COLLECTION AGENCIES

Nev. Rev. Stat. 649
in effect

Nev. Rev. Stat. § 649.005 Definitions.

As used in this chapter, unless the context otherwise requires, the words and terms defined in NRS 649.010 to 649.044, inclusive, have the meanings ascribed to them in those sections.

Nev. Rev. Stat. § 649.010 “Claim” defined.

“Claim” means any obligation for the payment of money or its equivalent that is past due, delinquent or in default and assigned to a collection agency.

Nev. Rev. Stat. § 649.015 “Collection activities” defined.

“Collection activities” means activities performed by a collection agency or collection agents related to the collection of or attempt to collect a claim.

Nev. Rev. Stat. § 649.020 “Collection agency” defined.

1. “Collection agency” means all persons engaging, directly or indirectly, and as a primary or a secondary object, business or pursuit, in the collection of or in soliciting or obtaining in any manner the payment of a claim owed or due or asserted to be owed or due to another. 2. “Collection agency” does not include any of the following unless they are conducting collection activities in a capacity other than that described in this subsection: (a) Natural persons regularly employed by an exempt entity on a regular wage or salary who, on behalf of the exempt entity, collect a claim owed to the exempt entity provided that such persons are not engaged in the business of a collection agency or making or attempting to make collections as an incident to the usual practices of their primary business or profession. (b) Banks, savings banks, credit unions, thrift companies or trust companies. (c) Nonprofit cooperative associations. (d) Unit-owners’ associations and the board members, officers, employees and units’ owners of those associations when acting under the authority of and in accordance with chapter 116 or 116B of NRS and the governing documents of the association, except for those community managers included within the term “collection agency” pursuant to subsection 3. (e) Abstract companies doing an escrow business. (f) Duly licensed real estate brokers, except for those real estate brokers who are community managers included within the term “collection agency” pursuant to subsection 3. (g) Attorneys and counselors at law licensed to practice in this State, so long as they are retained by their clients to collect or to solicit or obtain payment of such clients’ claims in the usual course of the practice of their profession. (h) A mortgage servicer licensed pursuant to chapter 645F of NRS, except where such a mortgage servicer is attempting to collect a claim that was assigned when the relevant loan was in default. (i) Any person collecting in his or her own name on a claim that he or she originated. (j) Any person servicing a claim that he or she originated and sold. (k) Any person or entity described in 15 U.S.C. § 1692a(6)(A) to 1692a(6)(F), inclusive. 3. “Collection agency” includes: (a) A community manager while engaged in the management of a common-interest community or the management of an association of a condominium hotel if the community manager, or any employee, agent or affiliate of the community manager, performs or offers to perform any act associated with the foreclosure of a lien pursuant to NRS 116.31162 to 116.31168 , inclusive, or 116B.635 to 116B.660 , inclusive; and (b) A debt buyer. 4. “Collection agency” does not include any community manager, other than a community manager described in paragraph (a) of subsection 3, while engaged in the management of a common-interest community or the management of an association of a condominium hotel. 5. As used in this section: (a) “Community manager” has the meaning ascribed to it in NRS 116.023 or 116B.050 . (b) “Unit-owners’ association” has the meaning ascribed to it in NRS 116.011 or 116B.030 .

Nev. Rev. Stat. § 649.025 “Collection agent” defined.

“Collection agent” means any person, who, on behalf of a collection agency, makes a collection, solicitation or investigation of a claim at a place or location other than the business premises of the collection agency, but does not include: 1. Employees of a collection agency whose activities and duties are restricted to the business premises of the collection agency. 2. The individuals, corporations and associations enumerated in subsection 2 of NRS 649.020 .

Nev. Rev. Stat. § 649.028 “Compliance manager” defined.

“Compliance manager” means a person who: 1. Holds a compliance manager’s certificate; 2. Is designated as the compliance manager of a collection agency; 3. Shares equally with the holder of a license to conduct a collection agency the responsibility for the collection operation of the collection agency; and 4. Devotes a majority of the hours he or she works as an employee of the agency to the actual oversight and compliance of that collection agency.

Nev. Rev. Stat. § 649.030 “Customer” defined.

“Customer” means any person authorizing or employing a collection agency for any of the purposes permitted or authorized by this chapter.

Nev. Rev. Stat. § 649.031 “Debt buyer” defined.

“Debt buyer” means a person who is regularly engaged in the business of purchasing claims that have been charged off for the purpose of collecting such claims, including, without limitation, by personally collecting claims, hiring a third party to collect claims or hiring an attorney to engage in litigation for the purpose of collecting claims.

Nev. Rev. Stat. § 649.033 “Exempt entity” defined.

“Exempt entity” means an entity described in paragraphs (b) to (k), inclusive, of subsection 2 of NRS 649.020.

Nev. Rev. Stat. § 649.036 “Medical debt” defined.

1. “Medical debt” means any debt owed for goods or services provided by a medical facility, a provider of health care or a provider of emergency medical services. 2. Except as otherwise provided in subsection 3, the term includes the financing or an extension of credit by a third party for the sole purpose of purchasing goods or services provided by a medical facility, a provider of health care or a provider of emergency medical services. 3. The term does not include an open-end or closed-end extension of credit made by a financial institution to a borrower that may be used by the borrower, at his or her own discretion, for any purpose other than the purchase of goods or services provided by a medical facility, a provider of health care or a provider of emergency medical services.

Nev. Rev. Stat. § 649.039 “Nationwide Multistate Licensing System and Registry” or “Registry” defined.

“Nationwide Multistate Licensing System and Registry” or “Registry” has the meaning ascribed to it in NRS 604A.083.

Nev. Rev. Stat. § 649.041 “Provider of emergency medical services” defined.

“Provider of emergency medical services” means: 1. The operator of an ambulance or air ambulance; or 2. A fire-fighting agency which provides transportation for persons in need of emergency services and care to hospitals.

Nev. Rev. Stat. § 649.042 “Provider of health care” defined.

“Provider of health care” has the meaning ascribed to it in NRS 629.031.

Nev. Rev. Stat. § 649.044 “Remote location” defined.

“Remote location” means a location separate from either the principal place of business or a branch office of a collection agency.

Nev. Rev. Stat. § 649.045 Legislative finding and declaration.

The Legislature finds and declares that: 1. There exists in this State a need for more stringent regulatory control over collection agencies to ensure that they are composed only of responsible and well qualified personnel. 2. It is the purpose of this chapter to: (a) Bring licensed collection agencies and their personnel under more stringent public supervision; (b) Establish a system of regulation to ensure that persons using the services of a collection agency are properly represented; and (c) Discourage improper and abusive collection methods.

Nev. Rev. Stat. § 649.051 Administration and enforcement of chapter.

The Commissioner shall administer and enforce the provisions of this chapter, subject to the administrative supervision of the Director of the Department of Business and Industry.

Nev. Rev. Stat. § 649.053 Regulations.

The Commissioner shall adopt such regulations as may be necessary to carry out the provisions of this chapter.

Nev. Rev. Stat. § 649.056 Regulations prescribing methods of conducting business; investigations and examinations.

The Commissioner may: 1. By regulation prescribe for collection agencies the method and manner of: (a) Keeping records. (b) Preparing and filing financial and other reports. (c) Handling trust funds and accounts. (d) The transfer or assignment of accounts and other agreements. (e) Using fair practices for the solicitation of business and collection of accounts. (f) The operation of such other phases of the business as may be necessary to promote the best interests of the industry and the public. 2. Conduct such investigations or examinations of collection agencies, their personnel, activities, books, records and other matters as may be necessary to ensure compliance with the purposes and provisions of this chapter.

Nev. Rev. Stat. § 649.057 Investigations and hearings.

In the conduct of any investigation or hearing, the Commissioner may: 1. Compel the attendance of any person by subpoena. 2. Administer oaths. 3. Examine any person under oath concerning the business and conduct of affairs of any person subject to the provisions of this chapter and in connection therewith require the production of any books, records or papers relevant to the inquiry.

Nev. Rev. Stat. § 649.059 Approval of printed forms.

The Commissioner may require collection agencies to submit any printed form of agreements, listing sheets, acknowledgments, communications or other documents used in its business for the Commissioner’s approval or disapproval.

Nev. Rev. Stat. § 649.061 Notification of results of examination; retention and destruction of examination papers.

1. The Commissioner shall notify all applicants for licensure or certification of the results of any examination taken under this chapter, by certified mail, as soon as the results are available. 2. All examination papers must be kept on file in the Office of the Commissioner for at least 1 year, after which they may be destroyed.

Nev. Rev. Stat. § 649.065 Records: Maintenance by Commissioner; contents; confidentiality and disclosure of application and personal or financial records and other documents submitted or obtained pursuant to certain examination, audit or investigation.

