Occupations: collection practices; references to collection agencies in 1989 PA 211; revise. Amends sec. 2 of 1989 PA 211 (MCL 445.272). TIE BAR WITH: HB 4887'25

HB 4890 requires debt collectors to send written notice to cosigners before reporting negative information to credit agencies or taking collection actions against them. Specifically, collectors must mail a notice to cosigners at least 30 days before reporting or pursuing collection, explaining the primary borrower's default and allowing the cosigner time to pay or arrange payment. This applies to most debt collectors but excludes certain entities like banks collecting their own claims. The bill directly affects cosigners on loans (e.g., auto, credit cards) by giving them a formal window to resolve debts before negative credit reporting occurs.