Uniform Debt-Management Services Act

Utah Code tit. 13, ch. 13-42

in effect

Utah Code § 13-42-102 Definitions.

13-42-102. Definitions. As used in this chapter: (1) "Affiliate": (a) with respect to an individual, means: (i) the spouse of the individual; (ii) a sibling of the individual or the spouse of a sibling; (iii) an individual or the spouse of an individual who is a lineal ancestor or lineal descendant of the individual or the individual's spouse; (iv) an aunt, uncle, great aunt, great uncle, first cousin, niece, nephew, grandniece, or grandnephew, whether related by the whole or the half blood or adoption, or the spouse of any of them; or (v) any other individual occupying the residence of the individual; and (b) with respect to an entity, means: (i) a person that directly or indirectly controls, is controlled by, or is under common control with the entity; (ii) an officer of, or an individual performing similar functions with respect to, the entity; (iii) a director of, or an individual performing similar functions with respect to, the entity; (iv) a person that receives or received more than $25,000 from the entity for debt management services in either the current year or the preceding year; (v) a person that owns more than 10% of, or an individual who is employed by or is a director of, a person that receives or received more than $25,000 from the entity for debt management services in either the current year or the preceding year; (vi) an officer or director of, or an individual performing similar functions with respect to, a person described in Subsection (1)(b)(i); (vii) the spouse of, or an individual occupying the residence of, an individual described in Subsections (1)(b)(i) through (vi); or (viii) an individual who has the relationship specified in Subsection (1)(a)(iv) or (v) to an individual or the spouse of an individual described in Subsections (1)(b)(i) through (vi). (2) "Agreement" means an agreement between a provider and an individual for the performance of debt-management services. (3) "Bank" means a financial institution, including a commercial bank, savings bank, savings and loan association, credit union, and trust company, engaged in the business of banking, chartered under federal or state law, and regulated by a federal or state banking regulatory authority. (4) "Business address" means the physical location of a business, including the name and number of a street. (5) "Certified counselor" means an individual certified by a training program or certifying organization, the division approves, that authenticates the competence of each individual providing education and assistance to other individuals in connection with debt-management services. (6) "Concessions" means assent to repayment of a debt on terms more favorable to an individual than the terms of the contract between the individual and a creditor. (7) "Day" means a calendar day. (8) "Debt-management services" means services as an intermediary between an individual and one or more creditors of the individual for the purpose of obtaining concessions, but does not include: (a) legal services an attorney provides in an attorney-client relationship if: (i) the attorney who provides the legal services: (A) is licensed or otherwise authorized to practice law in this state; and (B) provides legal services in representing the individual in the individual's relationship with a creditor; and (ii) there is no intermediary between the individual and the creditor other than the attorney or an individual under the direct supervision of the attorney; (b) accounting services a certified public accountant provides in an accountant-client relationship if: (i) the certified public accountant who provides the accounting services: (A) is licensed to provide accounting services in this state; and (B) provides accounting services in representing the individual in the individual's relationship with a creditor; and (ii) there is no intermediary between the individual and the creditor other than the accountant or an individual under the direct supervision of the accountant; or (c) financial-planning services a member of a financial-planning profession provides in a financial planner-client relationship if: (i) the division, by rule, determines that a member of that financial-planning profession is: (A) licensed by this state; (B) subject to a disciplinary mechanism; (C) subject to a code of professional responsibility; and (D) subject to a continuing education requirement; and (ii) there is no intermediary between the individual and the creditor other than the member of a financial-planning profession or an individual under the direct supervision of the member of a financial-planning profession. (9) "Division" means the Division of Consumer Protection established in Section 13-2-102. (10) "Entity" means a person other than an individual. (11) "Good faith" means honesty in fact and the observance of reasonable standards of fair dealing. (12) "Lead generator" means a person that, in the regular course of business: (a) supplies a provider with the name of a potential customer; (b) directs a communication of an individual to a provider; or (c) otherwise refers a customer to a provider. (13) (a) "Person" means: (i) an individual; (ii) a corporation; (iii) a business trust; (iv) an estate; (v) a trust; (vi) a partnership; (vii) a limited liability company; (viii) an association; (ix) a joint venture; or (x) any other legal or commercial entity. (b) "Person" does not include: (i) a public corporation; (ii) a government; or (iii) a governmental subdivision, agency, or instrumentality. (14) "Plan" means a program or strategy in which a provider furnishes debt-management services to an individual and which includes a schedule of payments to be made by or on behalf of the individual and used to pay debts owed by the individual. (15) "Principal amount of the debt" means the amount of a debt at the time of an agreement. (16) "Provider" means a person that provides, offers to provide, or agrees to provide debt-management services directly or through others. (17) "Record" means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form. (18) "Settlement fee" means a charge imposed on or paid by an individual in connection with a creditor's assent to accept in full satisfaction of a debt an amount less than the principal amount of the debt. (19) "Sign" means, with present intent to authenticate or adopt a record: (a) to execute or adopt a tangible symbol; or (b) to attach to or logically associate with the record an electronic sound, symbol, or process. (20) "State" means a state of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States. (21) "Trust account" means an account held by a provider that is: (a) established in a bank in which deposit accounts are insured; (b) separate from other accounts of the provider or its designee; (c) designated as a trust account or other account designated to indicate that the money in the account is not the money of the provider or its designee; and (d) used to hold money of one or more individuals for disbursement to creditors of the individuals. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-103 Exempt agreements and persons.

13-42-103. Exempt agreements and persons. (1) This chapter does not apply to a provider to the extent that the provider: (a) provides or agrees to provide debt-management, educational, or counseling services to an individual who the provider has no reason to know resides in this state at the time the provider agrees to provide the services; or (b) receives no compensation for debt-management services from or on behalf of the individuals to whom the provider provides the services or from their creditors. (2) This chapter does not apply to the following persons or their employees when the person or the employee is engaged in the regular course of the person's business or profession: (a) a judicial officer, a person acting under an order of a court or an administrative agency, or an assignee for the benefit of creditors; (b) a bank; (c) an affiliate, as defined in Subsection 13-42-102(1)(b)(i), of a bank if the affiliate is regulated by a federal or state banking regulatory authority; or (d) a title insurer, escrow company, or other person that provides bill-paying services if the provision of debt-management services is incidental to the bill-paying services. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-104 Registration required.

13-42-104. Registration required. (1) Except as otherwise provided in Subsection (2), a provider may not provide debt-management services to an individual who the provider reasonably should know resides in this state at the time the provider agrees to provide the services, unless the provider is registered under this chapter. (2) If a provider is registered under this chapter, Subsection (1) does not apply to an employee or agent of the provider. (3) The division shall maintain and publicize a list of the names of all registered providers. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-105 Application for registration -- Form, fee, and accompanying documents.

13-42-105. Application for registration -- Form, fee, and accompanying documents. (1) An application for registration as a provider shall be in a form the division approves. (2) Subject to adjustment of dollar amounts in accordance with Subsection 13-42-132(6), an application for registration as a provider shall be accompanied by: (a) the fee the division establishes in accordance with Section 63J-1-504; (b) the bond required by Section 13-42-113; (c) identification of all trust accounts subject to Section 13-42-122 and an irrevocable consent authorizing the division to review and examine the trust accounts; (d) evidence of insurance in the amount of $250,000: (i) against the risks of dishonesty, fraud, theft, and other misconduct on the part of the applicant or a director, employee, or agent of the applicant; (ii) issued by an insurance company authorized to do business in this state and rated at least A or equivalent by a nationally recognized rating organization the division approves; (iii) with a deductible not exceeding $5,000; (iv) payable to the applicant and this state for the benefit of the residents of this state, as the applicant's interests may appear; and (v) not subject to cancellation by the applicant or the insurer until 60 days after written notice has been given to the division; (e) a record consenting to the jurisdiction of this state containing: (i) the name, business address, and other contact information of the applicant's registered agent in this state for purposes of service of process; or (ii) the appointment of the division as agent of the provider for purposes of service of process; and (f) if the applicant is organized as a not-for-profit entity or has obtained tax exempt status under the Internal Revenue Code, 26 U.S.C. Sec. 501, evidence of not-for-profit or tax-exempt status, or both. (3) (a) The division may waive or reduce the insurance requirement in Subsection (2)(d) if the provider does not: (i) maintain control of a trust account or receive money paid by an individual in accordance with a plan for distribution to creditors; (ii) make payments to creditors on behalf of individuals; (iii) collect fees by means of automatic payment from individuals; and (iv) execute any powers of attorney that may be utilized by the provider to collect fees from or expend funds on behalf of an individual. (b) A waiver or reduction in insurance requirements the division allows under Subsection (3)(a) shall balance the reduction in risk a provider poses by meeting the requirements of Subsection (2)(d) against any continued need for insurance against employee and director dishonesty. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-106 Application for registration -- Required information.

