General Provisions

Utah Code tit. 13, ch. 13-21, pt. 13-21-P1

in effect

Utah Code § 13-21-101 Definitions -- Exemptions.

13-21-101. Definitions -- Exemptions. As used in this chapter: (1) "Buyer" means an individual who is solicited to purchase or who purchases the services of a credit services organization. (2) "Credit report" means a written, oral, or other communication of information by a consumer reporting agent relating to a consumer's credit worthiness, credit standing, credit capacity, character, general reputation, personal characteristics, or mode of living that the consumer reporting agent uses or collects to serve as a factor in establishing the consumer's eligibility for credit for personal, family, or household purposes. (3) "Credit reporting agency" means a person who, for a monetary fee, dues, or on a cooperative nonprofit basis, regularly engages in whole or in part in the practice of assembling or evaluating consumer credit information or other information on consumers for the purpose of furnishing consumer reports to third persons. (4) (a) "Credit score" means a numerical value or a categorization that a person: (i) derives from information in a consumer report; (ii) derives from a statistical tool or modeling system; and (iii) develops to predict the likelihood of credit behavior. (b) "Credit score" includes: (i) a risk predictor; or (ii) a risk score. (5) (a) "Credit services organization" means a person who represents that the person or an employee is a debt professional or credit counselor, or, with respect to the extension of credit by others, sells, provides, or performs, or represents that the person can or will sell, provide, or perform, in return for the payment of money or other valuable consideration any of the following services: (i) improving a buyer's credit record, history, or rating; (ii) providing advice, assistance, instruction, or instructional materials to a buyer with regard to Subsection (5)(a)(i); or (iii) debt reduction or debt management plans. (b) "Credit services organization" does not include: (i) a person authorized to make loans or extensions of credit under the laws of this state or the United States who is subject to regulation and supervision by this state or the United States and who derives at least 35% of the person's income from making loans and extensions of credit; (ii) a depository institution: (A) as defined in Section 7-1-103; or (B) that is regulated or supervised by the Federal Deposit Insurance Corporation or the National Credit Union Administration; (iii) a person licensed as a principal broker under Title 61, Chapter 2f, Real Estate Licensing and Practices Act, if the person is acting within the course and scope of that license; (iv) a person licensed to practice law in this state if: (A) the person renders the services described in Subsection (5)(a) within the course and scope of the person's practice as an attorney; and (B) the services described in Subsection (5)(a) are incidental to the person's practice as an attorney; (v) a broker-dealer registered with the Securities and Exchange Commission or the Commodity Futures Trading Commission if the broker-dealer is acting within the course and scope of that regulation; (vi) a credit reporting agency if the services described in Subsection (5)(a) are incidental to the credit reporting agency's services; or (vii) a person who provides debt-management services and is required to be registered under Title 13, Chapter 42, Uniform Debt-Management Services Act. (6) "Division" means the Division of Consumer Protection established in Section 13-2-102. (7) "Extension of credit" means the right to defer payment of debt or to incur debt and defer its payment, offered or granted primarily for personal, family, or household purposes. Renumbered and Amended by Chapter 95, 2026 General Session

Utah Code § 13-21-102 Credit services organizations -- Prohibitions.

