Bill > SB256

This bill provides for the licensure of debt services providers in Ohio, establishing a comprehensive regulatory framework for companies offering debt resolution services. The bill creates a new chapter in the Ohio Revised Code that requires debt resolution service providers to obtain a license from the Superintendent of Financial Institutions, mandates specific consumer protections, and sets clear guidelines for how these services can operate. Key provisions include requiring licensees to disclose full details of their services in agreements, limiting fees that can be charged, prohibiting deceptive advertising, and establishing record-keeping requirements. The bill defines debt resolution services as programs designed to renegotiate, settle, or alter the terms of a consumer's unsecured debt, and it specifies that providers can only charge fees after successfully negotiating a debt reduction and the consumer makes an initial payment. The legislation also includes strict rules about consumer communication, advertising practices, and protecting consumer information. Notably, the bill provides a one-year implementation period, during which the Superintendent of Financial Institutions will develop specific rules for licensing and oversight, with the full regulations taking effect one year after the bill's initial effective date.

Business and Industry

https://www.legislature.ohio.gov/legislation/136/sb256