1. The Commissioner shall keep in the Office of the Commissioner, in a suitable record provided for the purpose, all applications for certificates, licenses and all bonds required to be filed under this chapter. The record must state the date of issuance or denial of the license or certificate and the date and nature of any action taken against any of them. 2. All licenses and certificates issued must be sufficiently identified in the record. 3. All renewals must be recorded in the same manner as originals, except that, in addition, the number of the preceding license or certificate issued must be recorded. 4. Except as otherwise provided in NRS 239.0115 , any application and personal or financial records submitted by a person pursuant to the provisions of this chapter and any personal or financial records or other documents obtained by the Division of Financial Institutions of the Department of Business and Industry pursuant to an examination, audit or investigation conducted by the Division are confidential and may be disclosed only to: (a) The Division, any authorized employee of the Division and any state or federal agency investigating activity covered by this chapter. (b) The Department of Taxation for its use in carrying out the provisions of chapter 363C of NRS.

Nev. Rev. Stat. § 649.067 Records: Certain records relating to complaint or investigation deemed confidential; certain records relating to disciplinary action deemed public records.

1. Except as otherwise provided in this section and NRS 239.0115 , a complaint filed with the Commissioner, all documents and other information filed with the complaint and all documents and other information compiled as a result of an investigation conducted to determine whether to initiate disciplinary action are confidential. 2. The complaint or other document filed by the Commissioner to initiate disciplinary action and all documents and information considered by the Commissioner when determining whether to impose discipline are public records.

Nev. Rev. Stat. § 649.075 License required to engage in business of collection agency; conduct constituting engaging in such business; location for which license required to be obtained; conditions under which debt buyer is authorized to share license with affiliated person.

1. Except as otherwise provided in this section, a person shall not engage in the business of a collection agency within this State without having first applied for and obtained a license as a collection agency from the Commissioner. 2. A person engages in the business of a collection agency in this State for the purposes of subsection 1 if the person is located: (a) In this State and is seeking to collect a claim, regardless of whether the debtor resided or currently resides in this State or another state; (b) In another state and is seeking to collect a claim from a debtor that resides in this State; or (c) In another state and is seeking to collect a claim on behalf of a person or entity that resides in this State. 3. A person engaging in the business of a collection agency shall obtain a license for the office of the principal place of business of the person. A person is not required to obtain a license for a branch office or remote location. 4. A debt buyer may share a single license as a collection agency with a person affiliated with the debt buyer if the affiliated person does not engage in any collection activities other than purchasing claims.

Nev. Rev. Stat. § 649.085 Qualifications of applicant for license.

Every individual applicant, every officer and director of a corporate applicant, and every member of a firm or partnership applicant for a license as a collection agency or collection agent must submit proof satisfactory to the Commissioner that he or she: 1. Has a good reputation for honesty, trustworthiness and integrity and is competent to transact the business of a collection agency in a manner which protects the interests of the general public. 2. Has not had a collection agency license suspended or revoked within the 10 years immediately preceding the date of the application, unless the license was suspended for a minor violation that did not harm a debtor and the license was subsequently restored. 3. Has not been convicted of, or entered a plea of nolo contendere to: (a) A felony relating to the practice of collection agencies or collection agents; or (b) Any crime involving fraud, misrepresentation or moral turpitude. 4. Has not made a false statement of material fact on the application. 5. Will maintain a physical office as the principal place of business. If a collection agent of the applicant will be working from a remote location, the principal place of business of the applicant must be located in the United States. 6. Has established a plan to ensure that his or her collection agency will provide the services of a collection agency adequately and efficiently.

Nev. Rev. Stat. § 649.095 Application for license: Contents; examination of applicant; submission of financial statement; withdrawal of application.

1. An application for a license must be in writing and filed with the Commissioner on a form provided for that purpose. 2. The application must state: (a) The name of the applicant and the name under which the applicant does business or expects to do business. (b) The address of the applicant’s business and residence, including street and number. (c) The character of the business sought to be carried on. (d) Except as otherwise provided in this paragraph, the locations by street and number where the business will be transacted, including, without limitation, the location of any branch office. The application is not required to include any remote location from which a collection agent will work. (e) In the case of a firm or partnership, the full names and residential addresses of all members or partners and the name and residential address of the compliance manager. (f) In the case of a corporation or voluntary association, the name and residential address of each of the directors and officers and the name and residential address of the compliance manager. (g) Any other information reasonably related to the applicant’s qualifications for the license which the Commissioner determines to be necessary. (h) If the applicant plans to have one or more collection agents work from a remote location, evidence that the applicant is able to comply with the provisions of NRS 649.310 to 649.313 , inclusive. (i) All information required to complete the application. 3. The application must be subscribed by the applicant and acknowledged. 4. Every applicant may be examined concerning the applicant’s competency, experience, character and qualifications by the Commissioner or the Commissioner’s authorized agent, and if the examination reveals that the applicant lacks any of the required qualifications, issuance of the license must be denied. Every application must have attached to it a financial statement showing the assets, liabilities and net worth of the applicant. 5. The Commissioner shall consider an application to be withdrawn if the Commissioner has not received all information and fees required to complete the application within 6 months after the date the application is first submitted to the Commissioner or within such later period as the Commissioner determines in accordance with any existing policies of joint regulatory partners. If an application is deemed to be withdrawn pursuant to this subsection or if an applicant otherwise withdraws an application, the Commissioner may not issue a license to the applicant unless the applicant submits a new application and pays any required fees.

Nev. Rev. Stat. § 649.105 Bond or substitute security required; amount and conditions; adjustments in amount.

1. An applicant for a license must file with the Commissioner, concurrently with the application, a bond in the sum of $35,000, or an appropriate substitute pursuant to NRS 649.119 , which must run to the State of Nevada. The bond must be made and executed by the principal and a surety company authorized to write bonds in the State of Nevada. 2. The bonds must be conditioned: (a) That the principal, who must be the applicant, must, upon demand in writing, pay any customer from whom any claim for collection is received, the proceeds of the collection, in accordance with the terms of the agreement made between the principal and the customer; and (b) That the principal must comply with all requirements of this or any other statute with respect to the duties, obligations and liabilities of collection agencies. 3. The Commissioner shall annually determine the appropriate amount of bond or appropriate substitute which must be maintained by the licensee. If applicable, such a determination must be in accordance with the licensee’s average monthly balance in the trust account maintained pursuant to NRS 649.355 : AMOUNT OF AVERAGE MONTHLY BALANCE BOND REQUIRED Less than $100,000......................................................................................... $35,000 $100,000 or more but less than $150,000..................................................... 40,000 $150,000 or more but less than $200,000..................................................... 50,000 $200,000 or more.............................................................................................. 60,000

Nev. Rev. Stat. § 649.115 Form of bond; matters covered by bond; statute of limitations for bringing action on bond.

1. The bond must be in a form approved by the Division of Financial Institutions of the Department of Business and Industry and conditioned that the applicant conduct his or her business in accordance with the requirements of this chapter. 2. The bond must cover all matters placed with the licensee during the term of the license so applied for, or a renewal thereof. 3. No action may be brought upon any bond after the expiration of 2 years from the revocation or expiration of the license. 4. After the expiration of the period of 2 years, all liability of the surety or sureties upon the bond ceases if no action is commenced upon the bond before the expiration of the period.

Nev. Rev. Stat. § 649.119 Deposit as substitute for bond.

1. An applicant for a license may deposit with any bank or trust company authorized to do business in this State, with the permission of the Commissioner, as a substitute for the surety bond required by NRS 649.105 : (a) An obligation of a bank, savings and loan association, savings bank, thrift company or credit union licensed to do business in this State; (b) Bills, bonds, notes, debentures or other obligations of the United States or any agency or instrumentality thereof, or guaranteed by the United States; or (c) Any obligation of this State or any city, county, town, school district or other instrumentality of this State or guaranteed by this State, in an aggregate amount, based upon principal amount or market value, whichever is lower. Ê The deposit must be in a form approved by the Commissioner. 2. The obligations of a bank, savings and loan association, savings bank, thrift company or credit union must be held to secure the same obligation as would the surety bond. With the approval of the Commissioner, the depositor may substitute other suitable obligations for those deposited which must be assigned to the State of Nevada and are negotiable only upon approval by the Commissioner. 3. Any interest or dividends earned on the deposit accrue to the account of the depositor. 4. The deposit must be an amount at least equal to the required surety bond and must state that the amount may not be withdrawn except by direct and sole order of the Commissioner. 5. An applicant is not relieved of the obligation to file the required surety bond until the Commissioner has had a reasonable amount of time to verify whether a deposit made pursuant to this section qualifies as a substitute for the required surety bond.

Nev. Rev. Stat. § 649.125 Investigation by Commissioner.

Upon receiving an application for a license and bond in proper form along with payment of the required fee, the Commissioner shall investigate all the facts stated in the application and the requirements of NRS 649.135.

