AFSA Concerns for NJ’s Bill Regarding Debt Adjusters
AFSA’s State Government Affairs team submitted a comment letter to the New Jersey Senate regarding S1310, which would permit specific for-profit debt adjusters to be licensed for conducting business in the state.
AFSA expresses concerns for the effect this bill would have on its members and their customers in New Jersey, by approving “debt adjusters” who worsen the situation for struggling borrowers. These adjusters charge high fees but do not offer any additional value beyond what borrowers can already obtain for free by directly negotiating with their creditors. There is substantial and increasing evidence indicating that certain “debt settlement” companies frequently engage in unethical and predatory practices, collecting fees without ever reaching out to lenders.
This letter, along with SGA’s other recent letters, can be found on the direct advocacy section of AFSA’s website.
June 21st, 2024
