ALBANY— A BILL TO EXTEND PROTECTIONS IN CONSUMER CREDIT cases has passed the state Senate, its main sponsor, state Sen. Andrew Gounardes, announced on Tuesday.
Gounardes’ Consumer Debt Uniformity Act (S.9760) amends the Civil Practice Law and Rules section by adding a new definition of “consumer debt” that is wider than the previous language, “consumer credit transaction,” which refers only to borrowing where advance credit has been approved for borrowers, such as for a credit card or loan. The new definition of “consumer debt” is expanded to situations where the debt was incurred through financial hardship.
The bill would also give consumers, particularly those without legal representation, more protections by requiring plaintiffs to provide specific information to consumers on how to respond to such lawsuits so that they avoid losing the case by default.
The bill, which state Sen. Zellnor Myrie (Kensington/Flatbush) co-sponsors, is now in Assembly Committee.
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