13-42-106. Application for registration -- Required information. An applicant shall sign an application for registration as a provider under penalty of perjury and include in the application: (1) the applicant's name, principal business address and telephone number, and all other business addresses in this state, email addresses, and website addresses; (2) each name under which the applicant conducts business; (3) (a) the address of each location in this state at which the applicant will provide debt-management services; or (b) a statement that the applicant will not have a location where the applicant will provide debt-management services; (4) the name and home address of each officer and director of the applicant and each person that owns at least 10% of the applicant; (5) identification of each jurisdiction in which, during the five years immediately preceding the application: (a) the applicant or any of the applicant's officers or directors was licensed or registered to provide debt-management services; or (b) an individual resided when the individual received debt-management services from the applicant; (6) a statement describing, to the extent the applicant knows or should know, any material civil or criminal judgment or litigation and any material administrative or enforcement action by a governmental agency in any jurisdiction against: (a) the applicant; (b) any of the applicant's officers, directors, owners, or agents; or (c) any person that is authorized to have access to the trust account required by Section 13-42-122; (7) the applicant's financial statements, audited by an accountant licensed to conduct audits, for each of the two years immediately preceding the application or, if the applicant has not been in operation for the two years preceding the application, for the period of the applicant's existence; (8) evidence of accreditation by an independent accrediting organization the division approves; (9) evidence that, no later than 12 months after initial employment, each of the applicant's counselors becomes certified as a certified counselor; (10) a description of the three most commonly used educational programs that the applicant provides or intends to provide to individuals who reside in this state and a copy of any materials the applicant uses or will use in the educational programs; (11) a description of the applicant's financial analysis and initial budget plan, including any form or electronic model, the applicant uses to evaluate the financial condition of individuals; (12) a copy of each form of agreement that the applicant will use with individuals who reside in this state; (13) the schedule of fees and charges that the applicant will use with individuals who reside in this state; (14) at the applicant's expense, the results of a criminal records check, including fingerprints, conducted within the immediately preceding 12 months, covering every officer of the applicant and every employee or agent of the applicant who is authorized to have access to the trust account required by Section 13-42-122; (15) the names and addresses of each employer of each director during the 10 years immediately preceding the day on which the applicant submits the application; (16) a description of any ownership interest of at least 10% by a director, owner, or employee of the applicant in: (a) an affiliate of the applicant; or (b) an entity that provides products or services to the applicant or an individual relating to the applicant's debt-management services; (17) a statement of the amount of compensation of the applicant's five most highly compensated employees for each of the three years immediately preceding the application or, if the applicant has not been in operation for the three years preceding the application, for the period of the applicant's existence; (18) the identity of each director who is an affiliate, as defined in Subsection 13-42-102(1)(a) or (1)(b)(i), (ii), (iv), (v), (vi), (vii), or (viii) of the applicant; and (19) any other information that the division reasonably requires to perform the division's duties under Section 13-42-109. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-107 Application for registration -- Obligation to update information.

13-42-107. Application for registration -- Obligation to update information. An applicant or registered provider shall notify the division no later than 10 days after the day on which the change in the information specified in Subsection 13-42-105(2)(d) or (f) or Subsection 13-42-106(1), (3), (6), (12), or (13) occurs. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-108 Application for registration -- Public information.

13-42-108. Application for registration -- Public information. Except for the information required by Subsections 13-42-106(7), (14), and (17) and the addresses required by Subsection 13-42-106(4), the division shall make the information in an application for registration as a provider available to the public. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-109 Certification of registration -- Issuance or denial.

13-42-109. Certification of registration -- Issuance or denial. (1) Except as otherwise provided in Subsections (2) and (3), the division shall issue a certificate of registration as a provider to a person that complies with Sections 13-42-105 and 13-42-106. (2) The division may deny registration if: (a) the application contains information that is materially erroneous or incomplete; (b) an officer, director, or owner of the applicant has been convicted of a crime, or suffered a civil judgment, involving dishonesty or the violation of state or federal securities laws; (c) the applicant or any of the applicant's officers, directors, or owners has defaulted in the payment of money collected for others; or (d) the division finds that the financial responsibility, experience, character, or general fitness of the applicant or the applicant's owners, directors, employees, or agents does not warrant belief that the business will be operated in compliance with this chapter. (3) The division shall deny registration if: (a) the application is not accompanied by the fee the division establishes in accordance with Section 63J-1-504; or (b) with respect to an applicant that is organized as a not-for-profit entity or has obtained tax-exempt status under the Internal Revenue Code, 26 U.S.C. Sec. 501, the applicant's board of directors is not independent of the applicant's employees and agents. (4) Subject to adjustment of the dollar amount in accordance with Subsection 13-42-132(6), a board of directors is not independent for purposes of Subsection (3) if more than one-fourth of the applicant's members: (a) are affiliates of the applicant, as defined in Subsection 13-42-102(1)(a) or 13-42-102(1)(b)(i), (ii), (iv), (v), (vi), (vii), or (viii); or (b) within 10 years before the day on which the applicant's member first became a director of the applicant, the applicant's member was employed by or a director of a person that received from the applicant more than $25,000 in either the current year or the preceding year. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-110 Certificate of registration -- Timing.

13-42-110. Certificate of registration -- Timing. (1) The division shall approve or deny an initial registration as a provider no later than 120 days after the day on which the applicant files the applicant's application. (2) In connection with a request in accordance with Subsection 13-42-106(19) for additional information, the division may extend the 120-day period for not more than 60 days. (3) Within seven days after the day on which the division denies an application, the division, in writing, shall inform the applicant of the reasons for the denial. (4) If the division denies an application for registration as a provider or does not act on an application within the time described in this section, the applicant may appeal and request a hearing in accordance with Title 63G, Chapter 4, Administrative Procedures Act. (5) Subject to Subsection 13-42-111(4) and Section 13-42-134, a registration as a provider is valid for one year after the day on which the division issues a certificate of registration. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-111 Renewal of registration.