Nev. Rev. Stat. § 649.135 Approval of application: Conditions; findings; notice; issuance of unique license number; update of public record regarding licensees.

1. The Commissioner shall approve an application for a license and keep on file his or her findings of fact pertaining thereto if the Commissioner finds that the applicant has met all the other requirements of this chapter pertaining to the applicant’s qualifications and application. 2. Upon the approval of the application, the payment of any required fees and the submission of any required information, the Commissioner shall: (a) Notify the applicant of the approval and issue a unique license number to the applicant; and (b) Update any applicable public record maintained by the Commissioner to show that the person holds an active license that authorizes the person to conduct collection activities in this State.

Nev. Rev. Stat. § 649.155 Order denying application; notice of denial.

1. If the Commissioner finds that any application or applicant for a collection agency license does not meet the requirements of NRS 649.135 , the Commissioner shall enter an order denying the application. 2. Within 10 days after the entry of such an order, the Commissioner shall mail or deliver to the applicant written notice of the denial in which all the reasons for such denial are stated.

Nev. Rev. Stat. § 649.165 Rights of licensee.

Upon notification of the approval of the application by the Commissioner pursuant to NRS 649.135, the licensee shall have the right to conduct the business of a collection agency with all the powers and privileges contained in, but subject to, the provisions of this chapter.

Nev. Rev. Stat. § 649.167 License as collection agency valid for principal place of business and branch offices in application; notice to Commissioner of location of additional branch office required.

1. A license as a collection agency granted pursuant to NRS 649.135 is valid for the principal place of business and any branch office of the licensee. 2. Immediately upon beginning to operate a branch office in a location not provided to the Commissioner on the application submitted pursuant to NRS 649.095 , a collection agency shall notify the Commissioner in writing of the location of the branch office.

Nev. Rev. Stat. § 649.175 Certificate required.

No person may be the compliance manager of a collection agency unless the person holds a valid compliance manager’s certificate issued pursuant to the provisions of this chapter.

Nev. Rev. Stat. § 649.185 Application.

Each person who is, or desires to become, the compliance manager of a collection agency shall submit an application for a compliance manager’s certificate to the Commissioner in accordance with the provisions of this chapter. The application must include all information required to complete the application.

Nev. Rev. Stat. § 649.196 Qualifications of applicant; requirements for issuance; notice of refusal to issue certificate; request for hearing; withdrawal of application.

1. Each applicant for a compliance manager’s certificate must submit proof satisfactory to the Commissioner that the applicant: (a) Is at least 21 years of age. (b) Has a good reputation for honesty, trustworthiness and integrity and is competent to oversee the compliance of a collection agency in a manner which protects the interests of the general public. An applicant may demonstrate competency to oversee the compliance of a collection agency by: (1) Holding a certification from a national association that is a nonprofit organization with expertise in the business of collections, compliance or financial services; (2) Having 3 years of experience working in compliance for a collection agency; (3) Holding a professional degree or accreditation relating to compliance of a collection agency; or (4) Serving as a compliance manager on or before October 1, 2023. (c) Has not committed any of the acts specified in NRS 649.215 . (d) Has not had a collection agency license or compliance manager’s certificate suspended or revoked within the 10 years immediately preceding the date of filing the application, unless the license or certificate was suspended for a minor violation that did not harm a debtor and was subsequently restored. (e) Has not been convicted of, or entered a plea of nolo contendere to, a felony or any crime involving fraud, misrepresentation or moral turpitude. (f) Has had not less than 2 years’ full-time experience with a collection agency in the collection of accounts or with a financial institution or as a compliance manager. At least 1 year of the 2 years of experience must have been within the 18-month period preceding the date of filing the application. 2. Each applicant must: (a) Pass the examination or reexamination provided for in NRS 649.205 , unless the examination or reexamination is waived pursuant to subsection 4 of NRS 649.205 . (b) Pay the required fees. (c) Submit such information reasonably related to his or her qualifications for the compliance manager’s certificate as the Commissioner determines to be necessary. 3. The Commissioner may refuse to issue a compliance manager’s certificate if the applicant does not meet the requirements of subsections 1 and 2. 4. If the Commissioner refuses to issue a compliance manager’s certificate pursuant to this section, the Commissioner shall notify the applicant in writing by certified mail stating the reasons for the refusal. The applicant may submit a written request for a hearing within 20 days after receiving the notice. If the applicant fails to submit a written request within the prescribed period, the Commissioner shall enter a final order. 5. The Commissioner shall consider an application to be withdrawn if the Commissioner has not received all information and fees required to complete the application within 6 months after the date the application is first submitted to the Commissioner or within such later period as the Commissioner determines in accordance with any existing policies of joint regulatory partners. If an application is deemed to be withdrawn pursuant to this subsection or if an applicant otherwise withdraws an application, the Commissioner may not issue a compliance manager’s certificate to the applicant unless the applicant submits a new application and pays any required fees.

Nev. Rev. Stat. § 649.205 Examinations: Frequency; location; requirements; reexamination; waiver; regulations.

1. The Commissioner shall provide for compliance managers’ examinations at such times and places as the Commissioner may direct, at least twice each year. 2. The examinations must be of a length, scope and character which the Commissioner deems reasonably necessary to determine the fitness of the applicants to act as compliance managers of collection agencies. 3. If an applicant does not pass the examination, the applicant must reapply to take the examination and pay a reexamination fee of not more than $100 for each subsequent examination. The Commissioner shall adopt regulations establishing the amount of the reexamination fee required pursuant to this subsection. 4. If the applicant and collection agency that employs or seeks to employ the applicant are both certified by a national association that is a nonprofit with expertise in the business of collections which the Commissioner determines proves the competence of the applicant, the Commissioner must waive the examination for the applicant. 5. The Commissioner may make such rules and regulations as may be necessary to carry out the purposes of this section.

Nev. Rev. Stat. § 649.215 Grounds for refusing examination or suspending or revoking certificate.

The Commissioner may refuse to permit an applicant for a compliance manager’s certificate to take the examination, or, after a hearing, may suspend or revoke a compliance manager’s certificate if the applicant or compliance manager has: 1. Committed or participated in any act which, if committed or done by a licensee, would be grounds for the suspension or revocation of a license. 2. Been refused a license or certificate pursuant to this chapter or had such a license or certificate suspended or revoked. 3. Participated in any act, which act was a basis for the refusal or revocation of a collection agency license. 4. Falsified any of the information submitted to the Commissioner in support of an application pursuant to this chapter. 5. Impersonated, or permitted or aided and abetted another to impersonate, a law enforcement officer or employee of the United States, a state or any political subdivision thereof. 6. Made any statement in connection with his or her employment with a collection agency with the intent to give an impression that he or she was a law enforcement officer of the United States, a state or political subdivision thereof.

Nev. Rev. Stat. § 649.225 Issuance of certificate; unique identification number required for certificate; notice to Commissioner of compliance manager’s change of residence address required.

1. The Commissioner shall issue a compliance manager’s certificate to any applicant who meets the requirements of this chapter for the certificate. Each certificate must have a unique identification number. 2. Each compliance manager holding a compliance manager’s certificate issued pursuant to this chapter shall notify the Commissioner in writing of any change in his or her residence address within 10 days after the change.

Nev. Rev. Stat. § 649.233 Payment of child support: Submission of certain information by applicant; grounds for denial of license or certificate; duty of Commissioner. [Effective until the date of the repeal of 42 U.S.C. § 666, the federal law requiring each state to establish procedures for withholding, suspending and restricting the professional, occupational and recreational licenses for child support arrearages and for noncompliance with certain processes relating to paternity or child support proceedings.]

1. In addition to any other requirements set forth in this chapter: (a) A natural person who applies for the issuance of a license as a collection agent or agency or a compliance manager’s certificate shall include the social security number of the applicant in the application submitted to the Commissioner. (b) A natural person who applies for the issuance or renewal of a license as a collection agent or agency or a compliance manager’s certificate shall submit to the Commissioner the statement prescribed by the Division of Social Services of the Department of Human Services pursuant to NRS 425.520 . The statement must be completed and signed by the applicant. 2. The Commissioner shall include the statement required pursuant to subsection 1 in: (a) The application or any other forms that must be submitted for the issuance or renewal of the license or certificate; or (b) A separate form prescribed by the Commissioner. 3. A license as a collection agent or agency or a compliance manager’s certificate may not be issued or renewed by the Commissioner if the applicant is a natural person who: (a) Fails to submit the statement required pursuant to subsection 1; or (b) Indicates on the statement submitted pursuant to subsection 1 that the applicant is subject to a court order for the support of a child and is not in compliance with the order or a plan approved by the district attorney or other public agency enforcing the order for the repayment of the amount owed pursuant to the order. 4. If an applicant indicates on the statement submitted pursuant to subsection 1 that the applicant is subject to a court order for the support of a child and is not in compliance with the order or a plan approved by the district attorney or other public agency enforcing the order for the repayment of the amount owed pursuant to the order, the Commissioner shall advise the applicant to contact the district attorney or other public agency enforcing the order to determine the actions that the applicant may take to satisfy the arrearage.