13-21-102. Credit services organizations -- Prohibitions. (1) A credit services organization, the credit services organization's salespersons, agents, and representatives, and independent contractors who sell or attempt to sell the services of a credit services organization may not do any of the following: (a) conduct any business regulated by this chapter without first: (i) securing a certificate of registration from the division; and (ii) unless exempted under Section 13-21-104, maintaining the following in a manner the division approves and in an amount of $100,000: (A) a surety bond issued by a surety authorized to transact surety business in the state; or (B) a certificate of deposit in a financial institution authorized under the laws of this state; (b) charge or receive any money or other valuable consideration prior to full and complete performance of the services the credit services organization has agreed to perform for the buyer; (c) dispute or challenge, or assist a person in disputing or challenging an entry in a credit report prepared by a consumer reporting agency without a factual basis for believing and obtaining a written statement for each entry from the person stating that that person believes that the entry contains a material error or omission, outdated information, inaccurate information, or unverifiable information; (d) charge or receive any money or other valuable consideration solely for referral of the buyer to a retail seller who will or may extend credit to the buyer, if the credit that is or will be extended to the buyer is upon substantially the same terms as those available to the general public; (e) make, or counsel or advise any buyer to make, any statement that is untrue or misleading and that is known, or that by the exercise of reasonable care should be known, to be untrue or misleading, to a credit reporting agency or to any person who has extended credit to a buyer or to whom a buyer is applying for an extension of credit, with respect to a buyer's creditworthiness, credit standing, or credit capacity; (f) make or use any untrue or misleading representations in the offer or sale of the services of a credit services organization or engage, directly or indirectly, in any act, practice, or course of business that operates or would operate as fraud or deception upon any person in connection with the offer or sale of the services of a credit services organization; (g) represent that the division or the state endorses or approves the credit services organization; (h) omit from a filing with the division a material statement of fact required by this chapter or rule that the division makes in accordance with this chapter; (i) include in a filing with the division a material statement of fact that the credit service organization or credit service organization's principal knew or should have known to be false, deceptive, inaccurate, or misleading; or (j) cause or attempt to cause a buyer to waive a right established by this chapter. (2) (a) The division may claim a credit service organization's surety bond or certificate of deposit for the benefit of a buyer who incurs damages as the result of the credit service organization's failure to comply with this chapter. (b) After a buyer described in Subsection (2) recovers actual damages, the division may recover from the surety bond or certificate of deposit any administrative fines, civil penalties, investigative costs, attorney fees, and other costs of collecting and distributing funds in accordance with this chapter. Renumbered and Amended by Chapter 95, 2026 General Session

Utah Code § 13-21-103 Registration and suspension of registration.

13-21-103. Registration and suspension of registration. (1) A credit services organization shall file an application for registration with the division before engaging in any activity regulated by this chapter. (2) The credit services organization shall include in the application described in Subsection (1): (a) the name, mailing and physical address, and telephone number of the credit services organization; (b) the name of a person that owns or controls more than 5% of the credit services organization, either directly or through another person or entity; (c) the name of any individual who is responsible for the day-to-day operation of the credit services organization; (d) the credit service organization's registered agent for service of process in the state, and the registered agent's: (i) name; (ii) street address; (iii) mailing address; and (iv) telephone number; (e) (i) the case title, docket number, the names and addresses of all parties, and a detailed explanation of any administrative, civil, or criminal action in which the organization or any person identified in Subsection (2)(b) or (c) is a party to an administrative, civil, or criminal action that arose in this state or any other jurisdiction involving the offer to provide or the provision of services described in Subsection 13-21-101(5)(a); or (ii) an unsworn declaration made in accordance with Title 78B, Chapter 18a, Uniform Unsworn Declarations Act, made by the credit services organization's chief executive officer or principal that neither the organization nor any person identified in Subsection (2)(b) or (c) is a party to any administrative, civil, or criminal action described in Subsection (2)(e)(i); (f) a detailed outline of the credit services organization's credit services program that the credit services organization will offer in this state; (g) a copy of any contract and other document that the credit services organization requires the consumer to sign; (h) a registration fee determined by the division; and (i) any information that the division requires by rule made in accordance with Title 63G, Chapter 3, Administrative Rulemaking Act. (3) A credit services organization shall update registration information within 30 days after the day on which any information the credit services organization provided on the application described in Subsection (1) becomes incorrect or incomplete. (4) In accordance with Chapter 2, Division of Consumer Protection, and Title 63G, Chapter 4, Administrative Procedures Act, the division may initiate adjudicative proceedings to deny, suspend, or revoke an application or registration if: (a) the division finds that the denial, suspension, or revocation is in the public interest; and (b) (i) the registration is incomplete, false, or misleading; or (ii) the applicant or applicant's principal: (A) violates, causes a violation, allows a violation, or fails to satisfy the requirements of a provision of this chapter or a rule made by the division in accordance with this chapter; (B) violates Chapter 11, Utah Consumer Sales Practices Act; (C) is enjoined by a court; (D) is the subject of an administrative or judicial order issued in Utah or another state, if the order includes a finding or admission of fraud, breach of fiduciary duty, or material representation or the order was based on a finding of a lack of integrity, truthfulness, or mental competence; (E) is convicted of a crime involving theft, fraud, or dishonesty; (F) obtains or attempts to obtain a registration by misrepresenting a material fact; (G) fails to provide information that the division requests; (H) fails to pay an administrative fine imposed by the division or an administrative or a judicial order; or (I) fails to pay the fee to file a registration application or a renewal application. (5) To renew a registration, a credit services organization shall submit a registration application at least 30 days before the day on which the credit service organization's current registration expires. (6) A credit services organization's registration is effective for one year after the day on which the division issues the credit services organization's registration. (7) A credit services organization obtaining a registration in accordance with this section does not constitute an approval or endorsement of the credit services organization by the division or the state. Renumbered and Amended by Chapter 95, 2026 General Session

