Stricter Rules in Maryland for Debt Collectors

Maryland’s highest court has approved new rules to protect consumers from debt collection.   The new rules will, in part, force companies that buy consumer debt to present sufficient evidence to the court if they sue to collect on the debt. Debt buyers are companies that pay for the defaulted debt and gain the right to sue to collect that debt.  Often the debt is sold many times over. In the process, much of the original information about the underlying debt is lost or outdated.  These debt buyers have, in the past, easily gotten judgments against consumers with little to no proof of their claims and many times without the consumer ever being notified that they were expected to appear in court.  By approving these new rules, the Maryland courts will force these companies to provide sufficient evidence to back up their claims.

By | 2016-12-13T09:15:14+00:00 September 21st, 2011|Maryland Legislation|0 Comments