Nev. Rev. Stat. § 649.235 Not transferable.

Each collection agency license and compliance manager’s certificate issued pursuant to this chapter shall not be transferable.

Nev. Rev. Stat. § 649.245 Expiration; renewal; cancellation; reinstatement.

1. A license or certificate expires on December 31 of each year, unless it is renewed. To renew a license or certificate, a collection agency or compliance manager must submit to the Commissioner on or after November 1 and on or before December 31 of each year: (a) A renewal application, which includes, without limitation, the matters required in the original application, the date and number of the license or certificate which will expire and all other information required to complete the renewal application; and (b) The renewal fee. 2. The Commissioner shall issue a renewal license or certificate to the applicant, which must be dated January 1 next ensuing the date of the application, in form and text like the original except that, in addition, the renewal must include the date and number of the earliest license or certificate issued. 3. All requirements of this chapter with respect to original certificates, licenses and bonds apply with like force to all renewal certificates, licenses and bonds except as otherwise specified in this section. 4. The Commissioner shall refuse to renew a certificate or license if at the time of application a proceeding to revoke or suspend the certificate or license is pending. 5. If a collection agency or compliance manager fails to submit any item required pursuant to subsection 1 to the Commissioner on or after November 1 and on or before December 31 of any year, the license or certificate is cancelled as of December 31 of that year. The Commissioner may reinstate a cancelled license or certificate if the collection agency or compliance manager submits to the Commissioner on or before February 28 of the following year: (a) A renewal application which includes the information specified in paragraph (a) of subsection 1; and (b) The renewal fee.

Nev. Rev. Stat. § 649.271 Commissioner authorized to take action to participate; charges for use; regulations; provisions do not replace or affect authority of Commissioner regarding licensing and certification.

1. The Commissioner may, in furtherance of his or her duties with respect to the issuance and renewal of licenses and certificates pursuant to this chapter, participate in the Nationwide Multistate Licensing System and Registry. The Commissioner may take any action with respect to participation in the Registry that the Commissioner deems necessary to carry out his or her duties, including, without limitation: (a) Facilitating and participating in the establishment and implementation of the Registry; (b) Establishing relationships or contracts with the Registry or other entities designated by the Registry; (c) Authorizing the Registry to collect and maintain records of applicants for and holders of licenses and certificates; (d) Authorizing the Registry to, on behalf of the Commissioner, collect and process any fees associated with the issuance or renewal of licenses or certificates, examinations, fines, assessments and any other similar fees; (e) Requiring an applicant for or the holder of a license or certificate to use the Registry to: (1) Apply for the issuance or renewal of a license or certificate; (2) Amend or surrender a license or certificate; (3) Submit any reports or the results of any examination that the Commissioner may require; (4) Pay any applicable fees; and (5) Engage in any other activity that the Commissioner may require; and (f) Authorizing the Registry to, on behalf of the Commissioner, collect fingerprints in order to receive or conduct a background check on the criminal history of an applicant for or the holder of a license or certificate. 2. An applicant for or the holder of a license or certificate shall, in addition to any other fees associated with the license or certificate, pay all applicable charges to use the Registry, including, without limitation, any processing charges established by the administrator of the Registry. 3. The Commissioner may adopt any regulations the Commissioner determines to be necessary or appropriate to carry out the provisions of this section. Such regulations may, without limitation, establish additional procedures and requirements for participation in the Registry. 4. The provisions of this section shall not be construed to replace or affect the authority of the Commissioner to grant, deny, suspend, terminate, revoke or refuse to renew a license or certificate.

Nev. Rev. Stat. § 649.273 Submission and processing of fingerprints.

1. The Commissioner may require an applicant for or the holder of a license or certificate to submit a complete set of his or her fingerprints when the Commissioner determines necessary. 2. The Commissioner may use the services of the Registry to process and to submit the fingerprints to the Federal Bureau of Investigation, to the Central Repository for Nevada Records of Criminal History, to any federal or state law enforcement agency or to any other entity authorized to receive such information for the purpose of conducting a background check of the criminal history of an applicant for or the holder of a license or certificate.

Nev. Rev. Stat. § 649.277 Commissioner required to report certain information or material; confidentiality of information or material provided; Commissioner authorized to enter into certain agreements and arrangements.

1. Subject to any limitations or restrictions contained in federal or state law governing the privacy or confidentiality of records, the Commissioner shall report regularly any violations of applicable laws committed by applicants for or holders of a license or certificate, enforcement actions and other relevant information to the Registry. 2. The requirements under any federal or state law, including, without limitation, rules of a federal or state court, regarding the privacy and confidentiality of any information or material provided to the Registry and any privilege arising under federal or state law with respect to such information or material, continue to apply to such information or material after it has been disclosed to the Registry. Such information and material may be shared with federal and state regulatory officials with oversight authority over applicants for or holders of a license or certificate without the loss of privilege or the loss of confidentiality protections provided by federal or state law. 3. The Commissioner may enter into agreements or sharing arrangements with other governmental agencies, the Conference of State Bank Supervisors, the State Regulatory Registry, LLC, or other associations representing governmental agencies.

Nev. Rev. Stat. § 649.279 Additional materials required to be submitted.

1. In addition to any other requirements set forth in this chapter, each applicant for the issuance of a license or certificate pursuant to this chapter and each owner, officer, director and responsible person of the applicant, each person in control of the applicant and any other person the Commissioner may require in accordance with guidelines of the Registry or other multistate agreements shall submit to the Registry: (a) A complete set of fingerprints for submission to the Federal Bureau of Investigation and any other governmental agency or entity authorized to receive such information for a state, national and international background check on the criminal history of the person; (b) Information concerning the personal history, financial history and experience of the person in a form prescribed by the Registry, including, without limitation, an authorization of the person for the Registry and the Commissioner to obtain: (1) An independent credit report and credit score from a consumer reporting agency described in section 603(f) of the Fair Credit Reporting Act, 15 U.S.C. § 1681a(f), for the purpose of evaluating the financial responsibility of the person at the time of the submission of the application; and (2) Additional independent credit reports and credit scores to confirm that the person continues to comply with any applicable requirements concerning financial responsibility; (c) Information related to any administrative, civil or criminal findings made by any governmental jurisdiction concerning the person; and (d) Any other information concerning the person that the Registry or Commissioner may require. 2. As used in this section: (a) “Control” has the meaning ascribed to it in NRS 682A.047 . (b) “Responsible person” means a person who is employed by an applicant and who has principal, active managerial authority over the provision of services in this State.

Nev. Rev. Stat. § 649.281 Holder of license or certificate required to register and maintain unique identifier; Commissioner authorized to issue license or certificate through Registry; references to Commissioner deemed references to Registry.

1. Each holder of a license or certificate issued pursuant to this chapter shall register with and maintain a valid unique identifier with the Registry. 2. The Commissioner may issue a license or certificate through the Registry. 3. To the extent that the Commissioner has delegated to the Registry any of his or her duties with respect to the issuance and renewal of licenses and certificates as authorized by the provisions of this chapter, any reference to the Commissioner in this chapter shall be deemed to be a reference to the Registry. 4. As used in this section, “unique identifier” means a number or other identifier assigned by the protocols established by the Registry.

Nev. Rev. Stat. § 649.295 Amounts; deposit; regulations.

1. A nonrefundable fee of not more than $500 for the application must accompany each new application for a license as a collection agency. Each applicant shall also pay any additional expenses incurred in the process of investigation. All money received by the Commissioner pursuant to this subsection must be placed in the Investigative Account created by NRS 232.545 . 2. A fee of not less than $200 or more than $600, prorated on the basis of the licensing year as provided by the Commissioner, must be charged for each original license issued. A fee of not more than $500 must be charged for each annual renewal of a license. 3. A fee of not more than $20 must be charged for each license for a transfer of location issued. 4. A nonrefundable application fee of not more than $500 and a nonrefundable investigation fee of not more than $150 must accompany each application for a compliance manager’s certificate. 5. A fee of not more than $40 must be charged for each compliance manager’s certificate issued and for each annual renewal of such a certificate. 6. A fee of not more than $60 must be charged for the reinstatement of a compliance manager’s certificate. 7. A fee of not more than $10 must be charged for each day an application for the renewal of a license or certificate, or a required report, is filed late, unless the fee or portion thereof is excused by the Commissioner for good cause shown. 8. For each examination the Commissioner shall charge and collect from the licensee a fee for conducting the examination and preparing and typing the report of the examination at the rate established and, if applicable, adjusted pursuant to NRS 658.101 . Failure to pay the fee within 30 days after receipt of the bill is a ground for revoking the collection agency’s license. 9. Except as otherwise provided in NRS 658.101 , the Commissioner shall adopt regulations establishing the amount of the fees required pursuant to this section. 10. Except as otherwise provided in subsection 1, all money received by the Commissioner pursuant to this chapter must be deposited in the State Treasury pursuant to the provisions of NRS 658.091 .