Utah Code § 13-21-104 Surety bond or certificate of deposit -- Not required of agent if obtained by organization.

13-21-104. Surety bond or certificate of deposit -- Not required of agent if obtained by organization. (1) If a credit services organization obtains a surety bond or certificate of deposit as described in Subsection 13-21-102(1), a salesperson, agent, or representative who sells the services of that organization is not required to post a separate surety bond or certificate of deposit. (2) For purposes of this section, a person is a salesperson, agent, or representative of a credit services organization if: (a) the person does business under the same name as the credit services organization; or (b) the credit services organization and the issuer of the surety bond or certificate of deposit certify in writing that the surety bond or certificate of deposit covers the person. Renumbered and Amended by Chapter 95, 2026 General Session

Utah Code § 13-21-105 Written information statement required.

13-21-105. Written information statement required. (1) Before the execution of a contract or agreement between the buyer and a credit services organization or before the receipt by the credit services organization of any money or other valuable consideration, whichever occurs first, the credit services organization shall provide the buyer with a statement in writing, containing all the information required by Section 13-21-106. (2) A credit services organization shall maintain on file for a period of two years an exact copy of the statement described in Subsection (1), personally signed by the buyer, acknowledging receipt of a copy of the statement. Renumbered and Amended by Chapter 95, 2026 General Session

Utah Code § 13-21-106 Contents of statement.

13-21-106. Contents of statement. The information statement required under Section 13-21-105 shall include all of the following: (1) a complete and accurate statement of the buyer's right to review any file on the buyer a credit reporting agency maintains, as provided under 15 U.S.C. Sec. 1681 et seq., as amended, the Fair Credit Reporting Act; (2) a statement that the credit reporting agency that issued a report upon which a credit denial was based shall conduct a review of the file on the buyer free of charge, if requested within 30 days after the day on which the buyer receives a notice of a denial of credit; (3) the approximate price a credit reporting agency will charge the buyer for a copy of the file on the buyer; (4) a complete and accurate statement of the buyer's right to dispute the completeness or accuracy of any item contained in any file on the buyer that a credit reporting agency maintains; (5) a complete and detailed description of the services the credit services organization will perform for the buyer and the total amount the buyer will have to pay, or become obligated to pay, for the services; (6) a statement asserting the buyer's right to proceed against the surety bond or trust account required under Section 13-21-102; and (7) the name and address of the surety company which issued the surety bond, or the name and address of the depository and the trustee and the account number of the trust account. Renumbered and Amended by Chapter 95, 2026 General Session

Utah Code § 13-21-107 Written contracts required -- Contents -- Notice of cancellation of contract.

13-21-107. Written contracts required -- Contents -- Notice of cancellation of contract. (1) A contract between the buyer and a credit services organization for the purchase of the services of the credit services organization shall be in writing, dated, signed by the buyer, and include all of the following: (a) a conspicuous statement in bold type, in immediate proximity to the space reserved for the signature of the buyer, as follows: "You, the buyer, may cancel this contract at any time prior to midnight of the fifth day after the date of the transaction. See the attached notice of cancellation form for an explanation of this right."; (b) the terms and conditions of payment, including the total of all payments to be made by the buyer, whether to the credit services organization or to some other person; (c) a full and detailed description of the services the credit services organization will perform for the buyer, including all guarantees and all promises of full or partial refunds, and the estimated date by which the credit services organization will perform the services, or estimated length of time for performing the services; and (d) the credit services organization's principal business address and the name and address of its agent, in Utah, authorized to receive service of process. (2) The contract shall be accompanied by a completed form in duplicate, captioned "Notice of Cancellation," which shall be attached to the contract and easily detachable, and which shall contain in bold type the following statement written in the same language as used in the contract: "Notice of CancellationYou may cancel this contract, without any penalty or obligation, within five days from the date the contract is signed.If you cancel, any payment made by you under this contract will be returned within 10 days following receipt by the seller of your cancellation notice.To cancel this contract, mail or deliver a signed dated copy of this cancellation notice, or any other written notice, to _____(name of credit services organization)_____at _____(address of credit services organization)_____ (place of business)_____ not later than midnight _____(date)_____.I hereby cancel this transaction._______________(date)__________________________________________________________(purchaser's signature)" (3) The credit services organization shall give to the buyer: (a) a copy of the completed contract; and (b) all other documents the credit services organization requires the buyer to sign at the time the buyer signs the documents. Renumbered and Amended by Chapter 95, 2026 General Session

