House File 2326 H-8274 Amend House File 2326 as follows: 1 1. Page 1, after line 19 by inserting: 2 < Sec. ___. Section 533A.8, Code 2026, is amended by adding 3 the following new subsection: 4 NEW SUBSECTION . 10A. If a debtor who has contracted with 5 a licensee to settle a debt has executed a debt settlement 6 agreement with a creditor to settle such debt and has made at 7 least one payment pursuant to that agreement, and the debtor 8 subsequently fails to complete the payment terms required under 9 that debt settlement agreement, the licensee shall attempt to 10 renegotiate, resolve, reduce, or otherwise alter the terms of 11 the debt with the creditor and shall not request or receive 12 an additional fee from the debtor for any additional debt 13 management service provided by the licensee for that debt. 14 This subsection does not prohibit a licensee from requesting 15 or receiving payment of any outstanding balance of the fee 16 required by the contract between the licensee and debtor for 17 that debt. > 18 2. Page 2, by striking line 9 and inserting < amount, not 19 to exceed thirty percent of the total amount of debt enrolled 20 by the debtor at the time of enrollment in the debt management 21 program. The individual debt amount and the entire debt 22 amount > 23 3. Page 2, by striking lines 13 and 14 and inserting: 24 < Sec. ___. Section 533A.9, subsection 5, Code 2026, is 25 amended by striking the subsection and inserting in lieu 26 thereof the following: 27 5. a. Notwithstanding any provision of this section to 28 the contrary, the total aggregate fee or consideration charged 29 by a licensee for all debt management services provided by the 30 licensee to a debtor shall not exceed thirty percent of the 31 total amount of debt enrolled by the debtor at the time of 32 enrollment in the debt management program. 33 b. A licensee may assess and collect the fee for debt 34 management services on a per-debt basis as a debt is 35 -1- HF 2326.3695 (2) 91 nls/ko 1/ 2 #1. #2. #3.
renegotiated, settled, reduced, or otherwise altered in a 1 manner consistent with this section and applicable federal 2 law. > 3 4. Page 2, before line 15 by inserting: 4 < Sec. ___. Section 533A.9, Code 2026, is amended by adding 5 the following new subsection: 6 NEW SUBSECTION . 6. If a debt settlement agreement between a 7 debtor and a creditor to settle a debt provides for the debtor 8 to make more than one payment to the creditor, the licensee 9 shall request or receive payment from the debtor of any fee for 10 debt management services provided with respect to that debt 11 incrementally over not less than one quarter of the length of 12 the debtor’s period of repayment to such creditor. > 13 5. By renumbering as necessary. 14 ______________________________ LAWLER of Johnson -2- HF 2326.3695 (2) 91 nls/ko 2/ 2 #4. #5.