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American Financial Services Association

Maryland Coerced Debt Bill

Maryland Coerced Debt Bill

AFSA’s State Government Affairs team recently submitted comments expressing serious concerns with Maryland’s HB 1198, a well‑intentioned bill aimed at addressing economic abuse but written so broadly that it may unintentionally enable fraud.

While AFSA strongly supports protecting victims of domestic and economic abuse, the current language risks forcing creditors to write off legitimate debts and undermines long‑standing secured‑transactions law. AFSA urges lawmakers to adopt targeted amendments that safeguard victims while preventing misuse of the coerced‑debt process.

These letters, along with SGA’s other recent letters, can be found on the direct advocacy section of AFSA’s website.

March 26th, 2026

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