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Bill > HF2564


MN HF2564

MN HF2564
Lenders required to pause monthly payments on seized property, and lenders prohibited from reporting failure to make monthly payments on seized property.


summary

Introduced
03/20/2025
In Committee
03/20/2025
Crossed Over
Passed
Dead

Introduced Session

94th Legislature 2025-2026

Bill Summary

A bill for an act relating to consumer protection; requiring lenders to pause monthly payments on seized property; prohibiting lenders from reporting failure to make monthly payments on seized property; proposing coding for new law in Minnesota Statutes, chapter 325G.

AI Summary

This bill requires lenders to pause monthly payments for victims when their property (such as a cell phone or vehicle) has been seized by law enforcement as evidence related to a crime. To initiate the payment suspension, the victim must provide documentation from law enforcement verifying the property's seizure. The lender must keep the recurring billing suspended until the seized property is returned to the victim. Additionally, the bill prohibits lenders from reporting the victim's failure to make payments to collection agencies during the period of property seizure. This consumer protection measure aims to provide relief for individuals whose property has been temporarily removed as part of a criminal investigation, ensuring they are not financially penalized for circumstances beyond their control.

Committee Categories

Business and Industry

Sponsors (5)

Last Action

Introduction and first reading, referred to Commerce Finance and Policy (on 03/20/2025)

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