may continue during the 30-day period described in subsection (a) unless the consumer requests the cessation of such activities.'.

(c) DEFINITION OF `COMMUNICATION'- Section 803 of the Fair Debt Collection Practices Act (15 U.S.C. 1692a) is amended--

(1) by striking `title--' and inserting `title, the following definitions shall apply:'; and (2) in paragraph (2)--

(A) by striking `term `communication' means' and inserting `term `communication'-- `(A) means';

(B) by striking the period at the end and inserting `; and `(B) does not include any communication made or action taken to collect on loans made, insured, or guaranteed under the Higher Education Act of 1965.'.

THE FINANCIAL REGULATORY RELIEF AND ECONOMIC EFFICIENCY ACT OF 1998
Committee Report - Senate Rpt. 105-346 - Associated Bill --S.1405

The Effort In 1988

The following is the re-write of the bill in 1998 and is was submitted as a bill to provide for improved monetary policy and regulatory reform in financial institution management and activities, to streamline financial regulatory agency actions, to provide for improved consumer credit disclosure, and for other purposes, with an amendment in the nature of a substitute. (S. Rept. No. 105-346)

Section 205 (a). Unfair practices

Provides for collection on bad checks, if it is `reasonable, does not exceed $25, results from the collection of a check returned for insufficient funds, and notice of the charge was conspicuously posted * * *'

Section 205 (b). Clarification of allowable collection activities during the verification period

This provision codifies aspects of an FTC interpretation and analyses rendered by Federal Courts that if a debtor has not requested verification of the debt or notified the collector of a dispute, the collector may attempt to collect a debt during that 30-day period, as long as the activities and communications do not overshadow or contradict the consumer information provided in law.

Section 205 (c). Amendment to Fair Debt Collections Practices Act (FDCPA) to address conflicts with the Higher Education Act (HEA)

Exempts a `prejudgment administrative wage garnishment permitted under section 488A of the Higher Education Act' from the definition of communication with regard to the collection of any debt.

Email: NOBILLSMAN@aol.com