The Department of Defense must now update its regulations regarding debt collections of military personnel to align them with civilian regulations, according to a bill that was signed into law by President Trump yesterday.
The regulation is part of the National Defense Authorization Act. The regulation was originally a bill introduced by Rep. Sean Maloney [D-N.Y.] earlier this year, called the “Protecting Servicemembers from Debt Collectors Act.”
“Americans who sign up to put on the uniform should have the same protections from predatory debt collectors as civilians – and frankly it’s ridiculous that they don’t already,” said Rep. Maloney in a statement when he introduced his proposed legislation. “My bill will fix that problem and make sure protections for our servicemembers are in-line with what exists in the civilian sector.”
Military debt collection regulations must now comply with all federal consumer protection requirements. Military debt collection regulations are covered under a directive from the Department of Defense.
Consumer advocates have spotlighted the number of complaints
