The proposed bill aims to enhance consumer protection by requiring lenders to pause monthly payments on property that has been seized by law enforcement due to criminal activity. Specifically, it mandates that sellers or lenders suspend billing requirements for victims when their cell phone, vehicle, or other associated property is seized. To initiate this suspension, victims must provide documentation from law enforcement confirming the seizure. Payments can only be resumed once the property is returned to the victim.

Additionally, the bill prohibits sellers or lenders from reporting any failure to make payments on the seized property to collection agencies during the period of seizure. This provision is designed to protect victims from negative credit implications while their property is in law enforcement custody. The new legal language is proposed to be codified in Minnesota Statutes, chapter 325G, under the section titled "Victim Payment Suspension."