Michigan House Bill HB4887

Michigan 2025-2026 Regular Session

• Introduced: 9/11/25
• Refer: 9/11/25

Caption

Occupations: collection practices; licensing of collection agencies; modify. Amends secs. 303a & 411 of 1980 PA 299 (MCL 339.303a & 339.411) & repeals art. 9 of 1980 PA 299 (MCL 339.901 - 339.920) & sec. 21 of 1979 PA 152 (MCL 338.2221).

Impact

The proposed changes in HB 4887 are set to streamline the licensing process for collection agencies, making it more accessible for individuals to regain their professional standings without the burdens of retraining or testing after a temporary lapse in their license. As such, this amendment could potentially reduce barriers to re-entry into the workforce for professionals who may have faced personal or professional challenges leading to lapsed licenses.

Repeals

In addition to modifications concerning the licenses, HB 4887 seeks to repeal certain sections of the Michigan Occupational Code related to the regulation of collection agencies, as well as provisions in the state license fee act. This repeal is aimed at modernizing the regulatory framework and removing outdated or redundant requirements that no longer serve the needs of current market conditions.

Summary

House Bill 4887 aims to amend the Michigan Occupational Code of 1980, specifically targeting the licensing and regulation of collection agencies and related professions. This bill proposes to modify the licensing process, including the conditions under which licenses may lapse and the provisions for renewing them. A significant feature of the bill is the ability to renew licenses after a lapse without requiring applicants to retake examinations or meet new educational requirements, provided they apply within a specific time frame and pay associated fees.

Contention

While the bill can be seen as a positive step towards supporting professionals, it has raised concerns among some stakeholders. Opponents argue that the reduced requirements for license renewal may compromise the integrity and competency of licensed professionals. They fear that less stringent renewal criteria may allow individuals with previous disciplinary issues to return to practice without adequate oversight, potentially putting consumers at risk.