Ch. 375

2003 LAWS OF MARYLAND

CONSUMERS MAKE ANY FALSE, MISLEADING, OR DECEPTIVE REPRESENTATIONS OR
OMISSIONS OF INFORMATION IN CONNECTION WITH THE OFFER, SALE, OR
PERFORMANCE OF ANY SERVICE;

(7)      OFFER, PAY, OR GIVE A SUBSTANTIAL GIFT, BONUS, PREMIUM,
REWARD, OR OTHER COMPENSATION TO A PERSON FOR REFERRING A PROSPECTIVE
CUSTOMER TO THE LICENSEE;

(8)      OFFER AN INCENTIVE, INCLUDING A GIFT, BONUS, PREMIUM,
REWARD, OR OTHER COMPENSATION, TO A CONSUMER FOR EXECUTING A DEBT
MANAGEMENT SERVICES AGREEMENT WITH THE LICENSEE;

(9)      CHARGE FOR OR PROVIDE CREDIT INSURANCE; OR

(10)    COMPROMISE ANY DEBTS OF A CONSUMER UNLESS THE LICENSEE
HAS OBTAINED THE PRIOR WRITTEN APPROVAL OF THE CONSUMER AND THE
COMPROMISE INURES SOLELY TO THE BENEFIT OF BENEFITS THE CONSUMER.

(B) (1) NOTWITHSTANDING ANY OTHER PROVISION OF STATE LAW, A
LICENSEE MAY NOT, DIRECTLY OR INDIRECTLY, COLLECT ANY FEE FOR REFERRING,
ADVISING, PROCURING, ARRANGING, OR ASSISTING A CONSUMER IN OBTAINING ANY
EXTENSION OF CREDIT OR OTHER CONSUMER SERVICE FROM A LENDER OR SERVICE
PROVIDER IF THE LICENSEE, OR ANY OWNER OFFICER DIRECTOR, PRINCIPAL, OR
EMPLOYEE OF THE LICENSEE, IS AN OWNER, PARTNER, DIRECTOR, OFFICER, OR
EMPLOYEE OF THE LENDER OR SERVICE PROVIDER.

(2) THIS SUBSECTION DOES NOT PROHIBIT A LICENSEE FROM
REFERRING, ADVISING, PROCURING, ARRANGING, OR ASSISTING A CONSUMER IN
OBTAINING ANY EXTENSION OF CREDIT OR OTHER CONSUMER SERVICE FROM A
LENDER OR SERVICE PROVIDER OF WHICH THE LICENSEE, OR ANY OWNER OFFICER
DIRECTOR, PRINCIPAL, OR EMPLOYEE OF THE LICENSEE, IS AN OWNER, PARTNER,
DIRECTOR, OFFICER OR EMPLOYEE, IF:

(I)      THE LICENSEE DOES NOT DIRECTLY OR INDIRECTLY COLLECT
ANY FEE; AND

(II)     THE CONSUMER IS PROVIDED WITH A WRITTEN DISCLOSURE
OF THE RELATIONSHIP.

12-921.

(A) (1) ON OR BEFORE APRIL 30 OF EACH YEAR A LICENSEE SHALL REPORT
TO THE COMMISSIONER ON THE DEBT MANAGEMENT SERVICES BUSINESS OF THE
LICENSEE CONDUCTED DURING THE PRECEDING CALENDAR YEAR

(2)      THE ANNUAL REPORT SHALL BE ON THE FORM THAT THE
COMMISSIONER REQUIRES.

(3)      THE REPORT SHALL INCLUDE:

(I) AN AUDITED FINANCIAL STATEMENT THAT IS PREPARED IN
ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AND

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