To make debt litigation as convenient as possible for the consumer, federal law (FDCPA § 811) says the suit must be brought in the judicial district:
- where the consumer signed the credit or other contract that created the debt, or
- where the consumer lives when the suit is “commenced”, or
- where real property is located if the property secures payment of the debt.
But some consumer organizations say that there are still problems for consumers who must travel to distant courthouses in states with very large judicial districts.
- Current practice. Where do most collectors file suit? Does it depend on the type of debt, the amount of the debt, or something else?
- Size of judicial district. Are there consumer protection problems because of the geographic size of judicial districts? Where do these occur? Are any states trying to reduce the burden on consumers of traveling to courts that are far away from where they live?
In general, are there any unfair, deceptive, or abusive practices about where collectors file suit that CFPB should know about?