Utah Code § 13-21-108 Required disclosures.

13-21-108. Required disclosures. When a credit services organization provides a credit report to a buyer, the credit services organization shall provide to the buyer a written disclosure that identifies: (1) the credit reporting agency providing the information in the report; (2) the name of the credit score model the credit reporting agency uses to calculate the credit score; and (3) the minimum and maximum possible scores under the credit score model the credit reporting agency uses in the credit report. Renumbered and Amended by Chapter 95, 2026 General Session

Utah Code § 13-21-109 Burden of proving exception -- Penalties -- Court's criminal and equitable jurisdiction -- Prosecution.

13-21-109. Burden of proving exception -- Penalties -- Court's criminal and equitable jurisdiction -- Prosecution. (1) A waiver by a buyer of a part of this chapter is void. (2) In a proceeding under this chapter, the person claiming the exemption or exception has the burden of proving an exemption or an exception from a definition. (3) (a) A person who violates this chapter is guilty of a class A misdemeanor. (b) A court with jurisdiction under Title 78A, Judiciary and Judicial Administration, may restrain and enjoin a violation of this chapter. (4) The attorney general, a county attorney, a district attorney, or a city attorney may prosecute misdemeanor actions or institute injunctive or civil proceedings, or both, under this chapter. (5) The remedies, duties, prohibitions, and penalties of this chapter are not exclusive and are in addition to all other causes of action, remedies, and penalties provided by law. (6) In addition to the division's enforcement powers described in Chapter 2, Division of Consumer Protection, the division may: (a) impose an administrative fine of up to $2,500 for each violation of this chapter; and (b) bring an action in a court with jurisdiction to enforce a provision of this chapter. (7) In an action described in Subsection (6)(b), a court may: (a) declare that an act or a practice violates a provision of this chapter; (b) issue an injunction for a violation of this chapter; (c) order disgorgement of any money received in violation of this chapter; (d) order payment of disgorged money to an injured purchaser or consumer; (e) impose a fine of up to $2,500 for each violation of this chapter; and (f) award any other relief the court deems reasonable and necessary. Renumbered and Amended by Chapter 95, 2026 General Session

Utah Code § 13-21-110 Damages -- Punitive damages -- Attorney fees and costs -- Remedies.

13-21-110. Damages -- Punitive damages -- Attorney fees and costs -- Remedies. (1) A buyer injured by a violation of this chapter may bring any action for recovery of damages. (2) In an action brought by a buyer in accordance with Subsection (1): (a) a court shall enter judgment for actual damages, that the court shall determine as at least the amount paid by the buyer to the credit services organization, plus reasonable attorney fees and costs; and (b) the court may award the buyer punitive damages. (3) The remedies provided under this chapter are in addition to any other procedures or remedies for a violation or conduct provided for in any other law. (4) (a) The division may maintain an action for damages or injunctive relief on behalf of the division or another person to enforce compliance with this chapter. (b) A court shall include in a judgment the court grants in favor of the division, in addition to any other monetary award or injunctive relief, an award of reasonable attorney fees, court costs, and costs of investigation. Renumbered and Amended by Chapter 95, 2026 General Session

Source: Utah Office of Legislative Research and General Counsel (le.utah.gov)URL: https://le.utah.gov/xcode/Title13/Chapter21/13-21-P1.html?v=C13-21-P1_2026050620260506Fetched: 10/26/2026