Nev. Rev. Stat. § 649.297 Fee for failure to submit reports; regulations.

1. If a holder of a license or compliance manager’s certificate fails to submit any report required pursuant to this chapter or any regulation adopted pursuant thereto within the prescribed period, the Commissioner may impose and collect a fee of not more than $10 for each day the report is overdue. 2. The Commissioner shall adopt regulations establishing the amount of the fee that may be imposed pursuant to this section.

Nev. Rev. Stat. § 649.300 Payment of assessment; cooperation with audits and examinations.

Each collection agency shall pay the assessment levied pursuant to NRS 658.055 and cooperate fully with the audits and examinations performed pursuant thereto.

Nev. Rev. Stat. § 649.305 Collection agency prohibited from operating without compliance manager; limitations on employment of compliance managers.

1. No collection agency may operate its business without a compliance manager who holds a valid compliance manager’s certificate issued under the provisions of this chapter. 2. Except as otherwise provided in this subsection, a compliance manager must not be employed as a compliance manager by more than one collection agency or employed by a collection agency and an exempt entity at the same time. A compliance manager may be simultaneously employed as a compliance manager by a collection agency and an affiliate of that collection agency.

Nev. Rev. Stat. § 649.310 Remote location: Prerequisites for collection agent to begin remote work.

Before a collection agent begins working from a remote location, the collection agent must: 1. Sign a written agreement prepared by the collection agency that requires a collection agent working from a remote location to: (a) Maintain data concerning debtors in a confidential manner and refrain from printing or otherwise reproducing such data into a physical record while working from the remote location; (b) Read and comply with the security policy established pursuant to NRS 649.312 and any policy to ensure the safety of the equipment of the collection agency that the collection agent is authorized to use; (c) Review a description of the work that the collection agent is authorized to perform from the remote location and only perform work included in that description; (d) Refrain from disclosing to a debtor that the collection agent is working from a remote location or that the remote location is a place of business of the collection agency; (e) Authorize the employer to monitor the collection agent while he or she is working from the remote location, including, without limitation, recording any calls to and from the remote location relating to collection activities; and (f) Refrain from conducting any activities related to his or her work with the collection agency with a debtor or customer in person at the remote location; 2. Complete a program of training regarding compliance with applicable laws and regulations, privacy, confidentiality, monitoring, security and any other issue relevant to the work the collection agent will perform from the remote location; and 3. Work for the collection agency under direct oversight and mentoring from a supervisor for at least 7 days.

Nev. Rev. Stat. § 649.311 Remote location: Requirements; connection to collection agency; restriction on number of agents at same location; prohibition against collection agent printing or storing physical records remotely; deemed extension of collection agency.

1. The remote location from which a collection agent works must: (a) Be capable of providing the same degree of oversight and monitoring of the collection agent as if the collection agent was working in the principal place of business or a branch office of the collection agency; (b) Be fully connected to the technological systems, including, without limitation, any computer system, of the office at the principal place of business or a branch office of the collection agency; (c) Allow the collection agency to: (1) Record calls made to and from the remote location; and (2) Monitor calls to and from the remote location in real time; (d) Be a private location where confidentiality can be maintained; and (e) Have the equipment necessary for the collection agent to perform his or her work safely and effectively. 2. Each collection agent who works from a remote location must be connected to the principal place of business or a branch office of the collection agency in a manner that requires the collection agent to use unique credentials to access the technological systems of the collection agency. 3. Except as otherwise provided in this subsection, two or more collection agents shall not work from the same remote location. Two or more collection agents who reside in the same residence may each work remotely from that residence. 4. A collection agent shall not print or store any physical records of a collection agency at a remote location. 5. A remote location from which a collection agent works shall be deemed to be an extension of the principal place of business or branch office to which the collection agent is connected pursuant to paragraph (b) of subsection 1 for the purposes of this chapter and any other relevant purposes.

Nev. Rev. Stat. § 649.312 Remote location: Duty of collection agency to develop and implement security policy; contents of security policy.

1. A collection agency shall develop and implement a written security policy for collection agents who work from a remote location to ensure that the data of debtors, customers and the collection agency is secure and protected from unauthorized disclosure, access, use, modification, duplication or destruction. The security policy must include, without limitation: (a) Access to the technological systems of the collection agency through a virtual private network or other similar network or system which: (1) Utilizes multifactor authentication, data encryption and frequent password changes; and (2) Automatically locks a collection agent out of his or her account if suspicious activity is detected; (b) A procedure to immediately update and repair any security network or system to ensure that current security technologies are utilized; (c) A requirement to store all data of debtors, customers and the collection agency on designated drives that are safe, secure and expandable; (d) A requirement that collection agents work on electronic devices that are secured with software and hardware protections including, without limitation, antivirus software and a firewall; (e) A requirement that collection agents access any system of the collection agency through an electronic device that has been issued by the collection agency and a prohibition on using such an electronic device for personal purposes; (f) A procedure for the containment and disclosure of any breach of data that occurs, including, without limitation, the issuance of any disclosure that is required by law; (g) A procedure for the protection of data during a natural disaster or other emergency that has the potential to impact the data or electronic devices of the collection agency at a remote location and the recovery of data after such a natural disaster or other emergency; (h) A procedure for the secure disposal of data in accordance with any applicable law or contract; (i) A procedure for conducting an annual risk assessment concerning the protection of the data of debtors, customers and the collection agency and a plan to implement new policies based on the results of the risk assessment; and (j) Procedures to: (1) Prevent a former collection agent from accessing any system of the collection agency; and (2) Remotely disable or remove all data from an electronic device owned by the collection agency at the remote location. 2. A collection agency that complies with the requirements of 16 C.F.R. Part 314 satisfies the requirements of this section.

Nev. Rev. Stat. § 649.313 Remote location: Duty of collection agent to comply with certain statutory requirements; duty of collection agency to record and monitor calls, maintain records, review policies and procedures and establish procedure for monitoring collection agents; prohibited acts by collection agency or collection agent.

1. A collection agent working from a remote location shall comply with any applicable federal and state laws, including, without limitation, the provisions of this chapter, including, without limitation, NRS 649.335 , and the Fair Debt Collection Practices Act, 15 U.S.C. §§ 1692 et seq. 2. A collection agency shall: (a) Record calls performed by a collection agent conducting collection activities from a remote location and maintain such recordings for at least 3 years; and (b) Monitor calls performed by a collection agent conducting collection activities from a remote location in real time on a regular basis. 3. A collection agency or collection agent shall not: (a) Represent to any person that the collection agent is working independently of the collection agency; (b) Use the remote location from which a collection agent is working and any related address, telephone number or facsimile number in advertising for the collection agency; (c) Require or invite a debtor to come to a remote location from which a collection agent is working for the purpose of collection activities; or (d) Hold out a remote location from which a collection agent is working in such a manner that a debtor is likely to believe that the remote location is the principal place of business or a branch office of the collection agency, including, without limitation, by receiving mail at the remote location, storing records at the remote location or stating to a debtor or customer that the collection agent is working from the remote location. 4. A collection agency shall: (a) Maintain a record of collection agents who are authorized to work from a remote location which must include, for each such collection agent: (1) The name, telephone number and electronic mail address of the collection agent; and (2) The address of the remote location; (b) Maintain a record of equipment supplied to collection agents for use at a remote location; (c) Review its policies and procedures governing remote work for compliance with NRS 649.310 to 649.313 , inclusive, at least annually and upon request of the Commissioner; and (d) Establish a procedure to ensure that a collection agent working from a remote location does so without acting in any illegal, unethical or unsafe manner.

Nev. Rev. Stat. § 649.320 Duty of collection agency to display on Internet website unique identifier of collection agency and unique identifier and certificate identification number of compliance manager.

1. A collection agency shall display on any Internet website maintained by the collection agency: (a) The unique identifier registered with the Registry for the collection agency. (b) The identification number of the certificate issued to the compliance manager of the collection agency by the Commissioner pursuant to NRS 649.225 . (c) The unique identifier registered with the Registry for the compliance manager of the collection agency. 2. As used in this section, “unique identifier” has the meaning ascribed to it in NRS 649.281 .

Nev. Rev. Stat. § 649.325 Change of location of business.

1. A collection agency shall not remove its business location from the place of business as stated in the record of the licensee except upon prior approval by the Commissioner in writing. 2. If the removal is approved, the Commissioner shall note the change in the record of the licensee.

