CUR EXCHANGE-LLC-DEBT MGT ACT
Synopsis of Bill as introduced:
Amends the Currency Exchange Act. Provides that the Act applies
to limited liability companies and authorizes limited liability
companies to conduct business as a currency exchange. Amends the
Financial Planning and Management Service Act. Changes the title of
the Act. Changes the short title to the Debt Management Service Act.
Provides that the Act applies to the business of planning and managing
the financial affairs of a debtor, including receiving money from the
debtor to pay debts. Establishes procedures for revocation and
suspension of licenses. Provides for annual examinations of
licensees. Limits fees that may be charged. Requires client funds to
be maintained in trust funds. Effective January 1, 1998.
SENATE AMENDMENT NO. 2.
Removes provision exempting licensees under the Consumer
Installment Loan Act from the scope of the Debt Management Service
Act. Makes technical changes.
HOUSE AMENDMENT NO. 1.
Limits the amount of fees that a licensee may charge a debtor.
Requires quarterly, rather than monthly, accounting to the debtor.
Provides that a majority of the members of the Advisory Board must be
active in a debt management or consumer credit counseling service.
HOUSE AMENDMENT NO. 2.
Provides that the average monthly counseling fee may not exceed
$30, rather than $20, per debtor for all debtors counseled.
FISCAL NOTE, S-AM 2 & H-AM's 1 & 2 (Dept. of Financial Inst.)
SB 805, amended by S-am 2 and H-am's 1 & 2 would have no fiscal
impact on this Dept.
GOVERNOR'S AMENDATORY VETO MESSAGE
In a Section of the General Not For Profit Corporation Act that
lists purposes for which not-for-profit corporations may be formed,
recommends including among those purposes the provision of debt
management services as authorized by the Debt Management Service Act.
Last action on Bill: PUBLIC ACT.............................. 90-0545
Last action date: 97-12-01
Amendments to Bill: AMENDMENTS ADOPTED: HOUSE - 2 SENATE - 1
END OF INQUIRY
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