13-42-111. Renewal of registration. (1) A provider shall obtain a renewal of the provider's registration annually. (2) To obtain a renewal of the provider's registration a provider shall: (a) submit an application for renewal of registration as a provider in a form the division approves; (b) sign the application for renewal under penalty of perjury; (c) file the application for renewal no fewer than 30 days and no more than 60 days before the day on which the provider's current registration expires; (d) accompany the application for renewal with: (i) the fee the division establishes in accordance with Section 63J-1-504; and (ii) the bond required by Section 13-42-113; (e) include in the application for renewal of registration: (i) the information required for initial registration as a provider by Subsections 13-42-106(8) and (9); and (ii) a financial statement, audited by an accountant licensed to conduct audits, for the applicant's fiscal year immediately preceding the day on which the applicant submits the application for renewal; (f) disclose in the application for renewal any change in the information contained in the applicant's application for registration or the applicant's immediately previous application for renewal, if applicable; and (g) in the application for renewal: (i) supply evidence of insurance in an amount equal to the larger of $250,000 or the highest daily balance in the trust account required by Section 13-42-122 during the six-month period immediately before the day on which the provider submits the application for renewal: (A) against risks of dishonesty, fraud, theft, and other misconduct on the part of the applicant or a director, employee, or agent of the applicant; (B) issued by an insurance company authorized to do business in this state and rated at least A- or equivalent by a nationally recognized rating organization approved by the division; (C) with a deductible not exceeding $5,000; (D) payable to the applicant and this state for the benefit of the residents of this state, as their interests may appear; and (E) not subject to cancellation by the applicant or the insurer until 60 days after the day on which written notice has been given to the division; (ii) disclose the total amount of money received by the applicant in accordance with plans during the preceding 12 months from or on behalf of individuals who reside in this state and the total amount of money distributed to creditors of those individuals during that period; (iii) disclose, to the best of the applicant's knowledge, the gross amount of money accumulated during the preceding 12 months in accordance with plans by or on behalf of individuals who reside in this state and with whom the applicant has agreements; and (iv) provide any other information that the division reasonably requires to perform the division's duties under this section. (3) Except for the information required by Subsections 13-42-106(7), (14), and (17) and the addresses required by Subsection 13-42-106(4), the division shall make the information in an application for renewal of registration as a provider available to the public. (4) If a registered provider files a timely and complete application for renewal of registration, the registration remains effective until the division, in a record, notifies the applicant of a denial and states the reasons for the denial. (5) (a) If the division denies an application for renewal of registration as a provider, the applicant, no later than 30 days after receiving notice of the denial, may appeal and request a hearing in accordance with Title 63G, Chapter 4, Administrative Procedures Act. (b) Subject to Section 13-42-134, while the appeal is pending the applicant shall continue to provide debt-management services to individuals with whom the applicant has agreements. (c) If the denial is affirmed, subject to the division's order and Section 13-42-134, the applicant shall continue to provide debt-management services to individuals with whom the applicant has agreements until, with the approval of the division, the applicant transfers the agreements to another registered provider or returns to the individuals all unexpended money that is under the applicant's control. (6) (a) The division may waive or reduce the insurance requirement in Subsection (2)(g) if the provider does not: (i) maintain control of a trust account or receive money paid by an individual in accordance with a plan for distribution to creditors; (ii) make payments to creditors on behalf of individuals; (iii) collect fees by means of automatic payment from individuals; and (iv) execute any powers of attorney that the provider may utilize to collect fees from or expend funds on behalf of an individual. (b) A waiver or reduction in insurance requirements the division allows under Subsection (6)(a) shall balance the reduction in risk posed by a provider that meets the stated requirements against any continued need for insurance against employee and director dishonesty. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-112 Registration in another state -- Rulemaking.

13-42-112. Registration in another state -- Rulemaking. (1) (a) Subject to rules made by the division, if a provider holds a license or certificate of registration in another state authorizing the provider to provide debt-management services, the provider may submit a copy of that license or certificate and the application for that license or certificate instead of an application in the form described in Subsection 13-42-105(1), Section 13-42-106, or Subsection 13-42-111(2). (b) The division shall accept the application and the license or certificate from the other state as an application for registration as a provider or for renewal of registration as a provider, as appropriate, in this state if: (i) the application in the other state contains information substantially similar to or more comprehensive than that required in an application submitted in this state; (ii) the applicant provides the information required by Subsections 13-42-105(2)(d) and 13-42-106(1), (3), (7), (10), (12), and (13); (iii) the applicant, under penalty of perjury, certifies that the information contained in the application is current or, to the extent it is not current, supplements the application to make the information current; and (iv) the applicant files a surety bond or substitute in accordance with Section 13-42-113 or 13-42-114 that is solely payable or available to this state and to individuals who reside in this state. (2) The division, in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, shall make rules designating the states in which a provider may have a license or certificate that an applicant may submit to the division in compliance with this section. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-113 Surety bond required.

13-42-113. Surety bond required. (1) Except as otherwise provided in Section 13-42-114, a provider that is required to be registered under this chapter shall file a surety bond with the division, which shall: (a) be in effect during the period of registration and for two years after the day on which the provider ceases providing debt-management services to individuals in this state; and (b) run to this state for the benefit of this state and of individuals who reside in this state when the individuals agree to receive debt-management services from the provider, as the individuals' interests may appear. (2) Subject to adjustment of the dollar amount in accordance with Subsection 13-42-132(6), a surety bond filed in accordance with Subsection (1) shall: (a) be in the amount of $100,000; (b) be issued by a surety company authorized to do business in this state and rated at least A- by a nationally recognized rating organization; and (c) have payment conditioned on noncompliance of the provider or its agent with this chapter. (3) (a) If the principal amount of a surety bond is reduced by payment of a claim or a judgment, the provider shall immediately notify the division and, no later than 30 days after the day on which the division gives notice to the provider, file a new or additional surety bond in an amount to comply with the $100,000 requirement. (b) If for any reason a surety terminates a bond, the provider shall immediately file a new surety bond in the amount of $100,000. (4) The division or an individual may obtain satisfaction out of the surety bond procured in accordance with this section if: (a) the division assesses expenses under Subsection 13-42-132(2)(a), issues a final order under Subsection 13-42-133(1)(b), or recovers a final judgment under Subsection 13-42-133(1)(d) or (e) or Subsection 13-42-133(4); or (b) an individual recovers a final judgment in accordance with Subsection 13-42-135(1), Subsection 13-42-135(2), or Subsection 13-42-135(3)(a), (b), or (d). (5) If claims against a surety bond exceed or are reasonably expected to exceed the amount of the bond, the division, on the initiative of the division or on petition of the surety, shall, unless the proceeds are adequate to pay all costs, judgments, and claims, distribute the proceeds in the following order: (a) to satisfaction of a final order or judgment under Subsection 13-42-133(1)(a), (d), or (e) or Subsection 13-42-133(4); (b) to final judgments recovered by individuals in accordance with Subsection 13-42-135(1), Subsection 13-42-135(2), or Subsection 13-42-135(3)(a), (b) or (d), pro rata; (c) to claims of individuals established to the satisfaction of the division, pro rata; and (d) if a final order or judgment is issued under Subsection 13-42-133(1), to the expenses charged in accordance with Subsection 13-42-132(2)(a). Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-114 Bond required -- Substitute.

13-42-114. Bond required -- Substitute. (1) Instead of the surety bond required by Section 13-42-113, a provider, with the approval of the division and in the amount required by Subsection (2), may deliver to the division: (a) an irrevocable letter of credit, issued or confirmed by a bank the division approves, payable on presentation of a certificate by the division stating that the provider or the provider's agent has not complied with this chapter; or (b) bonds or other obligations of the United States or guaranteed by the United States or bonds or other obligations of this state or a political subdivision of this state, to be: (i) deposited and maintained with a bank the division approves for this purpose; and (ii) delivered by the bank to the division on presentation of a certificate by the division stating that the provider or provider's agent has not complied with this chapter. (2) If a provider furnishes a substitute in accordance with Subsection (1), Subsections 13-42-113(1), (3), (4), and (5) apply to the substitute. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-115 Requirement of good faith.

13-42-115. Requirement of good faith. A provider shall act in good faith in all matters under this chapter. Enacted by Chapter 154, 2006 General Session

Utah Code § 13-42-116 Customer service.

13-42-116. Customer service. A provider that is required to be registered under this chapter shall maintain a toll-free communication system, staffed at a level that reasonably permits an individual to speak to a certified counselor or customer service representative, as appropriate, during ordinary business hours. Enacted by Chapter 154, 2006 General Session

Utah Code § 13-42-117 Prerequisites for providing debt-management services.

