Ch. 375

2003 LAWS OF MARYLAND

CONSUMERS, ANY FUNDS PAID TO THE LICENSEE BY OR ON BEHALF OF A CONSUMER
FOR DISBURSEMENT TO THE CONSUMER'S CREDITORS.

(B)     A LICENSEE SHALL:

(1)      MAINTAIN SEPARATE RECORDS OF ACCOUNT FOR EACH CONSUMER
TO WHOM THE LICENSEE IS PROVIDING DEBT MANAGEMENT SERVICES;

(2)      DISBURSE ANY FUNDS PAID BY OR ON BEHALF OF A CONSUMER TO
THE CONSUMER'S CREDITORS WITHIN 5 8 BUSINESS DAYS AFTER RECEIPT OF THE
FUNDS; AND

(3)      (I) CORRECT ANY MISDIRECTED PAYMENTS RESULTING FROM AN
ERROR BY THE LICENSEE; AND

(II) REIMBURSE THE CONSUMER FOR ANY ACTUAL FEES OR OTHER
CHARGES IMPOSED BY A CREDITOR AS A RESULT OF THE MISDIRECTION.

(C)     A LICENSEE MAY NOT COMMINGLE ANY TRUST ACCOUNT ESTABLISHED
FOR THE BENEFIT OF CONSUMERS WITH ANY OPERATING ACCOUNTS OF THE
LICENSEE.

(D) (1) AN AGENT THAT ACTS ON BEHALF OF A LICENSEE TO MANAGE A
TRUST ACCOUNT REQUIRED UNDER THIS SECTION SHALL MAINTAIN A SURETY BOND
IN AN AMOUNT NOT LESS THAN $10,000 MP NOT MORE THAN $500,000, AS SET BY THE
COMMISSIONER:

(2) THE SURETY BOND SHALL RUN TO THE STATE FOR THE BENEFIT OF
ANY CONSUMER WHO IS INJURED BY AN ACT OR OMISSION OF THE AGENT RELATING
TO THE MANAGEMENT OF A TRUST ACCOUNT REQUIRED UNDER THIS SECTION.

(3) THE LICENSEE SHALL FILE EVIDENCE OF THE SURETY BOND WITH
THE COMMISSIONER WITH THE LICENSEE'S APPLICATION FOR A NEW OR RENEWAL
LICENSE.

12-918.

(A)     WITH RESPECT TO THE PROVISION OF DEBT MANAGEMENT SERVICES, A
LICENSEE MAY NOT IMPOSE ANY FEES OR OTHER CHARGES ON A CONSUMER, OR
RECEIVE ANY FUNDS OR OTHER PAYMENTS FROM A CONSUMER OR ANOTHER
PERSON ON BEHALF OF A CONSUMER:

(1)     EXCEPT AS PROVIDED IN SUBSECTIONS (G)(3) AND (I) OF THIS
SECTION, UNTIL AFTER THE LICENSEE AND CONSUMER HAVE EXECUTED A FINAL
DEBT MANAGEMENT SERVICES AGREEMENT; AND

(2)      ONLY AS ALLOWED UNDER THIS SECTION.

(B)     (1) A LICENSEE MAY CHARGE A SET UP CONSULTATION FEE NOT
EXCEEDING $50.

(2) THE COST OF A CREDIT REPORT ON A CONSUMER SHALL BE PAID
FROM THE SET UP CONSULTATION FEE PAID BY THE CONSUMER.

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