Consumer debt consists of personal debts for goods purchased for personal or household consumption—as opposed to debts incurred for the operation of a business. Common examples of consumer debt include (1) credit card debt; (2) student loans; (3) home mortgage loans; (4) car or auto loans; (5) payday loans; (6) medical debts; and (7) unpaid utility and telephone bills.

In Vermont, consumer debt is regulated by both state statutes and federal laws. Credit card debt, student loans, home mortgages, auto loans, payday loans, medical debts, and unpaid utility and telephone bills are all considered consumer debts when they are for personal or household use. Vermont's consumer protection laws are designed to prevent unfair and deceptive practices in consumer transactions. The state follows the federal Fair Debt Collection Practices Act (FDCPA), which sets standards for the collection of consumer debts, prohibiting abusive, deceptive, and unfair debt collection practices. Additionally, Vermont has laws that limit the interest rates that can be charged on consumer loans to prevent usury. For example, payday loans are subject to strict regulations in Vermont, including a cap on interest rates and fees to protect consumers from predatory lending practices. The state also has specific procedures for debt collection, including how and when a debt collector can contact a consumer, and provides consumers with rights to dispute and validate debt information. Consumers facing foreclosure on their home mortgages have certain protections and may have options for mediation. It's important for consumers in Vermont to understand their rights and obligations regarding consumer debt and to seek guidance from an attorney if they face debt collection issues or need legal assistance with managing their debts.