13-42-117. Prerequisites for providing debt-management services. (1) Before providing debt-management services, a provider shall give the individual an itemized list of goods and services and the charges for each. The list shall be clear and conspicuous, be in a record the individual may keep whether or not the individual assents to an agreement, and describe the goods and services the provider offers: (a) free of additional charge if the individual enters into an agreement; (b) for a charge if the individual does not enter into an agreement; and (c) for a charge if the individual enters into an agreement, using the following terminology, as applicable, and format: Set-up fee _________________________________________________ dollar amount of fee Monthly service fee __________________________________________ dollar amount of fee or method of determining amount Settlement fee ______________________________________________ dollar amount of fee or method of determining amount Goods and services in addition to those provided in connection with a plan: _____________ ____________________________________________ (item) dollar amount or method of determining amount _____________ ____________________________________________ (item) dollar amount or method of determining amount. (2) A provider may not furnish debt-management services unless the provider, through the services of a certified counselor: (a) provides the individual with reasonable education about the management of personal finance; (b) has prepared a financial analysis including at least the following matters affecting the individual's financial condition: (i) assets; (ii) income; (iii) debt, including secured debt; and (iv) other liabilities; and (c) if the individual is to make regular, periodic payments to a creditor or a provider: (i) has prepared a plan for the individual; (ii) has made a determination, based on the provider's analysis of the information provided by the individual and otherwise available to it, that the plan is suitable for the individual and the individual will be able to meet the payment obligations under the plan; and (iii) believes that each creditor of the individual listed as a participating creditor in the plan will accept payment of the individual's debts as provided in the plan. (3) Before an individual assents to an agreement to engage in a plan, a provider shall: (a) provide the individual with a copy of the analysis and plan required by Subsection (2) in a record that identifies the provider and that the individual may keep whether or not the individual assents to the agreement; (b) inform the individual of the availability, at the individual's option, of assistance by a toll-free communication system or in person to discuss the financial analysis and plan required by Subsection (2); and (c) with respect to all creditors identified by the individual or otherwise known by the provider to be creditors of the individual, provide the individual with a list of: (i) creditors that the provider expects to participate in the plan and grant concessions; (ii) creditors that the provider expects to participate in the plan but not grant concessions; (iii) creditors that the provider expects not to participate in the plan; and (iv) all other creditors. (4) Before an individual assents to an agreement, the provider shall inform the individual, in a separate record that the individual may keep whether or not the individual assents to the agreement: (a) of the name and business address of the provider; (b) that plans are not suitable for all individuals and the individual may ask the provider about other ways, including bankruptcy, to deal with indebtedness; (c) of the amount of time necessary to achieve the results that the provider represents to be achievable; (d) if the provider intends to include a settlement offer to any of the individual's creditors or debt collectors: (i) of the time by which the provider will make a bona fide settlement offer to any of the individual's creditors or debt collectors; and (ii) of the amount of money or the percentage of each outstanding debt that the individual must accumulate before the provider will make a bona fide settlement offer to each creditor or debt collector; (e) that establishment of a plan may adversely affect the individual's credit rating or credit scores; (f) that nonpayment of debt may lead creditors to increase finance and other charges or undertake collection activity, including litigation; (g) if the provider requests or requires the individual to place money in an account at an insured financial institution, that the individual: (i) owns the funds held in the account; (ii) may withdraw from the provider's plan at any time without penalty; and (iii) is entitled to receive all money in the account, other than money that the provider earns as provided in Section 13-42-123, at the time the individual withdraws from the provider's plan; (h) unless it is not true, that the provider may receive compensation from the creditors of the individual; and (i) that, unless the individual is insolvent, if a creditor settles for less than the full amount of the debt, the plan may result in the creation of taxable income to the individual, even though the individual does not receive any money. (5) If a provider may receive payments from an individual's creditors and the plan contemplates that the individual's creditors will reduce finance charges or fees for late payment, default, or delinquency, the provider may comply with Subsection (4) by providing the following disclosure, surrounded by black lines: IMPORTANT INFORMATION FOR YOU TO CONSIDER (1) Debt-management plans are not right for all individuals, and you may ask us to provide information about other ways, including bankruptcy, to deal with your debts. (2) Using a debt-management plan may make it harder for you to obtain credit. (3) We may receive compensation for our services from your creditors. _______________________________________ Name and business address of provider (6) If a provider will not receive payments from an individual's creditors and the plan contemplates that the individual's creditors will reduce finance charges or fees for late payment, default, or delinquency, a provider may comply with Subsection (4) by providing the following disclosure, surrounded by black lines: IMPORTANT INFORMATION FOR YOU TO CONSIDER (1) Debt-management plans are not right for all individuals, and you may ask us to provide information about other ways, including bankruptcy, to deal with your debts. (2) Using a debt-management plan may make it harder for you to obtain credit. ______________________________________ Name and business address of provider (7) If an agreement contemplates that creditors will settle debts for less than the full principal amount of debt owed, a provider may comply with Subsection (4) by providing the following disclosure, surrounded by black lines: IMPORTANT INFORMATION FOR YOU TO CONSIDER (1) Our program is not right for all individuals, and you may ask us to provide information about bankruptcy and other ways to deal with your debts. (2) Nonpayment of your debts under our program may hurt your credit rating or credit scores; lead your creditors to increase finance and other charges; and lead your creditors to undertake activity, including lawsuits, to collect the debts. (3) Reduction of debt under our program may result in taxable income to you, even though you will not actually receive any money. _________________________________________ Name and business address of provider Amended by Chapter 152, 2012 General Session

Utah Code § 13-42-118 Communication by electronic or other means.

13-42-118. Communication by electronic or other means. (1) As used in this section: (a) "Consumer" means an individual who seeks or obtains goods or services that are used primarily for personal, family, or household purposes. (b) "Federal act" means the Electronic Signatures in Global and National Commerce Act, 15 U.S.C. Sec. 7001 et seq. (2) A provider may satisfy the requirements of Section 13-42-117, 13-42-119, or 13-42-127 by means of the internet or other electronic means if the provider obtains a consumer's consent in the manner provided by Section 101(c)(1) of the federal act. (3) A provider shall present the disclosures and materials required by Sections 13-42-117, 13-42-119, and 13-42-127 in a form that is capable of being accurately reproduced for later reference. (4) With respect to disclosure by means of a website, the disclosure of the information required by Subsection 13-42-117(4) shall appear on one or more screens that: (a) contain no other information; and (b) an individual is able to see before proceeding to assent to formation of an agreement. (5) At the time of providing the materials and agreement required by Subsections 13-42-117(3) and (4), Section 13-42-119, and Section 13-42-127, a provider shall inform the individual that on electronic, telephonic, or written request, the provider: (a) will send the individual a written copy of the materials; and (b) shall comply with a request as provided in Subsection (6). (6) (a) If an individual requests that a provider, before the expiration of 90 days after the day on which an agreement is completed or terminated, send the individual a written copy of the materials required by Subsections 13-42-117(3) and (4), Section 13-42-119, or Section 13-42-127, the provider shall send the materials at no charge no later than three business days after the day on which the provider receives the request. (b) Notwithstanding Subsection (6)(a), a provider is not required to comply with a request more than once per calendar month or if the provider reasonably believes the individual makes the request for purposes of harassment. (c) If an individual makes a request more than 90 days after the day on which an agreement is completed or terminated, the provider shall send within a reasonable time a written copy of the materials requested. (7) A provider that maintains a website shall disclose on the home page of the provider's website or on a page that is clearly and conspicuously connected to the home page by a link that clearly reveals the website's contents: (a) the provider's name and all names under which the provider does business; (b) the provider's principal business address, telephone number, and electronic-mail address, if any; and (c) the names of the provider's principal officers. (8) Subject to Subsection (9), if a consumer who consents to electronic communication in the manner provided by Section 101 of the federal act withdraws consent as provided in the federal act, a provider may terminate the provider's agreement with the consumer. (9) (a) If a provider wishes to terminate an agreement with a consumer in accordance with Subsection (8), the provider shall notify the consumer that the provider will terminate the agreement unless the consumer, no later than 30 days after the day on which the consumer receives the notification, consents to electronic communication in the manner provided in Section 101(c) of the federal act. (b) If the consumer consents to electronic communication as described in Subsection (9)(a), the provider may terminate the agreement only as permitted by Subsection 13-42-119(1)(f)(iv)(D). Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-119 Form and contents of agreement.

