Reps. Sarah McBride (D-DE) and Young Kim (R-CA) have reintroduced the "Ending Credit Repair Scams Act" (HR 306). This bipartisan bill aims to protect consumers from credit repair organizations that make false promises about improving credit history while charging high fees.
American Financial Services Association (AFSA) President and CEO Bill Himpler expressed support for the legislation, stating: "Financial-services companies and consumer advocacy groups are grateful for congressional action on behalf of consumers, having seen first-hand the real harm credit repair organizations cause consumers, often charging hundreds of dollars a month, but yielding few if any positive results."
The introduction of this bill has been reported by several news outlets, including Politico, the Washington Post, and NOTUS. AFSA and other advocacy groups back this initiative to address fraudulent practices in the credit repair industry. The bill seeks to impose stricter regulations on these organizations to ensure transparency and accountability.
AFSA is eager to collaborate with Representatives McBride and Kim to push forward this legislation within the year.