399-D:14 Provisions Applicable to All Persons Under This Chapter. –
I. Each licensee shall:
(a) Make a written contract with a debtor; and
(b) Immediately furnish the debtor with a true copy thereof.
II. Such contract shall include the following information :
(a) A clear description of the services to be provided to the debtor;
(b) A complete list of the debtor's obligations, as applicable;
(c) A complete list of the creditors holding such obligations, as applicable;
(d) The total charges agreed upon for the licensee's services;
(e) The beginning date and expiration date of the contract, which shall not exceed 60 months;
(f) A cancellation provision;
(g) A prepayment provision, as applicable; and
(h) Other information the commissioner may prescribe by rule.
III. No licensee shall be entitled to any fee from the debtor until the debtor signs the contract.
IV. The dollar amount of any direct or indirect compensation that is or will be received for debt adjustment services from parties other than the consumer, if applicable, shall be disclosed and agreed to in writing by the consumer prior to execution of a debt adjustment contract or agreement by the consumer.
V. No licensee shall use, attempt to use, or make reference to, directly or indirectly, any word or phrase which states or implies that such licensee is bonded, approved, bonded by the state, or approved by the state.
VI. Persons subject to this chapter shall be responsible for the supervision of their employees, agents, and branch offices.
VII. No person shall advertise, print, display, publish, distribute, broadcast, or permit to be advertised, printed, displayed, published, distributed, or broadcast in any manner whatsoever, any statement or representation with regard to the rates, terms, or conditions for debt adjustment under the provisions of this chapter which is false, misleading, or deceptive. Any reference to the amount of a debt shall refer to the original principal amount. Any statement of the amount of an installment, or the rate or amount of interest charges required for any debt, shall comply with the provisions of the federal Consumer Credit Protection Act, 15 U.S.C. section 1601 et seq.
VIII. This chapter, or any part thereof may be modified, amended, or repealed so as to effect a cancellation or alteration of any license, or right of a licensee hereunder, provided that such modification, amendment, or repeal shall not impair or affect the obligation of any preexisting lawful contracts between any licensee and any consumers.
IX. A licensee shall include in every debt adjustment contract a notice, printed in type size equal to at least 12-point type, stating that the consumer or the debtor's attorney may file a complaint with the commissioner.
X. Each licensee shall maintain a positive net worth at all times.
XI. Persons subject to or licensed under this chapter shall abide by applicable federal laws, and regulations adopted thereunder, as amended, including the federal Consumer Credit Protection Act, 15 U.S.C. section 1601 et seq., and the laws, orders, and rules of this state. Any violation of such law, rule, or order shall be a violation of this chapter.
XII. Examination expenses and fees, fines, penalties, and other moneys obliged to be paid to the department shall be paid within 14 days of receipt of notice by the licensee or other person or such later time as determined by the commissioner.
XIII. No revocation, suspension, or surrender of any license shall impair or affect the obligation of any preexisting lawful contract between the licensee and any obligors, and such contracts and all lawful charges thereon may be collected by the licensee, its successors, and assigns.
XIV. All persons subject to or licensed under this chapter shall be qualified on the basis of such factors as experience, knowledge, and financial integrity to conduct business under this chapter.