H.B. 638 Summary

• Prohibits creditors and debt collectors from charging late fees, fines, or penalties during the covered period if a bill statement is sent via United States postal service and not delivered within seven days of the date stated on the bill.

• Defines "covered period" as beginning on the effective date of this section and ending thirty days after the end of Emergency Executive Order 2020-01D (issued March 9, 2020).

• Requires creditors and debt collectors to assume postal service delays caused late payments when bill statements were sent during the covered period via United States postal service.

• Makes any attempt to charge late fees, fines, or penalties void if both conditions are met: the bill was sent via postal service during the covered period and was not delivered within seven days of the stated date.

• Declares the act an emergency measure to provide temporary relief to consumers negatively impacted by United States postal service delays, effective immediately upon passage.