Bill > SB0295

This bill establishes a comprehensive licensing framework for collateral recovery agencies (repossession companies) in Indiana. The legislation renames the existing private investigator and security guard licensing board to include collateral recovery agencies, and expands the board's membership to include two representatives from collateral recovery agencies. The bill requires anyone engaging in vehicle or collateral repossession to be licensed, with detailed application requirements including background checks, proof of training, and certification from recognized industry programs. Licensees must maintain a physical Indiana location, have secure storage facilities for vehicles and personal effects, and carry substantial insurance coverage (at least $1 million per occurrence). The bill also establishes strict rules for handling personal effects found in repossessed vehicles, including inventory and notification procedures. Additionally, it creates legal protections for collateral recovery agency employees, making it a criminal offense to threaten them during a repossession. Notably, the bill provides exemptions for certain entities like financial institutions, rental car companies, and specific types of equipment sellers. The legislation aims to professionalize and regulate the repossession industry, ensuring consumer protection and establishing clear standards for businesses engaged in collateral recovery.

Business and Industry

https://iga.in.gov/legislative/2025/bills/senate/295/details