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Stronger Consumer Protection: Debt Collectors Must Prove Ownership Before Suing.

This law significantly strengthens consumer protection against abusive debt collection lawsuits by requiring collectors to provide extensive documentation. Debt collectors must now prove they legally own the debt and supply a detailed breakdown, including the full history of ownership, before initiating legal action. Consumers will receive a mandatory 30-day written notice before any lawsuit begins.
Key points
Debt collectors must provide a detailed itemization of the debt, including the original amount, date of default, fees, interest, and the names of all previous and current creditors.
A mandatory 30-day written notice must be sent to the consumer before a debt collector can file a lawsuit.
In court, collectors must present admissible evidence, including the original contract, the complete chain of debt ownership, and a sworn affidavit confirming the statute of limitations has not expired.
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Additional Information
Print number: 118_HR_8196
Sponsor: Rep. Bonamici, Suzanne [D-OR-1]
Process start date: 2024-05-01
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Summarized by: gemini-2.5-flash-preview-09-2025
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

SCAM Debt Act

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 118_HR_8196.

Which chamber initiated this legislation?

This legislation was initiated in the House of Representatives.

When did the legislative process begin?

The process officially started on 2024-05-01.

What are the main provisions?

Key points include:

  • Debt collectors must provide a detailed itemization of the debt, including the original amount, date of default, fees, interest, and the names of all previous and current creditors.
  • A mandatory 30-day written notice must be sent to the consumer before a debt collector can file a lawsuit.
  • In court, collectors must present admissible evidence, including the original contract, the complete chain of debt ownership, and a sworn affidavit confirming the statute of limitations has not expired.
What is the specific legal status?

The current status is Expired.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Rep. Bonamici, Suzanne [D-OR-1].

What is the latest detailed status?

The latest detailed status is: Referred to the House Committee on Financial Services.

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-25.

CATEGORIES

Courts and Law Economy