SBA Collections Act of 2023

SBA Collections Act of 2023

This bill prohibits the Small Business Administration (SBA) from discharging, suspending, or ending collection action on any claim related to a Paycheck Protection Program (PPP) loan or Economic Injury Disaster Loan (EIDL).

Additionally, the SBA must refer such claims that are for $100,000 or less to the Department of the Treasury and Treasury must make a final decision for the disposition of such claims.

The SBA must provide monthly briefings to, and the SBA Administrator must annually testify before, the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives about the collection of claims for such loans.

Bill 118 s 1142, also known as the SBA Collections Act of 2023, is a piece of legislation currently being considered by the US Congress. The bill aims to address issues related to the collection of debts owed to the Small Business Administration (SBA).

One of the key provisions of the bill is the establishment of a new process for the collection of debts owed to the SBA. This process would involve the use of private collection agencies to assist in the recovery of these debts. The bill also includes provisions aimed at improving the efficiency and effectiveness of the debt collection process, such as streamlining procedures and increasing transparency.

Additionally, the bill includes measures to protect small businesses from unfair debt collection practices. These measures include requirements for collection agencies to adhere to certain standards of conduct and provide clear and accurate information to debtors. Overall, the SBA Collections Act of 2023 seeks to improve the collection of debts owed to the SBA while also ensuring that small businesses are treated fairly in the debt collection process. The bill is currently under review in Congress and may undergo further revisions before being voted on.