Nev. Rev. Stat. § 649.330 Notification of change in management or ownership of voting stock; application for licensure of replacement; investigation; costs; waiver.

1. A collection agency shall immediately notify the Commissioner of any change: (a) Of the compliance manager of the agency; or (b) If the agency is a corporation, in the ownership of 5 percent or more of its outstanding voting stock. 2. An application must be submitted to the Commissioner, pursuant to NRS 649.095 , by: (a) The person who replaces the compliance manager; and (b) A person who acquires: (1) At least 25 percent of the outstanding voting stock of an agency; or (2) Any outstanding voting stock of an agency if the change will result in a change in the control of the agency. Ê Except as otherwise provided in subsection 4, the Commissioner shall conduct an investigation to determine whether the applicant has the competence, experience, character and qualifications necessary for the licensing of a collection agency. If the Commissioner denies the application, the Commissioner may forbid the applicant from participating in the business of the collection agency. 3. The collection agency with which the applicant is affiliated shall pay such expenses incurred in the investigation as the Commissioner deems necessary. All money received by the Commissioner pursuant to this subsection must be placed in the Investigative Account created by NRS 232.545 . 4. A collection agency may submit a written request to the Commissioner to waive an investigation pursuant to subsection 2. The Commissioner may grant a waiver if the applicant has undergone a similar investigation by a state or federal agency in connection with the licensing of or the applicant’s employment with a financial institution.

Nev. Rev. Stat. § 649.331 Recording of telephone conversations.

1. After providing notice that the telephone conversation will be recorded, a person may record any telephone call that: (a) Concerns a claim which is owed or asserted to be owed by the person; (b) Is made by a collection agency or collection agent; and (c) Is received by the person. 2. A person who records a telephone call pursuant to this section is required to make a statement immediately after the recording begins that the telephone call is being recorded. 3. As used in this section, “record” means the acquisition of the contents of a wire communication through the use of a recording device.

Nev. Rev. Stat. § 649.332 Verification of claim.

1. To verify a claim, a collection agency shall: (a) Obtain or attempt to obtain from the creditor any document that is not in the possession of the collection agency and is reasonably responsive to the dispute of the debtor, if any; and (b) If such a document is obtained, mail the document to the debtor. 2. When collecting a claim on behalf of a hospital, within 5 days after the initial communication with the debtor in connection with the collection of the claim, a collection agency shall, unless the following information is included in the initial communication, send a written notice to the debtor that includes a statement indicating that: (a) If the debtor pays or agrees to pay the claim or any portion of the claim, the payment or agreement to pay: (1) May be construed as an acknowledgment of the claim by the debtor; and (2) As provided in NRS 11.200 , does not constitute a waiver by the debtor of any applicable statute of limitations set forth in NRS 11.190 that otherwise precludes the collection of the claim; and (b) If the debtor does not understand or has questions concerning his or her legal rights or obligations relating to the claim, the debtor should seek legal advice. 3. As used in this section, “hospital” has the meaning ascribed to it in NRS 449.012 .

Nev. Rev. Stat. § 649.334 Written agreement required to be specific, intelligible and unambiguous; money collected required to be credited first to principal; partial collection of claim prohibited; accounting of money collected on behalf of customer; exception.

1. The terms and conditions of any written agreement between a collection agency and a customer must be specific, intelligible and unambiguous. In the absence of a written agreement, unless the conduct of the parties indicates a different mutual understanding, the understanding of the customer concerning the terms of the agreement must govern in any dispute between the customer and the collection agency. 2. Unless a written agreement between the parties otherwise provides, any money collected on a claim, after court costs have been recovered, must first be credited to the principal amount of the claim. Any interest charged and collected on the claim must be allocated pursuant to the agreement between the customer and the collection agency. 3. Except with the consent of its customer, a collection agency shall not accept less than the full amount of a claim in settlement of an assigned claim. 4. A collection agency shall, at the time it remits to the customer the money it collected on behalf of the customer, give each customer an accounting in writing of the money it collected on behalf of the customer in connection with a claim. 5. This section does not apply to a debt buyer who is not also collecting claims on behalf of parties who are not affiliated with the debt buyer.

Nev. Rev. Stat. § 649.335 Retention and examinations of records and accounts.

1. Every collection agency shall keep all records concerning each of its accounts for at least 6 years following the completion of the last transaction concerning the account. 2. The Commissioner shall conduct an examination of the trust accounts and the records relating to debtors and customers of each collection agency licensed pursuant to this chapter at least once each year. 3. If there is evidence that a collection agency is not complying with the provisions of this chapter, the Commissioner may conduct an additional examination to determine whether a violation has occurred. 4. During the first year a collection agency is licensed, the Commissioner may conduct as many examinations as the Commissioner deems necessary to ensure compliance with the provisions of this chapter.

Nev. Rev. Stat. § 649.340 Duty to maintain information security program; requirements.

1. A licensee shall comply with the requirements set forth in 16 C.F.R. Part 314. 2. In addition to complying with the requirements set forth in 16 C.F.R. Part 314, a licensee shall: (a) Maintain the information security program required by 16 C.F.R. § 314.3 as part of the books and records of the licensee; and (b) Notify the Commissioner of any notification event in accordance with the regulations adopted by the Commissioner pursuant to subsection 4 of NRS 658.105 . 3. As used in this section: (a) “Information security program” has the meaning ascribed to it in 16 C.F.R. § 314.2. (b) “Notification event” has the meaning ascribed to it in 16 C.F.R. § 314.2.

Nev. Rev. Stat. § 649.345 Annual report to Commissioner and Registry; additional reports; suspension of license or certificate for false information.

1. Each licensed collection agency shall file with the Commissioner and the Registry a written report, signed and sworn to by its compliance manager, no later than April 15 of each year, unless the Commissioner determines that there is good cause for later filing of the report. The report must include: (a) If applicable, the total sum of money due to all creditors as of the close of the last business day of the preceding month. (b) If applicable, the total sum on deposit in customer trust fund accounts and available for immediate distribution as of the close of the last business day of the preceding month, the title of the trust account or accounts, and the name of the banks or credit unions where the money is deposited. (c) If applicable, the total amount of creditors’ or forwarders’ share of money collected more than 60 days before the last business day of the preceding month and not remitted by that date. (d) When the total sum under paragraph (c) exceeds $10, the name of each creditor or forwarder and the respective share of each in that sum. (e) Such other information, audit or reports as the Commissioner may require. 2. The Commissioner may require a licensed collection agency to file more frequent reports as the Commissioner determines necessary. 3. The filing of any report required by this section which is known by the collection agency to contain false information or statements constitutes grounds for the suspension of the agency’s license or the compliance manager’s certificate, or both.

Nev. Rev. Stat. § 649.347 Additional annual report to Commissioner concerning collection of claims for unit-owners’ association.

1. Each licensed collection agency shall file with the Commissioner a written report not later than January 31 of each year, unless the Commissioner determines that there is good cause for later filing of the report. The report must include: (a) The number of cases in which the collection agency collected a claim for a unit-owners’ association during the immediately preceding year; (b) The name of each unit-owners’ association for which the collection agency collected a claim during the immediately preceding year and the amount of money collected for each such unit-owners’ association; (c) The total amount of money collected by the collection agency for unit-owners’ associations during the immediately preceding year; (d) The zip code of each debtor from whom the collection agency collected a claim for a unit-owners’ association during the immediately preceding year; and (e) A statement, signed by the compliance manager of the collection agency, affirming that the collection agency did not collect a claim against any person during the immediately preceding year in violation of the provisions of paragraph (i) of subsection 1 of NRS 649.375 . 2. As used in this section, “unit-owners’ association” has the meaning ascribed to it in NRS 116.011 or 116B.030 .

Nev. Rev. Stat. § 649.355 Business ethics and practices; trust accounts; exception.

1. Every collection agency and collection agent shall openly, fairly and honestly conduct the collection agency business and shall at all times conform to the accepted business ethics and practices of the collection agency business. 2. Every licensee shall at all times maintain a separate account in a bank or credit union in which must be deposited all money collected. The account must be maintained in a bank or credit union located in this State and bear some title sufficient to distinguish it from the licensee’s personal or general checking account and to designate it as a trust account, such as “customer’s trust fund account.” The trust account must at all times contain sufficient money to pay all money due or owing to all customers, and no disbursement may be made from the account except to customers or to pay costs advanced for those customers, except that a licensee may periodically withdraw from the account such money as may accrue to the licensee from collections deposited or from adjustments resulting from costs advanced and payments made directly to customers. 3. Every licensee maintaining a separate custodial or trust account shall keep a record of all money deposited in the account, which must indicate clearly the date and from whom the money was received, the date deposited, the dates of withdrawals and other pertinent information concerning the transaction, and must show clearly for whose account the money is deposited and to whom the money belongs. The money must be remitted to the creditors respectively entitled thereto within 30 days following the end of the month in which payment is received. The records and money are subject to inspection by the Commissioner or the Commissioner’s authorized representative. The records must be maintained at the premises in this State at which the licensee is authorized to conduct business. 4. If the Commissioner finds that a licensee’s records are not maintained pursuant to subsections 2 and 3, the Commissioner may require the licensee to deliver an audited financial statement prepared from his or her records by a certified public accountant who holds a certificate to engage in the practice of public accounting in this State. The statement must be submitted within 60 days after the Commissioner requests it. The Commissioner may grant a reasonable extension for the submission of the financial statement if an extension is requested before the statement is due. 5. Subsections 2, 3 and 4 do not apply to a debt buyer who is not also collecting claims on behalf of parties who are not affiliated with the debt buyer.

