Relief for Small Businesses and Nonprofits Act

2/8/2022, 11:17 PM

Relief for Small Businesses and Nonprofits Act

This bill places restrictions on the collection of debts owed by small businesses and nonprofit organizations during the COVID-19 (i.e., coronavirus disease 2019) emergency period. Among other things, debt collectors may not during such a period

  • enforce a security interest through a repossession or foreclosure,
  • commence or continue litigation to collect a debt,
  • terminate utility service,
  • seize assets,
  • commence or continue an eviction, or
  • charge fees or apply a higher interest rate as a result of nonpayment.

After such a period, debt collectors must provide certain repayment options including extending the repayment period for debts.

Violations of these provisions are subject to civil enforcement.

The Federal Reserve Board must establish a facility to compensate loan holders for losses caused by the suspension of payments.

Congress
116
Number
HR - 6361
Introduced on
2020-03-23
# Amendments
0
Sponsors
+5
Cosponsors
+5

Variations and Revisions

3/23/2020
Text
PDF
XML

Status of Legislation

Bill Introduced
Introduced to House
House to Vote
Introduced to Senate
Senate to Vote

Purpose and Summary

Relief for Small Businesses and Nonprofits Act

This bill places restrictions on the collection of debts owed by small businesses and nonprofit organizations during the COVID-19 (i.e., coronavirus disease 2019) emergency period. Among other things, debt collectors may not during such a period

  • enforce a security interest through a repossession or foreclosure,
  • commence or continue litigation to collect a debt,
  • terminate utility service,
  • seize assets,
  • commence or continue an eviction, or
  • charge fees or apply a higher interest rate as a result of nonpayment.

After such a period, debt collectors must provide certain repayment options including extending the repayment period for debts.

Violations of these provisions are subject to civil enforcement.

The Federal Reserve Board must establish a facility to compensate loan holders for losses caused by the suspension of payments.

Alternative Names
Official Title as IntroducedTo provide loan and obligation payment relief for small businesses and nonprofits affected by the COVID-19 emergency, and for other purposes.
Policy Areas
Finance and Financial Sector
Potential Impact
Alternative dispute resolution, mediation, arbitration•
Bank accounts, deposits, capital•
Cardiovascular and respiratory health•
Civil actions and liability•
Debt collection•
Emergency medical services and trauma care•
Executive agency funding and structure•
Federal Reserve System•
Foreign language and bilingual programs•
Infectious and parasitic diseases•
Interest, dividends, interest rates•
Landlord and tenant•
Postal service•
Public utilities and utility rates•
Small business•
Social work, volunteer service, charitable organizations•
Tax-exempt organizations•
Telephone and wireless communication•
Wages and earnings

Comments

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Recent Activity

Latest Summary3/10/2021

Relief for Small Businesses and Nonprofits Act

This bill places restrictions on the collection of debts owed by small businesses and nonprofit organizations during the COVID-19 (i.e., coronavirus disease 2019) emergency period. Amon...

Latest Action3/23/2020
Referred to the House Committee on Financial Services.