CIVIL RELIEF FROM COERCED DEBT ACT

HB 313 creates the "Civil Relief from Coerced Debt Act" to help victims of abuse or exploitation (like domestic violence, human trafficking, or identity theft) escape debts they were forced to incur. It requires debtors to submit a verified statement with supporting evidence (such as police reports or medical documentation) to creditors, proving the debt was coerced. Creditors must then immediately stop collection efforts, return any payments made, remove negative credit reports, and refrain from selling the debt - all within 10 business days of receiving the statement. This law directly affects victims of coercion and all creditors, including debt collectors and debt buyers, who must follow these new procedures.