Bill Would Require Correct ID in Debt-Collections

By: AP Email
By: AP Email

SACRAMENTO, Calif. (AP) - Debt collectors would have to make sure they are going after the right person under a bill working its way through the Legislature.

Democratic Sen. Mark Leno of San Francisco says some unscrupulous debt-buyers don't care who they target.

They might lure innocent parties into court to obtain default judgments that let them seize property or garnish wages - including from consumers who never owed the debt to begin with.

Even a Southern California state lawmaker found himself a victim when a collection agency arranged to have his Senate paycheck garnished to pay off a debt that wasn't his.

The bill, SB233, was approved unanimously Friday by the Senate. It requires debt-buyers to have documents proving they are going after the right individual.

It now goes to the Assembly.

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