Column: A new California law is kicking in that will help keep debt collectors at bay

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Column: A new California law is kicking in that will help keep debt collectors at bay
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When SB 616 was signed into law last year, it was intended as a safety net for low-income households. The pandemic has changed that.

If you owe money, and especially if you’ve got debt collectors breathing down your neck, here’s some good news.

What SB 616 does is give people some breathing room if their finances are spinning out of control. It provides a little extra time to try work out more manageable repayment terms with collectors. “It’s not hard to imagine that a lot of Californians are loading up their credit cards right now, just trying to get by,” she told me. “Once debt gets to a collector, they’ll go after it any way they can.”

He said more than 100,000 Californians were in danger of having their bank accounts emptied prior to the pandemic.warned in June

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