13-42-119. Form and contents of agreement. (1) An agreement shall: (a) be in a record; (b) be dated and signed by the provider and the individual; (c) include the name of the individual and the address where the individual resides; (d) include the name, business address, and telephone number of the provider; (e) be delivered to the individual immediately upon formation of the agreement; and (f) disclose: (i) the services the provider will provide; (ii) the amount, or method of determining the amount, of all fees, individually itemized, the individual will pay; (iii) the schedule of payments to be made by or on behalf of the individual, including the amount of each payment, the date on which each payment is due, and an estimate of the date of the final payment; (iv) if a plan provides for regular periodic payments to creditors: (A) each creditor of the individual to which the provider will make payment, the amount owed to each creditor, and any concessions the provider reasonably believes each creditor will offer; (B) the schedule of expected payments to each creditor, including the amount of each payment and the date on which the provider will make the payment; (C) each creditor that the provider believes will not participate in the plan and to which the provider will not direct payment; and (D) that the provider may terminate the agreement for good cause, upon return of unexpended money of the individual; (v) if a plan contemplates the settlement of the individual's debt for less than the principal amount of the debt, an estimate of: (A) the duration of the plan based on all enrolled debts; (B) the length of time before the individual may reasonably expect a settlement offer; and (C) the amount of savings needed to accrue before the individual may reasonably expect a settlement offer, expressed as either a dollar amount or a percentage, for each enrolled debt; (vi) how the provider will comply with the provider's obligations under Subsection 13-42-127(1); (vii) that the individual may terminate the agreement at any time by giving written or electronic notice, and that, if notice of termination is given, the individual will receive all unexpended money that the provider or the provider's designee receives from or on behalf of the individual for payment of a credit and, except to the extent they have been earned, the provider's fees; (viii) that the individual may contact the division with any questions or complaints regarding the provider; and (ix) the address, telephone number, and email address or website of the division. (2) For purposes of Subsection (1)(e), delivery of an electronic record occurs when: (a) the provider makes the electronic record available in a format in which the individual may retrieve, save, and print the electronic record; and (b) the provider notifies the individual that the electronic record is available. (3) If the division supplies the provider with any information required under Subsection (1)(f)(ix), the provider may comply with that requirement only by disclosing the information the division supplies. (4) An agreement shall provide that: (a) the individual authorizes any bank in which the provider or the provider's agent has established a trust account to disclose to the division any financial records relating to the trust account; and (b) the provider will provide a notice to the individual no later than five business days after the day on which a creditor learns of a creditor's final decision to reject or withdraw from a plan and that the notice will include: (i) the identity of the creditor; and (ii) the right of the individual to modify or terminate the agreement. (5) An agreement may not: (a) provide for application of the law of a jurisdiction other than the United States and this state; (b) except as permitted by Section 2 of the Federal Arbitration Act, 9 U.S.C. Sec. 2, or Title 78B, Chapter 11, Utah Uniform Arbitration Act, contain a provision that modifies or limits otherwise available forums or procedural rights, including the right to trial by jury, that are generally available to the individual under law other than this chapter; (c) contain a provision that restricts the individual's remedies under this chapter or law other than this chapter; or (d) contain a provision that: (i) limits or releases the liability of a person for not performing the agreement or for violating this chapter; or (ii) indemnifies a person for liability arising under the agreement or this chapter. (6) A provision in an agreement which violates Subsection (4) or (5) is void. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-120 Termination of agreement.

13-42-120. Termination of agreement. (1) An individual who is a party to an agreement may terminate the agreement at any time, without penalty or obligation, by giving the provider notice in a record. (2) A provider may terminate an agreement if an individual who is a party to the agreement fails for 60 days to make a payment or deposit required by the agreement or if other good cause exists. (3) If an agreement is terminated: (a) the provider, no later than seven business days after the termination, shall pay the individual who is a party to the agreement all money the provider or its designee received from or on behalf of the individual, other than: (i) an amount properly disbursed to a creditor; and (ii) fees earned pursuant to Section 13-42-123; and (b) any power of attorney granted by the individual to the provider is revoked. Repealed and Re-enacted by Chapter 152, 2012 General Session

Utah Code § 13-42-121 Required language.

13-42-121. Required language. (1) Unless the division, by rule, provides otherwise, the disclosures and documents required by this chapter shall be in English. (2) If a provider communicates with an individual primarily in a language other than English, the provider shall furnish a translation in the other language of the disclosures and documents required by this chapter. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-122 Trust account.

13-42-122. Trust account. (1) (a) A provider shall hold all money paid to the provider by or on behalf of an individual for distribution to creditors in accordance with a plan in a trust account. (b) No later than two business days after the day on which the provider receives the money, the provider shall deposit the money in a trust account established for the benefit of individuals to whom the provider furnishes debt-management services. (2) A provider whose agreement contemplates the settlement of an individual's debt for less than the principal amount of the debt may request or require the individual to place money in an account the provider uses to pay a creditor or the provider's fees, or both, if: (a) the provider holds the money in an insured account at a bank; (b) the individual owns the money held in the account; (c) the provider pays the individual any interest accrued on the account; (d) the entity administering the account is not the provider or an affiliate of the provider, unless the affiliate is described in Subsection 13-42-102(1)(b)(iv); (e) the entity administering the account does not give or accept any money or other compensation in exchange for a referral of business involving debt-management services; and (f) the individual may terminate the agreement at any time without penalty and on termination shall receive all money in the account, other than money earned by the provider in accordance with this section. (3) If an agreement contemplates the reduction of finance charges or fees for late payment, default, or delinquency, and the provider complies with Subsection (1), the provider may request or require the individual to make payment to be used for both distribution to creditors and payment of the provider's fees. (4) (a) Money a provider holds in trust is not property of the provider or the provider's designee. (b) The money is not available to creditors of the provider or designee, except an individual from whom or on whose behalf the provider received money, to the extent that the provider has not disbursed the money to creditors of the individual. (5) A provider shall: (a) maintain separate records of account for each individual to whom the provider furnishes debt-management services; (b) disburse money paid by or on behalf of the individual to creditors of the individual as disclosed in the agreement, except that: (i) the provider may delay payment to the extent that a payment by the individual is not final; and (ii) if a plan provides for regular periodic payments to creditors, the disbursement shall comply with the due dates established by each creditor; and (c) promptly correct a payment that the provider does not make or that the provider misdirects as a result of an error by the provider or other person in control of the trust account and reimburse the individual for any costs or fees imposed by a creditor as a result of the failure to pay or misdirection. (6) A provider may not commingle money in a trust account established for the benefit of individuals to whom the provider furnishes debt-management services with money of another person. (7) A trust account shall at all times have a cash balance equal to the sum of the balances of each individual's account. (8) (a) If a provider has established a trust account in accordance with Subsection (1), the provider shall reconcile the trust account at least once a month. (b) The reconciliation shall compare the cash balance in the trust account with the sum of the balances in each individual's account. (c) If the provider or the provider's designee has more than one trust account, each trust account shall be individually reconciled. (9) (a) If a provider discovers, or has a reasonable suspicion of, embezzlement or other unlawful appropriation of money held in trust, the provider immediately shall notify the division by a method the division approves. (b) Unless the division by rule provides otherwise, no later than five days after the provider notifies the division in accordance with Subsection (9)(a), the provider shall give notice to the division describing the remedial action the provider takes or will take. (10) If an individual terminates an agreement or a provider determines that a plan has failed, the provider shall promptly refund to the individual all money paid by or on behalf of the individual that the provider has not paid to creditors, less fees that are payable to the provider under Section 13-42-123. (11) (a) Before relocating a trust account from one bank to another, a provider shall inform the division of the name, business address, and telephone number of the new bank. (b) As soon as practicable, the provider shall inform the division of the account number of the trust account at the new bank. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-123 Fees and other charges.

