(1) A debt consolidating agency:
(a) May charge a client an initial set-up fee of not more than $25.
(b) May charge for services performed for the client in an amount of not more than 15 percent of the amount actually received by the debt consolidating agency on behalf of a client for payment to creditors. A debt consolidating agency may not receive an amount from the client under this paragraph until the first installment under the contract or agreement with the client is paid to any creditor of the client.
(c) May not charge a person for any discussion with that person that may or may not result in an agreement for services of a debt consolidating agency.
(d) Notwithstanding paragraph (c) of this subsection, may charge a fee to cover the expenses for education classes if:
(A) The classes are approved by the Director of the Department of Consumer and Business Services, or the classes are required by rule or order of a federal or state agency and the debt consolidating agency is certified by the federal or state agency to provide the education; and
(B) A request to charge the fee has been approved in writing by the director.
(2) Notwithstanding subsection (1)(c) of this section, a debt consolidating agency that is a nonprofit organization may charge a fee in an amount set by the director by rule to cover the expenses of credit counseling if:
(a) The debt consolidating agency demonstrates to the director the need for the fee or the credit counseling is required by rule or order of a federal or state agency and the debt consolidating agency is certified by the federal or state agency to provide the credit counseling; and
(b) A request to charge the fee has been approved in writing by the director.
(3) A debt consolidating agency that charges a fee not authorized under this section is subject to ORS 697.752, 697.762, 697.832 and 697.990 (3).
(4) As used in this section, “nonprofit organization” means an organization described in section 501(c)(3) of the Internal Revenue Code that is exempt from income tax under section 501(a) of the Internal Revenue Code. [1983 c.17 §11; 1999 c.483 §1; 2005 c.309 §1]
Section: Previous 697.670 697.672 697.675 697.680 697.682 697.685 697.690 697.692 697.695 697.700 697.702 697.705 697.707 697.710 697.712 NextLast modified: August 7, 2008