3.0.0 3264 2023-01-11T13:20:16Z 2023-01-11T13:20:16Z Senate S S 2010-04-27 111 ssbk00 Banking, Housing, and Urban Affairs Committee Senate Standing Referred to 2010-04-27T21:18:25Z Debt Settlement Consumer Protection Act of 2010 111 5387 HR 2010-05-25 Referred to the House Committee on Financial Services. Identical bill CRS 2010-04-27 ssbk00 Banking, Housing, and Urban Affairs Committee Senate Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. IntroReferral 2010-04-27 Introduced in Senate IntroReferral 10000 9 Library of Congress S000148 Sen. Schumer, Charles E. [D-NY] Charles Schumer D NY E. N M001170 Sen. McCaskill, Claire [D-MO] Claire McCaskill D MO 2010-04-27 True Finance and Financial Sector Administrative law and regulatory procedures Civil actions and liability Consumer credit Contracts and agency Federal Trade Commission (FTC) Finance and Financial Sector 00 2010-04-27 Introduced in Senate 2010-06-15T20:37:03Z Debt Settlement Consumer Protection Act of 2010 - Amends the Consumer Credit Protection Act to prohibit debt settlement providers from providing a debt settlement service or receiving a fee from a consumer without a signed written contract meeting specified requirements.

Prohibits debt settlement providers from engaging in certain acts or practices, including: (1) making loans or offering credit or soliciting or accepting any note, mortgage, or negotiable instrument other than a check signed by the consumer and dated no later than the date of signature; (2) taking a confession of judgment or power of attorney to confess judgment against the consumer or appearing as the consumer or on the consumer's behalf in any judicial or non-judicial proceedings; (3) taking any release or waiver of an obligation to be performed on the part of the debt settlement provider or any right of the consumer; (4) receiving any third-party compensation for providing the consumer with a debt settlement service; or (5) purchasing debts or engaging in debt collection.

Permits debt settlement providers to charge enrollment and settlement fees, but no others.

Requires a debt settlement provider who receives funds from a consumer to hold them for a consumer settlement account in a properly designated trust account in a federally insured depository institution not affiliated with the provider.

Permits a consumer to cancel a contract with a debt settlement provider at any time, in accordance with specified requirements and procedures.

Declares void and unenforceable: (1) a consumer's waiver of any consumer protection or right provided under this Act; and (2) any contract for a debt settlement service that does not comply with this Act.

Prohibits a debt settlement provider from engaging in certain advertising, marketing, or other communication practices except in accordance with specified requirements.

Authorizes the Federal Trade Commission (FTC) to prescribe rules governing advertising and marketing practices, record retention, and provision of accountings to consumers, as well as debt relief service rules.

Subjects a debt settlement provider to civil liability (including punitive damages) for noncompliance with this Act.

Empowers the FTC to enforce this Act. Authorizes a state to bring a civil action in federal court on behalf of its residents for noncompliance with this Act.

]]> Debt Settlement Consumer Protection Act of 2010 Display Title Debt Settlement Consumer Protection Act of 2010 Official Title as Introduced A bill to amend the Consumer Credit Protection Act to provide for regulation of debt settlement services, and for other purposes. Introduced in Senate IS Short Titles as Introduced Debt Settlement Consumer Protection Act of 2010 Introduced in Senate 2010-04-27T04:00:00Z https://www.govinfo.gov/content/pkg/BILLS-111s3264is/xml/BILLS-111s3264is.xml 2010-04-27 Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. Congressional Research Service, Library of Congress This file contains bill summaries and statuses for federal legislation. A bill summary describes the most significant provisions of a piece of legislation and details the effects the legislative text may have on current law and federal programs. Bill summaries are authored by the Congressional Research Service (CRS) of the Library of Congress. As stated in Public Law 91-510 (2 USC 166 (d)(6)), one of the duties of CRS is "to prepare summaries and digests of bills and resolutions of a public general nature introduced in the Senate or House of Representatives". For more information, refer to the User Guide that accompanies this file.