Debt collector laws in New York

The New York Debt Collection Procedures law (General Business Law Article 29-H) and DFS debt collection rule (23 NYCRR Part 1): what it adds to federal law, who must be licensed, where to complain and the medical debt rules in New York.

Short answer

New York has its own debt collection law: the New York Debt Collection Procedures law (General Business Law Article 29-H) and DFS debt collection rule (23 NYCRR Part 1). It also covers original creditors collecting their own debts. New York has no statewide license for debt collectors. You can complain to New York State Attorney General, Bureau of Consumer Frauds and Protection (also NYS Department of Financial Services for third-party collectors). The CFPB also takes complaints.

State law
Yes
Covers original creditors
Yes
License required
No statewide license
Extra protections listed
4

What New York law says about collectors

State law
New York Debt Collection Procedures law (General Business Law Article 29-H) and DFS debt collection rule (23 NYCRR Part 1)
Law
N.Y. Gen. Bus. Law §§ 600-604; 23 NYCRR Part 1
Covers original creditors
Yes
Official text
Read the law

New York's law reaches original creditors as well, as in 22 of the 48 states we cover.

New York rules on medical debt

Hospitals and licensed providers must sue within 3 years of treatment (CPLR 213-d). They cannot garnish wages or put a lien on your primary home for a medical debt judgment (CPLR 5231(b), 5201(b)). Credit bureaus may not report medical debt (GBL § 380-j). Note: on October 28, 2025 the federal Consumer Financial Protection Bureau issued an interpretive rule saying that the federal Fair Credit Reporting Act generally preempts state laws that ban medical debt from credit reports (90 Fed. Reg. 48710). The state law is still on the books, but credit bureaus may argue it cannot be enforced, and courts have the final say.

Protections New York adds to federal law

  • Creditors and their agents may not tell your employer about the debt before getting a final judgment (GBL § 601(4)).
  • They may not share information about a debt you dispute without saying it is disputed (GBL § 601(5)).
  • Before taking payment on a debt they know or should know is too old to sue on, third-party collectors and debt buyers must give you a statute-of-limitations disclosure (23 NYCRR § 1.3).
  • For consumer credit debts, once the 3-year limit runs out, a payment or promise does not restart it (CPLR 214-i).

Can you sue a collector under New York law?

GBL § 601 itself is enforced by the Attorney General and district attorneys (violations are misdemeanors). You can sue under GBL § 349 for a deceptive practice: actual damages or $50, whichever is more, up to triple damages capped at $1,000 for willful violations, plus attorney's fees. You can also sue under the federal FDCPA.

Under federal law you can also sue a collector that breaks the FDCPA within 1 year, for your actual damages, up to $1,000 more and your attorney's fees (15 U.S.C. 1692k).

Licenses for collection agencies in New York

License required
No statewide license
Who licenses
No statewide license. New York City requires a debt collection agency license from the NYC Department of Consumer and Worker Protection (DCWP); some other cities have their own rules.
Check a license
Official license lookup

Like New York, 12 of the 48 states we cover don't license collectors statewide.

In nearby states

Reporting a collector in New York

Also in New York

  • In New York City, debt collection agencies must hold a DCWP license.

If a collector breaks the rules in New York

  1. Write it down

    Log each call (date, time, who) and keep every letter, voicemail and text.

  2. Identify the collector

    New York has no statewide license, so ask the collector for its full name and address and keep them with your records.

  3. Put your request in writing

    Use a letter to dispute a debt or to stop collector calls; keep a copy and the mailing receipt.

  4. Report the collector

    Complain to New York State Attorney General, Bureau of Consumer Frauds and Protection (also NYS Department of Financial Services for third-party collectors). You can also complain to the CFPB at consumerfinance.gov/complaint.

  5. Know your right to sue in New York

    Under New York law: GBL § 601 itself is enforced by the Attorney General and district attorneys (violations are misdemeanors).

Questions about collector laws in New York

Does New York license debt collectors?

No. No statewide license. New York City requires a debt collection agency license from the NYC Department of Consumer and Worker Protection (DCWP); some other cities have their own rules.

Is there a New York debt collection act?

Yes: the New York Debt Collection Procedures law (General Business Law Article 29-H) and DFS debt collection rule (23 NYCRR Part 1) (N.Y. Gen. Bus. Law §§ 600-604; 23 NYCRR Part 1). It also covers original creditors collecting their own debts.

Does New York protect people with medical debt?

Hospitals and licensed providers must sue within 3 years of treatment (CPLR 213-d). They cannot garnish wages or put a lien on your primary home for a medical debt judgment (CPLR 5231(b), 5201(b)). Credit bureaus may not report medical debt (GBL § 380-j). Note: on October 28, 2025 the federal Consumer Financial Protection Bureau issued an interpretive rule saying that the federal Fair Credit Reporting Act generally preempts state laws that ban medical debt from credit reports (90 Fed. Reg. 48710). The state law is still on the books, but credit bureaus may argue it cannot be enforced, and courts have the final say.

Where can I complain about a debt collector in New York?

New York State Attorney General, Bureau of Consumer Frauds and Protection (also NYS Department of Financial Services for third-party collectors): https://ag.ny.gov/file-complaint/consumer · 1-800-771-7755

Does New York law let me sue a collector?

GBL § 601 itself is enforced by the Attorney General and district attorneys (violations are misdemeanors). You can sue under GBL § 349 for a deceptive practice: actual damages or $50, whichever is more, up to triple damages capped at $1,000 for willful violations, plus attorney's fees. You can also sue under the federal FDCPA.

How do I check a debt collector's license in New York?

Use New York's official license lookup: https://www.nyc.gov/site/dca/businesses/license-checklist-debt-collection-agency.page.

What extra rules do collectors face in New York?

Creditors and their agents may not tell your employer about the debt before getting a final judgment (GBL § 601(4)). They may not share information about a debt you dispute without saying it is disputed (GBL § 601(5)). Before taking payment on a debt they know or should know is too old to sue on, third-party collectors and debt buyers must give you a statute-of-limitations disclosure (23 NYCRR § 1.3).

Related New York pages

Sources

Last checked: Oct 24, 2026.

Federal sources