The American Financial Service Association along with the West Virginia Bankers Association applauded Gov. Earl Ray Tomblin for signing a measure that originated out of the state that Senate officials said made much needed revisions to the state’s collections law.

Currently, AFSA explained a creditor or debt collector is prohibited from communicating with a consumer “whenever it appears” the consumer is represented by an attorney. Officials indicated Senate Bill 542 requires written notice to the creditor or debt collector that the consumer is represented by an attorney with regard to the debt before any communication is considered a violation.

“West Virginia was arguably the worst state to collect a debt in, mostly due to judicial interpretation,” AFSA officials said.

AFSA indicated the new law clarifies that simply making the phone ring of a consumer who is represented by an attorney is not a violation and that a conversation must occur. It also specifies that a violation of the statute is only triggered if the collector or creditor calls a consumer more than 30 times per week or engages a consumer in telephone conversation more than 10 times per week.

Once 30 calls or 10 conversations per week is triggered, additional calls are limited to actual damages and $1,000 per violation, with a cap of the greater of $175,000 or the total outstanding indebtedness.

The new law also sets a statute of limitations of four years after a violation for actions filed on or after Sept 1, 2015.

Senate Bill 542’s provisions will go into effect June 12, officials said.