Nevada Extends Collection Agency-Related COVID-19 Protections

The state of Nevada’s Financial Institutions Division has extended its directive that prohibited collection agencies in the state from attempting to collect from Nevada residents for another 30 days, according to ACA International, which posted a copy of a letter the state sent to licensed entities alerting them to the extension.

The letter included a reference to a declaration that was issued by Nevada Gov. Steve Sisolak last week. The declaration included the following provision (Section 37 for those of you following from home): “Previous Directives not specifically referenced herein remain in effect for the duration specified in those specific Directives or subsequent extensions, unless specifically terminated or extended renewed by subsequent Directive. Directive 018 and all Directives incorporated by reference within Directive 018 with specific expiration dates are extended until June 30, 2020.”

Nevada was one of the first states whose actions impacted the credit and collections industry in response to the coronavirus pandemic. The Financial Institution Division of the state’s Department of Business closed all non-essential businesses, including collection agencies for 30 days on March 19. The initiative also recommended all collection agencies to close for the duration of the directive.

Among some of the other businesses that were allowed to re-open as a result of the governor’s order are:

  • Indoor malls
  • Non-retail indoor venues, like bowling alleys and movie theaters, as long as they do not exceed 50% capacity and adhere to social distancing guidelines
  • Nail salons and barber shops
  • Gyms and fitness facilities, as long as they do not exceed 50% capacity and adhere to social distancing guidelines

Brothels, night clubs, and adult entertainment facilities, like collection agencies, must remain closed.

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