Nev. Rev. Stat. § 649.365 Approval of business name required; prohibition against use of certain names, terms and forms.

1. A collection agency licensed under this chapter must obtain the approval of the Commissioner before using or changing a business name. 2. A collection agency licensed under this chapter shall not: (a) Except as authorized for a debt buyer in NRS 649.075 , use any business name which is identical or similar to a business name used by another collection agency licensed under this chapter or which may mislead or confuse the public. (b) Use any printed forms which may mislead or confuse the public. (c) Use the term “credit bureau” in its name unless it operates a bona fide credit bureau in conjunction with its collection agency business. For purposes of this paragraph, “credit bureau” means any person engaged in gathering, recording and disseminating information relative to the creditworthiness, financial responsibility, paying habits or character of persons being considered for credit extension for prospective creditors.

Nev. Rev. Stat. § 649.366 Collection of medical debt: Notification to medical debtor required before taking action to collect.

1. Not less than 60 days before taking any action to collect a medical debt, a collection agency shall send by mail to the medical debtor written notification that sets forth: (a) The name of the medical facility, provider of health care or provider of emergency medical services that provided the goods or services for which the medical debt is owed; (b) The date on which those goods or services were provided; and (c) The principal amount of the medical debt. 2. The written notification required by subsection 1 must: (a) Identify the name of the collection agency; and (b) Inform the medical debtor that, as applicable: (1) The medical debt has been assigned to the collection agency for collection; or (2) The collection agency has otherwise obtained the medical debt for collection.

Nev. Rev. Stat. § 649.367 Collection of medical debt: Conditions for acceptance of voluntary payment from medical debtor during notification period; protections for medical debtor who initiates contact with or makes voluntary payment to collection agency during notification period.

1. Nothing in NRS 649.366 shall prohibit a collection agency from accepting a voluntary payment from a medical debtor during the 60-day notification period specified in subsection 1 of NRS 649.366 provided that: (a) The medical debtor initiates the contact with the collection agency; and (b) The collection agency discloses to the medical debtor that: (1) A payment is not demanded or due; and (2) The medical debt will not be reported to any credit reporting agency during the 60-day notification period specified in subsection 1 of NRS 649.366 . 2. No action by a medical debtor to initiate contact with a collection agency may be construed to allow the collection agency to take action to collect the medical debt before the expiration of the 60-day notification period specified in subsection 1 of NRS 649.366 . 3. Any voluntary payment toward a medical debt that is made by a medical debtor to a collection agency in accordance with this section: (a) Does not extend the applicable statute of limitations; (b) Is not an admission of liability; and (c) Shall not be construed as a waiver of any defense to the collection of the medical debt.

Nev. Rev. Stat. § 649.368 Collection of medical debt: Prohibited practices.

A collection agency, or its compliance manager, agents or employees, shall not, for any medical debt: 1. Take any confession of judgment or any power of attorney running to the collection agency or to any third person to confess judgment or to appear for the debtor in a judicial proceeding. 2. Commence a civil action to collect the medical debt if the amount of the medical debt, excluding interest, late fees, collection costs, attorney’s fees and any other fees or costs, is less than the maximum jurisdictional amount set forth in subsection 1 of NRS 73.010 . Nothing in this subsection shall be construed to prohibit the commencement of a small claims action in justice court to collect the medical debt. 3. Charge or collect a fee of more than 5 percent of the amount of the medical debt, excluding interest, late fees, collection costs, attorney’s fees and any other fees or costs, as a collection fee or as an attorney’s fee for the collection of the medical debt.

Nev. Rev. Stat. § 649.369 Collection of medical debt: Protections may not be waived.

The protections set forth in NRS 649.366, 649.367 and 649.368 are for the benefit of medical debtors and cannot be waived.

Nev. Rev. Stat. § 649.370 Violation of federal Fair Debt Collection Practices Act.

A violation of any provision of the federal Fair Debt Collection Practices Act, 15 U.S.C. §§ 1682 et seq., or any regulation adopted pursuant thereto, shall be deemed to be a violation of this chapter.

Nev. Rev. Stat. § 649.375 Prohibited practices generally.

1. A collection agency, or its compliance manager, agents or employees, shall not: (a) Use any device, subterfuge, pretense or deceptive means or representations to collect any claim, nor use any collection letter, demand or notice which simulates a legal process or purports to be from any local, city, county, state or government authority or attorney. (b) Collect or attempt to collect any interest, charge, fee or expense incidental to the principal obligation unless: (1) Any such interest, charge, fee or expense as authorized by law or contract or as agreed to by the parties has been added to the principal of the claim by the creditor before receipt of the item of collection; (2) Any such interest, charge, fee or expense as authorized by law or contract or as agreed to by the parties has been added to the principal of the claim by the collection agency and described as such in the first written communication with the debtor; or (3) The interest, charge, fee or expense has been judicially determined as proper and legally due from and chargeable against the debtor. (c) Assign or transfer any claim or account upon termination or abandonment of its collection business unless prior written consent by the customer is given for the assignment or transfer. The written consent must contain an agreement with the customer as to all terms and conditions of the assignment or transfer, including the name and address of the intended assignee. Prior written consent of the Commissioner must also be obtained for any bulk assignment or transfer of claims or accounts, and any assignment or transfer may be regulated and made subject to such limitations or conditions as the Commissioner by regulation may reasonably prescribe. (d) Operate its business or solicit claims for collection from any location, address or post office box other than that listed on its license or as may be prescribed by the Commissioner, except for employees of a collection agency working from a remote location pursuant to NRS 649.310 to 649.313 , inclusive. (e) Harass a debtor’s employer in collecting or attempting to collect a claim, nor engage in any conduct that constitutes harassment as defined by regulations adopted by the Commissioner. (f) Advertise for sale or threaten to advertise for sale any claim as a means to enforce payment of the claim, unless acting under court order. (g) Publish or post, or cause to be published or posted, any list of debtors except for the benefit of its stockholders or membership in relation to its internal affairs. (h) Conduct or operate, in conjunction with its collection agency business, a debt counseling or prorater service for a debtor who has incurred a claim primarily for personal, family or household purposes whereby the debtor assigns or turns over to the counselor or prorater any of the debtor’s earnings or other money for apportionment and payment of the claim or obligations of the debtor. This section does not prohibit the conjunctive operation of a business of commercial debt adjustment with a collection agency if the business deals exclusively with the collection of commercial debt. (i) Collect a claim from a person who owes fees to: (1) A unit-owners’ association, if the collection agency is: (I) Owned or operated by or is an affiliate of a person or entity who is the community manager for the unit-owners’ association; or (II) Owned or operated by a relative of a person who is the community manager for the unit-owners’ association. (2) A person or entity who is an operator of a tow car, if the collection agency is: (I) Owned or operated by or is an affiliate of a person or entity who is the operator of a tow car; or (II) Owned or operated by a relative of a person who is the operator of a tow car. (3) A person or entity who engages in the business of, acts in the capacity of or assumes to act as a property manager of an apartment building, if the collection agency is: (I) Owned or operated by or is an affiliate of the person or entity who engages in the business of, acts in the capacity of or assumes to act as the property manager of an apartment building; or (II) Owned or operated by a relative of the person who engages in the business of, acts in the capacity of or assumes to act as the property manager of an apartment building. (j) File a civil action to collect a debt when the collection agency, compliance manager, agent or employee knows or should know that the applicable limitation period for filing such an action has expired. (k) Sell an interest in a resolved claim or any personal or financial information related to the resolved claim. 2. As used in this section: (a) “Affiliate” means a person who directly or indirectly, through one or more intermediaries, controls or is controlled by or is under common control with another designated person. (b) “Community manager” has the meaning ascribed to it in NRS 116.023 or 116B.050 . (c) “Operator of a tow car” means a person or entity required by NRS 706.4463 to obtain a certificate of public convenience and necessity. (d) “Property manager” has the meaning ascribed to it in NRS 645.0195 . (e) “Relative” means a person who is related by blood, adoption, marriage or domestic partnership within the third degree of consanguinity or affinity. (f) “Unit-owners’ association” has the meaning ascribed to it in NRS 116.011 or 116B.030 .

