The California Senate passed SB233 on Friday, a measure that would require debt buyers to have a lengthy list of account information on hand before collection efforts can start.
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The bill, also called the Fair Debt Buying Practices Act, specifically requires purchasers of charged-off consumer debt to prove they are the sole owner of the debt. They must know the account balance at chargeoff, date of default or last payment, name and address of the creditor and debtor and have a complete chain of title on the account if bought and sold multiple times.
The bill passed by a unanimous 36-0 vote. It now will be considered by California’s General Assembly.
