Debt collector laws in Vermont

The Vermont Consumer Protection Act and Attorney General Consumer Protection Rule CP 104 (Debt Collection): what it adds to federal law, who must be licensed, where to complain and the medical debt rules in Vermont.

Short answer

Vermont has its own debt collection law: the Vermont Consumer Protection Act and Attorney General Consumer Protection Rule CP 104 (Debt Collection). It also covers original creditors collecting their own debts. Vermont has no statewide license for debt collectors. You can complain to Vermont Attorney General – Consumer Assistance Program (CAP). The CFPB also takes complaints.

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

What Vermont law says about collectors

State law
Vermont Consumer Protection Act and Attorney General Consumer Protection Rule CP 104 (Debt Collection)
Law
9 V.S.A. §§ 2453, 2461; Vt. Admin. Code CP 104
Covers original creditors
Yes
Official text
Read the law

Only 22 of our 48 state guides, Vermont among them, apply the state law to original creditors too.

Medical debt in Vermont

Act 21 of 2025 (effective July 1, 2025): credit bureaus may not report or keep medical debt in your file (9 V.S.A. § 2466d), and large health care facilities and medical debt collectors may not report medical debt to credit bureaus (18 V.S.A. § 9485(b)). Large health care facilities may sell medical debt only to a charity that cancels it (18 V.S.A. § 9485(a); the section was first added in 2022 and amended by Act 21). Act 21 also funded a $1 million State Treasurer program to buy and cancel some Vermonters' medical debt. Small claims court can't hear collection of consumer credit or medical debt over $5,000 (12 V.S.A. § 5531(e)). 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.

Extra Vermont protections

  • Collectors, including creditors collecting their own debts, may not tell your employer about the debt before a court judgment unless you or your lawyer agree in writing (CP 104.03(a), 104.07(1)).
  • They may not discuss your debt with family members other than your spouse (or parents of a minor), except after judgment or with consent (CP 104.03(b)).
  • They may not get you to sign an acknowledgment of a time-barred or bankrupt debt without clearly explaining its effect and that you don't have to (CP 104.05(a)).
  • They may not keep calling your workplace against your instructions (CP 104.02(e)); the AG says contact is limited to 8 a.m.–9 p.m.

Can you sue a collector under Vermont law?

Yes. Breaking an AG rule is prima facie proof of an unfair practice (9 V.S.A. § 2453(d)). You can sue for your damages or the money you paid, reasonable attorney's fees, and exemplary damages up to three times what you paid (9 V.S.A. § 2461(b)).

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).

Collector licensing in Vermont

License required
No statewide license
Who licenses
No general collection agency license found. The Department of Financial Regulation licenses lenders, loan servicers and debt adjusters, but its license list has no collection agency category.
Check a license
Official license lookup

Vermont is one of 12 states in our 48 state guides with no statewide license.

In nearby states

Good to know in Vermont

  • Vermont's debt collection rule applies to creditors collecting their own debts, not just collection agencies (CP 104.07(1)).

Where to complain in Vermont

If a collector breaks the rules in Vermont

  1. Write it down

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

  2. Identify the collector

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

  3. Send a letter

    Write to dispute a debt or to stop collector calls, and keep a copy with proof of mailing.

  4. Report the collector

    Complain to Vermont Attorney General – Consumer Assistance Program (CAP). You can also complain to the CFPB at consumerfinance.gov/complaint.

  5. Know your right to sue in Vermont

    Under Vermont law: Yes. Breaking an AG rule is prima facie proof of an unfair practice (9 V.S.A. § 2453(d)).

Questions about collector laws in Vermont

Do debt collectors need a license in Vermont?

No. No general collection agency license found. The Department of Financial Regulation licenses lenders, loan servicers and debt adjusters, but its license list has no collection agency category.

Is there a Vermont debt collection act?

Yes: the Vermont Consumer Protection Act and Attorney General Consumer Protection Rule CP 104 (Debt Collection) (9 V.S.A. §§ 2453, 2461; Vt. Admin. Code CP 104). It also covers original creditors collecting their own debts.

Are there medical debt rules in Vermont?

Act 21 of 2025 (effective July 1, 2025): credit bureaus may not report or keep medical debt in your file (9 V.S.A. § 2466d), and large health care facilities and medical debt collectors may not report medical debt to credit bureaus (18 V.S.A. § 9485(b)). Large health care facilities may sell medical debt only to a charity that cancels it (18 V.S.A. § 9485(a); the section was first added in 2022 and amended by Act 21). Act 21 also funded a $1 million State Treasurer program to buy and cancel some Vermonters' medical debt. Small claims court can't hear collection of consumer credit or medical debt over $5,000 (12 V.S.A. § 5531(e)). 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 Vermont?

Vermont Attorney General – Consumer Assistance Program (CAP): https://ago.vermont.gov/cap/get-help-consumer-complaint · 800-649-2424

Can I take a collector to court under Vermont law?

Yes. Breaking an AG rule is prima facie proof of an unfair practice (9 V.S.A. § 2453(d)). You can sue for your damages or the money you paid, reasonable attorney's fees, and exemplary damages up to three times what you paid (9 V.S.A. § 2461(b)).

Where can I look up a collector's Vermont license?

Use Vermont's official license lookup: https://dfr.vermont.gov/consumers/verify-license.

What extra rules do collectors face in Vermont?

Collectors, including creditors collecting their own debts, may not tell your employer about the debt before a court judgment unless you or your lawyer agree in writing (CP 104.03(a), 104.07(1)). They may not discuss your debt with family members other than your spouse (or parents of a minor), except after judgment or with consent (CP 104.03(b)). They may not get you to sign an acknowledgment of a time-barred or bankrupt debt without clearly explaining its effect and that you don't have to (CP 104.05(a)).

More for Vermont

Sources

Last checked: Oct 24, 2026.

Federal sources