On October 30, 2020, the Consumer Financial Protection Bureau (CFPB or the Bureau) released its long-awaited final debt collection rule — also known as Regulation F. The Bureau supplemented the rule on December 18, 2020 and both parts were adopted pursuant to the Bureau’s authority under the Fair Debt Collection Practices Act (FDCPA).

On April 7, the CFPB issued a Notice of Proposed Rule Making (NPRM), which proposed delaying the effective date of the rule for 60 days. However, on July 30, the CFPB issued a press release indicating the effective date will not be delayed.

The CFPB determined that an extension of the effective date was unnecessary since most public comments did not support it; most industry commenters stated that they would be prepared to comply with the rules by the original November 30 deadline. However, the CFPB expressly stated that its current decision would not prohibit the Bureau from reconsidering the rule later. Thus, the rule, in its entirety, becomes effective November 30.

Debt collectors, and the creditors who utilize them, should conduct a thorough review of their policies to ensure compliance with these new requirements. Troutman Pepper will continue to monitor and report on any development related to this matter.