13-42-123. Fees and other charges. (1) A provider may not impose directly or indirectly a fee or other charge on an individual or receive money from or on behalf of an individual for debt-management services except as permitted by this section. (2) A provider may not impose charges or receive payment for debt-management services until the provider and the individual sign an agreement that complies with Sections 13-42-119 and 13-42-128. (3) (a) If an individual assents to an agreement, a provider may not impose a fee or other charge for educational, counseling, or similar services, except as otherwise provided in this section and Subsection 13-42-128(4). (b) The division may authorize a provider to charge a fee based on the nature and extent of the services the provider furnishes. (4) (a) Subsections (4)(b) through (d) are subject to adjustment of dollar amounts in accordance with Subsection 13-42-132(6). (b) If an individual assents to a plan that contemplates that a creditor will reduce finance charges or fees for late payment, default, or delinquency, the provider may charge: (i) a fee not exceeding $50 for consultation, obtaining a credit report, setting up an account, and other similar services; and (ii) a monthly service fee, not to exceed $10 times the number of accounts remaining in a plan at the time the fee is assessed, but not more than $50 in any month. (c) If an individual assents to an agreement that contemplates that creditors will settle debts for less than the principal amount of the debt, a provider may not request or receive payment of a fee or consideration for the provider's service unless: (i) the provider renegotiates, settles, reduces, or otherwise alters the terms of at least one debt under an agreement the individual executes; (ii) the individual makes at least one payment in accordance with the agreement between the individual and the creditor or debt collector; and (iii) the fee or consideration for an individual debt that an individual renegotiates, settles, reduces, or otherwise alters: (A) bears the same proportion to the total fee for renegotiating, settling, reducing, or altering the terms of the entire debt as the individual debt amount at the time the debt was enrolled in the service bears to the entire debt amount at the time the debt was enrolled in the service; or (B) is a percentage of the amount saved as a result of the renegotiation, settlement, reduction, or alteration, as calculated under Subsection (4)(e), that may not change from one individual debt to another. (d) (i) Except as otherwise provided in Subsection 13-42-128(4), if an individual does not assent to an agreement, a provider may receive for educational and counseling services the provider provides to the individual a fee not exceeding $100 or, with the approval of the division, a larger fee. (ii) The division may approve a fee larger than $100 if the nature and extent of the educational and counseling services warrant the larger fee. (e) For purposes of Subsection (4)(c)(iii)(B), the amount saved is calculated as the difference between the amount owed at the time the debt is enrolled in the service and the amount actually paid to satisfy the debt. (5) If, before the expiration of 90 days after the completion or termination of educational or counseling services, an individual assents to an agreement, the provider shall refund to the individual a fee an individual pays in accordance with Subsection (4)(d). (6) Except as otherwise provided in Subsections (3) and (4), if an agreement contemplates that creditors will settle an individual's debts for less than the principal amount of the debt: (a) compensation for services in connection with settling a debt shall be reasonable and clearly disclosed in the agreement; and (b) a fee for settling a debt may be collected only as the debt is settled. (7) Subject to adjustment of the dollar amount in accordance with Subsection 13-42-132(6), if a payment to a provider by an individual under this chapter is dishonored, a provider may impose a reasonable charge on the individual, not to exceed the lesser of $25 and the amount permitted by law other than this chapter. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-124 Voluntary contributions.

13-42-124. Voluntary contributions. A provider may not solicit a voluntary contribution from an individual or an affiliate of the individual for any service provided to the individual. A provider may accept voluntary contributions from an individual but, until 30 days after completion or termination of a plan, the aggregate amount of money received from or on behalf of the individual may not exceed the total amount the provider may charge the individual under Section 13-42-123. Enacted by Chapter 154, 2006 General Session

Utah Code § 13-42-125 Voidable agreements.

13-42-125. Voidable agreements. (1) If a provider imposes a fee or other charge or receives money or other payments not authorized by Section 13-42-123 or 13-42-124, the individual may void the agreement and recover as provided in Section 13-42-135. (2) If a provider is not registered as required by this chapter when an individual assents to an agreement, the agreement is voidable by the individual. (3) If an individual voids an agreement under Subsection (2), the provider does not have a claim against the individual for breach of contract or for restitution. Enacted by Chapter 154, 2006 General Session

Utah Code § 13-42-126 Retention of records.

13-42-126. Retention of records. (1) For each individual for whom a provider provides debt-management services, the provider shall maintain records for five years after the final payment made by the individual. (2) The provider shall produce a copy of the records to the individual within a reasonable time after a request for the records. (3) The provider may use electronic or other means of storage of the records. Repealed and Re-enacted by Chapter 152, 2012 General Session

Utah Code § 13-42-127 Periodic reports and retention of records.

13-42-127. Periodic reports and retention of records. (1) A provider shall provide the accounting required by Subsection (2): (a) on cancellation or termination of an agreement; and (b) before cancellation or termination of any agreement: (i) at least once each month; and (ii) no later than five business days after a request by an individual, but the provider need not comply with more than one request in any calendar month. (2) A provider, in a record, shall provide each individual for whom it has established a plan an accounting of the following information: (a) the amount in an account containing money paid by or on behalf of the individual for fees or distribution to a creditor, or both, as of the date one month before the date of the accounting; (b) the amount paid into the account since the last report; (c) the amounts and dates of disbursement made on the individual's behalf, or by the individual on the direction of the provider, since the last report to each creditor listed in the plan; (d) the amounts deducted, as fees or otherwise, from the amount paid into the account since the last report; (e) if, since the last report, a creditor has agreed to accept as payment in full an amount less than the principal amount of the debt owed by the individual: (i) the total amount and terms of the settlement; (ii) the amount of the debt when the individual assented to the plan; (iii) the amount of the debt when the creditor agreed to the settlement; and (iv) the calculation of a settlement fee; and (f) the amount in the account as of the date of the accounting. (3) If an agreement contemplates that a creditor will settle a debt for less than the principal amount of the debt and the provider delegates performance of its duties under this section to another person, the provider may provide the information required by Subsection (2)(e) in a record separate from the record containing the other information required by Subsection (2). Amended by Chapter 152, 2012 General Session

Utah Code § 13-42-128 Prohibited acts and practices.

