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Submitted Photo
U.S. Rep. Madeleine Dean, left, and PA Attorney
General Josh Shapiro speak with veterans at a
Veteran's Day service in Abington.
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The Fair Debt Collection Practices for Servicemembers Act (H.R. 5003), sponsored by U.S. Rep. Madeleine Dean D-4th Dist., passed out of the Financial Services Committee with unanimous support on Nov. 13.
This legislation addresses a variety of abusive debt collection practices targeting members of the military.
“The Financial Services Committee is taking a hard look at unscrupulous debt collection practices, and protecting our servicemembers is a top priority," said Dean.
“The Financial Services Committee is taking a hard look at unscrupulous debt collection practices, and protecting our servicemembers is a top priority," said Dean.
"This week's unanimous vote sends a clear signal - we will stand up to defend our servicemembers," said Dean.
According to the Consumer Financial Protection Bureau, (CFPB) servicemembers are subject to a variety of unfair debt collection practices:
According to the Consumer Financial Protection Bureau, (CFPB) servicemembers are subject to a variety of unfair debt collection practices:
- Contacting the servicemember’s chain of command in order to extract payment;
- Including a clause in the loan contract that the servicemember must grant the debt collector the authority to contact the chain of command;
- Threatening punishment through the Uniform Code of Military Justice, threatening to have the servicemember’s rank reduced, or threatening to have security clearances revoked.







