WeVote
Log In

Bill

Bill

S 7167

Prohibits certain debt arrears from being reported to consumer reporting agencies

2025 Regular Session Introduced by Cordell Cleare

Prohibits reporting certain debt arrears to consumer reporting agencies, likely reducing which debts show up on credit reports and easing credit harm for affected consumers.

REFERRED TO CONSUMER PROTECTION
0
WeVote Research Nonpartisan
Bill Summary · S 7167

Summary of S 7167 — Prohibits certain debt arrears from being reported to consumer reporting agencies

Overview

  • Bill Number: S 7167
  • Title: Prohibits certain debt arrears from being reported to consumer reporting agencies
  • Status: REFERRED TO CONSUMER PROTECTION
  • Introduced: April 3, 2025
  • Sponsor: Cordell Cleare (primary)
  • Related bills: S 8162 (prior-session), S 5071 (prior-session); A 1654 (companion)

S 7167 is a consumer protection bill aimed at restricting how certain debt arrears are reported to consumer reporting agencies (CRAs). The exact scope, definitions, and exceptions would be provided in the bill text, but the core purpose is to limit or prohibit the reporting of specified arrears to credit reporting systems.

What the bill would do

  • Prohibits reporting of certain debt arrears to consumer reporting agencies.
  • The bill would specify which arrears fall under the prohibition and identify any applicable exceptions or conditions (these details would be in the statutory text).
  • Likely addresses the interaction between debt collection activity, arrears, and credit reporting, with the goal of reducing potential credit harms for affected debt accounts.

Key provisions (as far as available)

  • Definition of “debt arrears” and the scope of prohibitions (to be defined in the bill).
  • Party or entity obligations: lenders, debt collectors, and consumer reporting agencies would be affected by the reporting restrictions.
  • Enforcement and remedies: the bill would typically establish enforcement mechanisms and potential penalties or remedies for violations (specifics would be in the text).
  • Effective date and transitional provisions: any phase-in or effective date would be specified in the bill.

Note: Specific procedural details, exemptions (e.g., age of debt, disputed disputes, statute of limitations, types of debt), and enforcement remedies are not provided in the summary available here and would be found in the bill’s full text.

Who would be affected

  • Consumers with debt arrears that fall under the bill’s prohibitions.
  • Consumer reporting agencies (CRAs) that compile and furnish credit reports.
  • Creditors, lenders, and debt collectors who report information to CRAs.
  • Potentially employers, lenders, or service providers who rely on credit reports may be indirectly affected through changes in reported data.

Legislative history and related bills

  • Status history: Both entries show “2025-04-03: REFERRED TO CONSUMER PROTECTION.”
  • Related bills: S 8162 and S 5071 (prior-session); A 1654 (companion) listed as related. The companion and prior-session bills suggest ongoing interest in reforming debt reporting to CRAs.

Timeline and next steps

  • As the bill is currently referred to the Consumer Protection committee, it will require committee consideration, potential amendments, and a floor vote before moving to passage or rejection.
  • Tracking the bill would involve checking for committee hearings, amendments, and subsequent legislative actions.

Potential impact and considerations

  • If enacted, would likely reduce the inclusion of certain debt arrears in credit reports, potentially improving credit access or terms for some consumers.
  • Could shift reporting practices for lenders and debt collectors and interact with existing credit reporting laws and regulations.
  • The exact impact depends on the definitions of “debt arrears,” any exemptions, and enforceability provisions in the final text.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.