13-42-128. Prohibited acts and practices. (1) A provider may not, directly or indirectly: (a) include a secured debt in a plan, except as authorized by law other than this chapter; (b) misappropriate or misapply money the provider holds in trust; (c) settle a debt on behalf of an individual, unless the individual assents to the settlement after the creditor assents to the settlement; (d) take a power of attorney that authorizes the provider to settle a debt; (e) exercise or attempt to exercise a power of attorney after an individual terminates an agreement; (f) initiate a transfer from an individual's account at a bank or with another person unless the transfer is: (i) a return of money to the individual; or (ii) before termination of an agreement, properly authorized by the agreement and this chapter, and for: (A) payment to one or more creditors in accordance with an agreement; or (B) payment of a fee; (g) offer a gift or bonus, premium, reward, or other compensation to an individual for executing an agreement; (h) offer, pay, or give a gift or bonus, premium, reward, or other compensation to a lead generator or other person for referring a prospective customer, if the person making the referral: (i) has a financial interest in the outcome of debt-management services provided to the customer, unless neither the provider nor the person making the referral communicates to the prospective customer the identity of the source of the referral; or (ii) compensates its employees on the basis of a formula that incorporates the number of individuals the employee refers to the provider; (i) receive a bonus, commission, or other benefit for referring an individual to a person; (j) structure a plan in a manner that would result in a negative amortization of any of an individual's debts, unless a creditor that is owed a negatively amortizing debt agrees to refund or waive the finance charge on payment of the principal amount of the debt; (k) compensate the provider's employees on the basis of a formula that incorporates the number of individuals the employee induces to enter into agreements; (l) settle a debt or lead an individual to believe that a payment to a creditor is in settlement of a debt to the creditor unless, at the time of settlement, the individual receives a certification by the creditor that the payment: (i) is in full settlement of the debt; or (ii) is part of a settlement plan, the terms of which are included in the certification, that, if completed according to its terms, will satisfy the debt; (m) make a representation that: (i) the provider will furnish money to pay bills or prevent attachments; (ii) payment of a certain amount will permit satisfaction of a certain amount or range of indebtedness; or (iii) participation in a plan will or may prevent litigation, garnishment, attachment, repossession, foreclosure, eviction, or loss of employment; (n) misrepresent that it is authorized or competent to furnish legal advice or perform legal services; (o) represent in the provider's agreements, disclosures required by this chapter, advertisements, or website that the provider is: (i) a not-for-profit entity unless the provider is organized and properly operating as a not-for-profit entity under the law of the state in which the provider was formed; or (ii) a tax-exempt entity unless the provider receives certification of tax-exempt status from the Internal Revenue Service and properly operates as a not-for-profit entity under the law of the state in which the provider was formed; (p) take a confession of judgment or power of attorney to confess judgment against an individual; (q) employ an unfair, unconscionable, or deceptive act or practice; (r) knowingly omit any material information or material aspect of any provider's service, including: (i) the amount of money or the percentage of the debt amount that an individual may save by using the provider's service; (ii) the amount of time necessary to achieve the results that the provider represents as achievable; (iii) the amount of money or the percentage of each outstanding debt that the individual is required to accumulate before the provider will: (A) initiate an attempt with the individual's creditors or debt collectors to negotiate, settle, or modify the terms of the individual's debt; or (B) make a bona fide offer to negotiate, settle, or modify the terms of the individual's debt; (iv) the effect of the service on: (A) an individual's creditworthiness; or (B) collection efforts of the individual's creditors or debt collectors; (v) the percentage or number of individuals who achieve the results that the provider represents are achievable; and (vi) whether a nonprofit entity offers or provides a provider's service; or (s) make or use an untrue or a misleading statement: (i) to the division; or (ii) in the provision of services subject to this chapter. (2) If a provider furnishes debt-management services to an individual, the provider may not, directly or indirectly: (a) purchase a debt or obligation of the individual; (b) receive from or on behalf of the individual: (i) a promissory note or other negotiable instrument other than a check or a demand draft; or (ii) a post-dated check or demand draft; (c) lend money or provide credit to the individual, unless the loan or credit is: (i) a deferral of a settlement fee at no additional expense to the individual; or (ii) through an affiliate that is licensed separately from the provider; (d) obtain a mortgage or other security interest from any person in connection with the services provided to the individual; (e) except as permitted by federal law, disclose the identity or identifying information of the individual or the identity of the individual's creditors, except to: (i) the division, on proper demand; (ii) a creditor of the individual, to the extent necessary to secure the cooperation of the creditor in a plan; or (iii) the extent necessary to administer the plan; (f) except as otherwise provided in Subsection 13-42-123(4)(c), provide the individual less than the full benefit of a compromise of a debt arranged by the provider; (g) charge the individual for or provide credit or other insurance, coupons for goods or services, membership in a club, access to computers or the Internet, or any other matter not directly related to debt-management services or educational services concerning personal finance, except to the extent such services are expressly authorized by the division; or (h) furnish legal advice or perform legal services, unless the person furnishing that advice to or performing those services for the individual is licensed to practice law. (3) This chapter does not authorize any person to engage in the practice of law. (4) A provider may not receive a gift or bonus, premium, reward, or other compensation, directly or indirectly, for advising, arranging, or assisting an individual in connection with obtaining, an extension of credit or other service from a lender or service provider, except: (a) for educational or counseling services required in connection with a government-sponsored program; or (b) as authorized in Subsection 13-42-123(4)(d). (5) Unless a person supplies goods, services, or facilities generally and supplies the goods, services, or facilities to the provider at a cost no greater than the cost the person generally charges to others, a provider may not purchase goods, services, or facilities from the person if an employee or a person that the provider should reasonably know is an affiliate of the provider: (a) owns more than 10% of the person; or (b) is an employee or affiliate of the person. (6) A provider may not: (a) represent that the division or the state endorses the provider; (b) omit from a filing with the division a material statement of fact required by this chapter or rule the division makes in accordance with this chapter; or (c) include in a filing with the division a material statement of fact that the provider or the provider's principal knows or should know is false, deceptive, inaccurate, or misleading. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-129 Notice of litigation.

13-42-129. Notice of litigation. No later than 30 days after the day on which a provider is served with notice of a civil action for a violation of this chapter by or on behalf of an individual who resides in this state at either the time of an agreement or the time the notice is served, the provider shall notify the division in a record that the provider has been sued. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-130 Advertising.

13-42-130. Advertising. (1) If a provider whose agreements contemplate that creditors will reduce finance charges or fees for late payment, default, or delinquency advertises debt-management services, it shall disclose, in an easily comprehensible manner, that using a debt-management plan may make it harder for the individual to obtain credit. (2) If a provider whose agreements contemplate that creditors will settle for less than the full principal amount of debt that advertises debt-management services, it shall disclose, in an easily comprehensible manner: (a) the information specified in Subsections 13-42-117(4)(e) and (f); and (b) the provider's settlement fee structure, consistent with the limitations of Section 13-42-123. Amended by Chapter 152, 2012 General Session

Utah Code § 13-42-131 Provider liability for the conduct of other persons -- Prohibited conduct of person providing service to provider.

13-42-131. Provider liability for the conduct of other persons -- Prohibited conduct of person providing service to provider. (1) If a provider delegates any of its duties or obligations under an agreement or this chapter to another person, including an independent contractor, the provider is liable for conduct of the person which, if done by the provider, would violate the agreement or this chapter. (2) A lead generator or other person that provides services to or for a provider may not engage in an unfair, unconscionable, or deceptive act or practice, including the knowing omission of any material information, with respect to an individual who the lead generator or other person has reason to believe is or may become a customer of the provider. Amended by Chapter 152, 2012 General Session

Utah Code § 13-42-132 Powers of the division.

13-42-132. Powers of the division. (1) The division may: (a) act on the division's own initiative or in response to complaints; (b) receive complaints; (c) take action to obtain voluntary compliance with this chapter; (d) refer cases to the attorney general; and (e) seek or provide remedies as provided in this chapter. (2) (a) The division may investigate and examine, in this state or elsewhere, by subpoena or otherwise, the activities, books, accounts, and records of: (i) a person that provides or offers to provide debt-management services; or (ii) a person to which a provider delegates the provider's obligations under an agreement or this chapter, to determine compliance with this chapter. (b) The division may not disclose information that identifies an individual who has an agreement with the provider to the public. (c) In connection with an investigation described under this Subsection (2), the division may: (i) charge the person any reasonable expense the division incurs to conduct the examination; (ii) require or permit a person to file a statement under oath as to each fact and circumstances of a matter the division investigates; and (iii) seek a court order authorizing seizure from a bank at which the person maintains a trust account described in Section 13-42-122, any or all money, books, records, accounts, and other property of the provider that the bank controls and relates to an individual who resides in this state. (3) The division may adopt rules to implement the provisions of this chapter in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act. (4) The division may: (a) enter into a cooperative arrangement with a federal or state agency that has authority over providers; and (b) exchange with a federal or state agency information about a provider, including information the division obtains during an examination of the provider. (5) The division shall establish fees in accordance with Section 63J-1-504 that a provider shall pay for the expense of administering this chapter. (6) (a) The division, by rule, shall adopt dollar amounts instead of those specified in Sections 13-42-102, 13-42-105, 13-42-109, 13-42-113, 13-42-123, 13-42-133, and 13-42-135 to reflect inflation, as measured by: (i) the United States Bureau of Labor Statistics Consumer Price Index for All Urban Consumers; or (ii) if the United States Bureau of Labor Statistics Consumer Price Index for All Urban Consumers is not available, another index the division adopts by rule. (b) The division shall adopt a base year and adjust the dollar amounts, effective on July 1 of each year, if the change in the index from the base year, as of December 31 of the preceding year, is at least 10%. (c) The division shall round the dollar amount to the nearest $100, except that the division shall round the amounts in Section 13-42-123 to the nearest dollar. (7) The division shall notify registered providers of any change in dollar amounts made in accordance with Subsection (6) and make that information available to the public. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-133 Administrative remedies.

