Bill > S3207

This bill amends Title 10 of the United States Code to allow members of the Armed Forces and their dependents to sue creditors who violate protections related to consumer credit. If a creditor violates these protections, they can be held civilly liable for actual damages, which must be at least $500 per violation, as well as punitive damages, and court-ordered actions like injunctions (equitable relief) or official statements of rights (declaratory relief). Successful plaintiffs can also recover their legal costs and attorney fees, while defendants who prove a lawsuit was filed in bad faith can recover their own attorney fees. Creditors can avoid liability if they can demonstrate that a violation was unintentional and resulted from a genuine mistake despite having reasonable procedures in place to prevent errors, though errors in legal judgment are not considered genuine mistakes. These lawsuits can be filed in federal district courts or other competent courts within two years of discovering the violation or five years of the violation occurring, whichever comes first, and the changes apply to consumer credit extended on or after the bill's enactment date.