Nev. Rev. Stat. § 649.385 Investigation of verified complaint; verified answer; action by Commissioner after informal hearing.

1. Upon the filing with the Commissioner of a verified complaint against any collection agency or compliance manager, the Commissioner shall investigate the alleged violation of the provisions of this chapter. 2. If the Commissioner determines that the complaint warrants further action, the Commissioner shall send a copy of the complaint and notice of the date set for an informal hearing to the accused and the Attorney General. 3. The Commissioner may require the accused collection agency or compliance manager to file a verified answer to the complaint within 10 days after service unless, for good cause shown, the Commissioner extends the time for a period not to exceed 60 days. 4. If at the hearing the complaint is not explained to the satisfaction of the Commissioner, the Commissioner may take such action against the accused as may be authorized by the provisions of this chapter.

Nev. Rev. Stat. § 649.390 Investigation of verified complaint concerning unlicensed person; order to cease and desist; administrative fines; suit to recover fine; cumulative penalties.

1. The Commissioner shall conduct an investigation if he or she receives a verified complaint from any person that sets forth reason to believe that an unlicensed person is engaging in an activity for which a license is required pursuant to this chapter. 2. If the Commissioner determines that an unlicensed person is engaging in an activity for which a license is required pursuant to this chapter, the Commissioner shall issue and serve on the person an order to cease and desist from engaging in the activity until such time as the person obtains a license from the Commissioner. 3. If a person upon whom an order to cease and desist is served does not comply with the order within 30 days after service, the Commissioner shall, after notice and opportunity for a hearing: (a) Impose upon the person an administrative fine of $10,000; or (b) Enter into a written consent agreement with the person pursuant to which the person agrees to cease and desist from all unlicensed activity in this State relating to the collection of debts, and impose upon the person an administrative fine of not less than $5,000 and not more than $10,000. Ê The imposition of an administrative fine pursuant to this subsection is a final decision for the purposes of judicial review. 4. The Commissioner shall bring suit in the name and on behalf of the State of Nevada against a person upon whom an administrative fine is imposed pursuant to subsection 3 to recover the amount of the administrative fine: (a) If no petition for judicial review is filed pursuant to NRS 233B.130 and the fine remains unpaid for more than 90 days after notice of the imposition of the fine; or (b) If a petition for judicial review is filed pursuant to NRS 233B.130 and the fine remains unpaid for more than 90 days after exhaustion of any right of appeal in the courts of this State resulting in a final determination that upholds the imposition of the fine. 5. A person’s liability for an administrative fine is in addition to any other penalty provided in this chapter.

Nev. Rev. Stat. § 649.395 Authorized disciplinary action; grounds for disciplinary action; effect of revocation of license; orders imposing discipline deemed public records.

1. The Commissioner may impose an administrative fine, not to exceed $500 for each violation, or suspend or revoke the license of a collection agency, or both impose a fine and suspend or revoke the license, by an order made in writing and filed in the Office of the Commissioner and served on the licensee by registered or certified mail at the address shown in the records of the Commissioner, if: (a) The licensee is adjudged liable in any court of law for breach of any bond given under the provisions of this chapter; or (b) After notice and hearing, the licensee is found guilty of: (1) Fraud or misrepresentation; (2) An act or omission inconsistent with the faithful discharge of the licensee’s duties and obligations; or (3) A violation of any provision of this chapter. 2. The Commissioner may suspend or revoke the license of a collection agency without notice and hearing if: (a) The suspension or revocation is necessary for the immediate protection of the public; and (b) The licensee is afforded a hearing to contest the suspension or revocation within 20 days after the written order of suspension or revocation is served upon the licensee. 3. Upon revocation of his or her license, all rights of the licensee under this chapter terminate, and no application may be received from any person whose license has once been revoked. 4. An order that imposes discipline and the findings of fact and conclusions of law supporting that order are public records.

Nev. Rev. Stat. § 649.398 Suspension of license or certificate for failure to pay child support or comply with certain subpoenas or warrants; reinstatement of license or certificate. [Effective until 2 years after the date of the repeal of 42 U.S.C. § 666, the federal law requiring each state to establish procedures for withholding, suspending and restricting the professional, occupational and recreational licenses for child support arrearages and for noncompliance with certain processes relating to paternity or child support proceedings.]

1. If the Commissioner receives a copy of a court order issued pursuant to NRS 425.540 that provides for the suspension of all professional, occupational and recreational licenses, certificates and permits issued to a person who is the holder of a license as a collection agent or agency or a compliance manager’s certificate, the Commissioner shall deem the license or certificate issued to that person to be suspended at the end of the 30th day after the date on which the court order was issued unless the Commissioner receives a letter issued to the holder of the license or certificate by the district attorney or other public agency pursuant to NRS 425.550 stating that the holder of the license or certificate has complied with the subpoena or warrant or has satisfied the arrearage pursuant to NRS 425.560 . 2. The Commissioner shall reinstate a license as a collection agent or agency or a compliance manager’s certificate that has been suspended by a district court pursuant to NRS 425.540 if the Commissioner receives a letter issued by the district attorney or other public agency pursuant to NRS 425.550 to the person whose license or certificate was suspended stating that the person whose license or certificate was suspended has complied with the subpoena or warrant or has satisfied the arrearage pursuant to NRS 425.560 .

Nev. Rev. Stat. § 649.400 Injunctive relief.

1. If upon investigation it appears that a collection agency is conducting its business in violation of this chapter or the regulations adopted by the Commissioner, or when it appears that any person is engaging in the business of a collection agency without being licensed under the provisions of this chapter, the Commissioner may: (a) Advise the district attorney of the county in which the business is conducted, and the district attorney shall cause the appropriate legal action to be taken to enjoin the operation of the business or prosecute the violations of this chapter; or (b) Bring suit in the name and on behalf of the State of Nevada against such a person and any other person concerned in or in any way participating in or about to participate in such unsafe or injurious practices or action in violation of this chapter or the regulations adopted by the Commissioner to enjoin any such person from continuing or engaging in such practices or doing any such act. 2. If the Commissioner brings suit, the district court of any judicial district may grant injunctions to prevent and restrain such practices or transactions. The court may, during the pendency of the proceedings before it, issue such temporary restraining orders as may appear to be just and proper. The findings of the Commissioner shall be deemed to be prima facie evidence and sufficient grounds, in the discretion of the court, for the issue ex parte of a temporary restraining order. In any such proceedings the Commissioner may apply for and on due showing is entitled to have issued the court’s subpoena requiring forthwith the appearance of any defendant and his or her employees and the production of such documents, books and records as appear necessary for the hearing of the petition, to testify and give evidence concerning the acts or conduct or things complained of in the application for an injunction.

Nev. Rev. Stat. § 649.435 Criminal penalty for violations; each day of unlawful operation constitutes separate offense.

Any person who violates any provision of this chapter is guilty of a gross misdemeanor. Each day a person operates a collection agency in violation of the provisions of this chapter is a separate violation under this section.

Nev. Rev. Stat. § 649.440 Administrative fine for violations.

In addition to any other remedy or penalty, the Commissioner may impose an administrative fine of not more than $10,000 upon a person who: 1. Without a license or certificate, conducts any business or activity for which a license or certificate is required pursuant to the provisions of this chapter; or 2. Violates any provision of this chapter or any regulation adopted pursuant thereto.

Nev. Rev. Stat. § 649.3345 Withdrawal of claim by customer; exception.

1. Unless a written agreement between the parties otherwise provides, a customer may withdraw, without obligation, any claim assigned to a collection agency at any time 6 months after the date of the assignment if: (a) The customer gives written notice of the withdrawal to the collection agency not less than 60 days before the effective date of the withdrawal; and (b) The claim is not in the process of being collected. 2. As used in this section, “in the process of being collected,” means that: (a) A payment on the claim has been received after the date of the assignment; (b) An action on the claim has been filed by or on behalf of the collection agency; (c) The claim has been forwarded to another collection agency for collection; (d) A lawful and sufficient claim or notice of lien has been filed by the collection agency on behalf of the customer to ensure payment from money distributed in connection with the probate of an estate, proceeding in bankruptcy, assignment for the benefit of creditors or any similar proceeding; or (e) The collection agency has obtained from the debtor an enforceable written promise to make payment. 3. Upon the withdrawal of any claim, the collection agency shall return to the customer any documents, records or other items relating to the claim that have been supplied by the customer. 4. This section does not apply to a debt buyer who is not also collecting claims on behalf of parties who are not affiliated with the debt buyer.
Source: NV Statutes (Official Site)URL: https://www.leg.state.nv.us/nrs/NRS-649.htmlFetched: 10/4/2026

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