13-42-133. Administrative remedies. (1) The division may enforce this chapter and rules the division adopts under this chapter by taking one or more of the following actions: (a) ordering a provider, lead generator, person administering an account in accordance with Subsection 13-42-122(2), or director, employee, or other agent of a provider to cease and desist from a violation; (b) ordering a provider, lead generator, person administering an account in accordance with Subsection 13-42-122(2), or person that causes a violation to correct the violation, including making restitution of money or property to a person aggrieved by a violation; (c) subject to adjustment of the dollar amount in accordance with Subsection 13-42-132(6), imposing on a provider, lead generator, person administering an account in accordance with Subsection 13-42-122(2), or other person that violates or causes a violation an administrative fine not exceeding $10,000 for each violation; (d) prosecuting a civil action to: (i) enforce an order; or (ii) obtain restitution or equitable relief, or both; or (e) intervening in an action brought under Section 13-42-135. (2) Subject to adjustment of the dollar amount in accordance with Subsection 13-42-132(6), if a person violates or knowingly authorizes, directs, or aids in the violation of a final order the division issues under Subsection (1)(a) or (b), the division may impose an administrative fine not exceeding $20,000 for each violation. (3) The division may maintain an action to enforce this chapter in any county. (4) The division may recover the reasonable costs of enforcing the chapter under Subsections (1) through (3), including attorney fees based on the hours the division reasonably expends and the hourly rates for attorneys of comparable experience in the community. (5) In determining the amount of an administrative fine the division imposes under Subsection (1) or (2), the division director shall consider: (a) the seriousness of the violation; (b) the good faith of the violator; (c) a previous violation by the violator; (d) the deleterious effect of the violation on the public; (e) the net worth of the violator; and (f) any other factor the division director considers relevant to the determination of the administrative fine. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-134 Suspension, revocation, or nonrenewal of registration.

13-42-134. Suspension, revocation, or nonrenewal of registration. (1) In this section, "insolvent" means a provider: (a) ceases to pay debts in the ordinary course of business other than as a result of good-faith dispute; (b) is unable to pay debts as the debts become due; or (c) is insolvent within the meaning of the federal bankruptcy law, 11 U.S.C. Sec. 101 et seq. (2) The division may suspend, revoke, or deny renewal of a provider's registration if: (a) a fact or condition exists that, if the fact or condition had existed when the registrant applied for registration as a provider, would have been a reason for the division denying the registration; (b) the provider commits a material violation of this chapter or a rule or order of the division under this chapter; (c) the provider is insolvent; (d) the provider, an employee or affiliate of the provider, a lead generator for the provider, a person administering an account for the provider in accordance with Subsection 13-42-122(2), or a person to which the provider delegates the provider's obligations under an agreement or this chapter: (i) refuses to permit the division to make an examination authorized by this chapter; (ii) fails to comply with Subsection 13-42-132(2)(b) no later than 15 days after the day on which the division makes a request in accordance with Section 13-42-132; or (iii) makes a material misrepresentation or omission in complying with Subsection 13-42-132(2)(b); or (e) the provider fails to respond within a reasonable time and in an appropriate manner to a communication from the division. (3) If a provider becomes insolvent, the provider shall continue to provide debt-management services to an individual with whom the provider has an agreement until: (a) with the division's approval, the provider transfers the agreement to another registered provider; or (b) the provider returns to the individual all unexpended money that is under the provider's control. (4) If a provider fails to comply with Subsection 13-42-122(8) or if the division otherwise finds that the public health or safety or general welfare requires emergency action, the division may order a summary suspension of the provider's registration, effective on the date the division specifies in the order. (5) If the division suspends, revokes, or denies renewal of the registration of a provider, the division may seek a court order authorizing seizure of any or all of the money in a trust account required by Section 13-42-122, books, records, accounts, and other property of the provider which are located in this state. (6) If the division suspends or revokes a provider's registration, the provider may appeal and request a hearing in accordance with Title 63G, Chapter 4, Administrative Procedures Act. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-135 Private enforcement.

13-42-135. Private enforcement. (1) If an individual voids an agreement in accordance with Subsection 13-42-125(2), the individual may recover in a civil action all money paid or deposited by or on behalf of the individual in accordance with the agreement, except amounts paid to a creditor, in addition to the recovery under Subsections (3)(c) and (d). (2) If an individual voids an agreement in accordance with Subsection 13-42-125(1), the individual may recover in a civil action three times the total amount of the fees, charges, money, and payments the individual makes to the provider, in addition to the recovery under Subsection (3)(d). (3) Subject to Subsection (4), an individual with respect to whom a provider or other person violates this chapter may recover in a civil action from the provider, the person, and any person that causes the violation: (a) compensatory damages for injury, including noneconomic injury, caused by the violation; (b) except as otherwise provided in Subsection (4) and subject to adjustment of the dollar amount in accordance with Subsection 13-42-132(6), with respect to a violation of Section 13-42-117, 13-42-119, 13-42-120, 13-42-121, 13-42-122, 13-42-123, 13-42-124, 13-42-126, or 13-42-127, or Subsection 13-42-128(1), (2), or (4), the greater of the amount recoverable under Subsection (3)(a) or $5,000; (c) punitive damages; and (d) reasonable attorney fees and costs. (4) In a class action, except for a violation of Subsection 13-42-128(1)(f), the minimum damages provided in Subsection (3)(b) do not apply. (5) (a) A provider is not liable under this section for a violation of this chapter if the provider proves that the violation was not intentional and resulted from a good-faith error notwithstanding the maintenance of procedures the provider reasonably adopts to avoid the error. (b) An error of legal judgment with respect to a provider's obligations under this chapter is not a good-faith error as described in this Subsection (5). (c) If, in connection with a violation, the provider receives more money than authorized by an agreement or this chapter, the defense provided by this Subsection (5) is not available unless the provider refunds the excess no later than two business days after the day on which the provider learns of the violation. (6) The division shall assist an individual in enforcing a judgment against the surety bond or other security provided under Section 13-42-113 or 13-42-114. Amended by Chapter 95, 2026 General Session

Utah Code § 13-42-136 Violation of Consumer Sales Practices Act.

13-42-136. Violation of Consumer Sales Practices Act. If an act or practice of a provider violates both this chapter and Chapter 11, Utah Consumer Sales Practices Act, an individual may not recover under both for the same act or practice. Enacted by Chapter 154, 2006 General Session

Utah Code § 13-42-137 Statute of limitations -- Tolling.

13-42-137. Statute of limitations -- Tolling. The period prescribed in Subsection 13-2-6(6) is tolled during any period during which the provider or, if different, the defendant has materially and willfully misrepresented information required by this chapter to be disclosed to the individual, if the information so misrepresented is material to the establishment of the liability of the defendant under this chapter. Amended by Chapter 276, 2018 General Session

Utah Code § 13-42-138 Uniformity of application and construction.

13-42-138. Uniformity of application and construction. In applying and construing this uniform act, consideration shall be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it. Amended by Chapter 378, 2010 General Session

Utah Code § 13-42-139 Relation to Electronic Signatures in Global and National Commerce Act.

13-42-139. Relation to Electronic Signatures in Global and National Commerce Act. This chapter modifies, limits, and supersedes the Electronic Signatures in Global and National Commerce Act, 15 U.S.C. Section 7001 et seq., but does not modify, limit, or supersede Section 101(c) of that act, 15 U.S.C. Sec. 7001(c), or authorize electronic delivery of any of the notices described in Section 103(b) of that act, 15 U.S.C. Section 7003(b). Amended by Chapter 152, 2012 General Session

Utah Code § 13-42-141 Severability.

13-42-141. Severability. If any provision of this chapter or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of this chapter that can be given effect without the invalid provision or application, and to this end the provisions of this chapter are severable. Enacted by Chapter 154, 2006 General Session

Source: Utah Office of Legislative Research and General Counsel (le.utah.gov)URL: https://le.utah.gov/xcode/Title13/Chapter42/13-42.html?v=C13-42_1800010118000101Fetched: 10/26/2026