By: Michelle Grinberg, Esq.

The New Jersey Assembly is considering, for the second time, legislation which would supplement the existing federal Fair Debt Collection Practices Act, 15 U.S.C. § 1692, et seq.  However, the first time this proposed legislation was approved by the N.J. Assembly, the state Senate failed to act on it.  State consumer affairs officials are hopeful that the number of complaints received each year against debt collectors would significantly decrease if the proposed legislation takes effect.  Debt collectors who violate the proposed legislation could be fined up to $10,000 for a first offense, $20,000 for any subsequent offenses, plus attorneys’ fees and costs.  Such increased fines may cause debt collectors to think twice prior to committing any violations.