Ch. 374                                    2003 LAWS OF MARYLAND

by which the debtor agrees to pay a certain amount of money periodically to the other,
who for consideration distributes the money among specified creditors in accordance
with an agreed plan.

(b)     A person may not engage in the business of debt adjusting.

(c)     A person who violates this section is guilty of a misdemeanor and on
conviction is subject to imprisonment not exceeding 6 months or a fine not exceeding
$500 or both.

(d)     This section does not apply to the following when engaged in the regular
course of their respective businesses and professions:

(1)     A lawyer;

(2)     A bank or fiduciary, authorized to transact business in this State and
perform credit and financial adjusting service in the regular course of its principal
business;

(3)     A title insurer or abstract company, while doing an escrow business;

(4)     A judicial officer or a person acting under a court order;

(5)     A nonprofit, religious, fraternal, or cooperative organization that
offers debt management service exclusively for members, if a charge is not made and
a fee is not imposed;

(6)     A certified public accountant; and

(7)     A trade or mercantile association in the course of arranging the
adjustment of debts with a business establishment.]

Article - Financial Institutions

SUBTITLE 9. MARYLAND DEBT MANAGEMENT SERVICES ACT.
12-901.

(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS
INDICATED.

(B) "CONSULTATION FEE" MEANS A FEE PAID BY A CONSUMER TO A DEBT
MANAGEMENT SERVICES PROVIDER IN CONNECTION WITH THE PROCESSING OF
ANY APPLICATION THAT THE CONSUMER MAKES FOR DEBT MANAGEMENT
SERVICES.

(B) (C) "CONSUMER" MEANS AN INDIVIDUAL WHO:

(1)      RESIDES IN THE STATE; AND

(2)      IS SEEKING DEBT MANAGEMENT SERVICES OR HAS ENTERED INTO A
DEBT MANAGEMENT SERVICES AGREEMENT.

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