The Safe Harbor Debt Collection Law Update by Aylix Jensen
March 2022
This monthly newsletter provides an update of changes and developments in the law that impact the debt collection industry. It highlights new debt collection laws and practices, discusses what these may mean for the collection industry, and provides tips to ensure compliance. 
Aylix K. Jensen
Aylix K. Jensen is a member of Moss & Barnett's financial services team. She practices in the areas of compliance and litigation related to the Fair Debt Collection Practices Act, the Fair Credit Reporting Act, and the Telephone Consumer Protection Act, as well as other related state and federal law and regulations.

Aylix K. Jensen
In June 2021, ACA International and several debt collectors filed an emergency application for a temporary restraining order and moved for a preliminary injunction enjoining enforcement of Senate Bill 248 (“S.B. 248”). S.B. 248 was enacted and signed into law by the Nevada Legislature on June 2, 2021, and went into effect on July 1, 2021. MORE >
Requesting Too Much Assistance ID Theft
On February 28, 2022, the Court of Appeals for the Seventh Circuit affirmed a district court’s decision to enter summary judgment for a debt collector for alleged violations of the FDCPA and FCRA. Woods v. LVNV Funding, LLC and Resurgent Capital Services, L.P., No. 21-1981 (7th Cir. 2022). Focusing strictly on the FCRA claim, the plaintiff in Woods asserted that the debt collector violated section 1681s-2(b)(1)(A) by failing to conduct a reasonable investigation into his fraud claims. MORE >
The Future of Credit Reporting Medical Debt
On March 1, 2022, the CFPB released a report entitled, “Medical debt burden in the United States,” intended to highlight the complicated and burdensome nature of the medical billing system in the United States. In the report, the CFPB expresses concerns about medical debt collections and reporting, specifically the elevated credit reporting of medical debt resulting from the COVID-19 pandemic. The CFPB indicated that research shows $88 billion in medical debt on consumer credit records as of June 2021. The report emphasizes the distinction between medical debt and other debt, noting that few people choose to take on medical debt and patients are often unaware how much they will be charged for a service or procedure. MORE >
Federal Surprise Billing Law is Now in Effect
On December 27, 2020, the Consolidated Appropriations Act of 2021 was enacted, which included the No Surprises Act. The No Surprises Act, which went into effect on January 1, 2022, establishes federal patient protections against surprise medical bills and expands restrictions on charging health care plan holders out-of-network rates for certain services. MORE >
Prohibition Regarding Leaving Messages When Seeking Location Information
On March 3, 2022, the United States District Court for the Western District of New York granted a plaintiff’s motion for summary judgment, finding that the record established three FDCPA violations by a debt collector resulting from phone calls placed to the plaintiff’s mother with the purpose of acquiring location information. Raze v. Everest Receivable Services, Case No. 1:19-cv-01094-LJV-LGF (W.D.N.Y, March 3, 2022). MORE >
Disclaimer: This newsletter does not create an attorney-client relationship between Moss & Barnett, A Professional Association, or attorney Aylix K. Jensen and any reader. Please remember that we can only provide general information and every case is unique. Always check with your individual attorney for any specific legal concerns.
The Safe Harbor Debt Collection Law Update by Aylix Jensen
Minneapolis, MN
Phone: (612) 877-5000
150 South Fifth Street
Suite 1200
Minneapolis, MN 55402
St. Cloud, MN
Phone: (320) 654-4100
3800 Eighth Street North
Suite 102
St. Cloud, MN 56303