(UPDATED) The Consumer Financial Protection Bureau (CFPB) recently issued an interim final rule requiring debt collectors to provide written notice to tenants of their rights under the CDC’s eviction moratorium and prohibits debt collectors from misrepresenting tenants’ eligibility for protection from eviction under the moratorium. The new rule goes into effect on May 3rd and lasts through the duration of the CDC’s moratorium, recently extended through June 30, 2021. The CFPB believes this will give debt collectors time to come into full compliance. However they said debt collectors may begin complying with the rule before the compliance date.
“With COVID-19 killing hundreds of Americans every day, kicking families out into the street during this pandemic may literally be a death sentence…No one should be evicted from their home without understanding their rights, and we will hold accountable those debt collectors who move forward with illegal evictions. We encourage debt collectors to work with tenants and landlords to find solutions that work for everyone.” Said CFPB Acting Director Dave Uejio.
“The CFPB’s rule is an unfortunate expansion of the CDC’s Order, and we are continuing conversations with the Administration and federal agency officials about the ongoing challenges that rental housing providers face while the CDC Order and related federal requirements remain in place. In addition to being bad public policy, these efforts make compliance difficult in an area where there is already an abundance and patchwork of legal requirements complicating the CDC’s Order. This interim final ruling only adds to the confusion as federal, state and local eviction moratoria are being applied very differently in courts across the country.” Said Robert Pinnegar, President and CEO of the National Apartment Association.