Apr
19

Justices Appear Reluctant to Close Debt Collection Loophole

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Justice Neil M. Gorsuch heard his fifth Supreme Court argument on Tuesday, the first in which he asked no questions. CreditGabriella Demczuk for The New York Times

WASHINGTON — A Supreme Court argument on Tuesday explored a gap in a federal debt collection law, one that consumer groups say allows some debt collectors to engage in abusive tactics. But the justices did not seem inclined to fill the gap.

When Congress enacted the Fair Debt Collection Practices Act in 1977, it imposed strict regulations on firms that collected other companies’ debts. But it did not address the activities of businesses like banks, credit card companies and car dealerships that collect their own debts…

Justices Appear Reluctant to Close Debt Collection Loophole

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