Lenders required to pause monthly payments on seized property, and lenders prohibited from reporting failure to make monthly payments on seized property.

HF 2564 requires lenders to pause monthly payments for victims when property (like a phone or vehicle) is seized as evidence in a crime. Lenders must stop billing until the property is returned to the victim, and cannot report missed payments to credit agencies during the seizure. Victims must provide law enforcement documentation verifying the property was seized. This protects crime victims from credit damage and ongoing billing while their property is held as evidence.