CT SB01086

Defines "coerced debt" as personal, family, or household debt incurred by a domestic violence victim through duress, intimidation, threat of force, force, fraud, or undue influence.

Requires consumer collection agencies to cease collection of debts identified as coerced debt when provided with proper documentation, but allows collection from the perpetrator of the coerced debt.

Establishes "documentation of coerced debt" requirements including police reports, Federal Trade Commission identity theft reports, court orders, or sworn certifications from qualified professionals (domestic violence counselors, therapists, psychiatrists, or attorneys).

Requires credit rating agencies to reinvestigate debts identified as coerced debt and remove references to confirmed coerced debt from consumer credit reports, except where federal law provides otherwise.

Effective date: October 1, 2023.