This week, RMAI had a follow up call with the New York State Department of Financial Services (DFS) concerning their ongoing effort to update New York’s Debt Collection Rules. The proposed rule amendments would make significant changes to the current regulation related to consumer notices, validation requirements, statute of limitations disclosures, substantiation requirements, and limitations on telephone and electronic communications.
Public comments were due February 14, 2022. RMAI’s comments on the proposed rule can be found here along with proposed redlines RMAI submitted with an industry coalition.
In RMAI’s call with DFS, it was confirmed that the industry’s comments were helpful in the Department’s analysis of the issues. However, DFS indicated that they are continuing their review and did not have a timeline for final adoption. DFS indicated that any “substantive” amendments to the proposed rule, would require an additional 45-day public comment period. Based on this call, RMAI believes that the likelihood of a quick adoption of these rules are low. RMAI continues to advocate that any final implementation of the rule take place in 2023 given the monumental changes the industry has faced with the roll out of Regulation F and the recent passage of New York’s Consumer Credit Fairness Act.
RMAI will continue to provide the membership with updates as more information becomes available.
This Member Alert is intended for members of the Receivables Management Association International, is for informational purposes only, and is in no way intended to provide legal advice. Members are encouraged to consult with an attorney of their choice for legal advice concerning this matter.