Regulatory Alerts2026-08-25
Added
Kansas Credit Services Organization Act
The Kansas Credit Services Organization Act mandates licensing for entities providing debt management services to state residents, requiring applications, surety bonds of $25,000 to $1,000,000, and compliance with specific operational duties. Licensees must establish trust accounts for consumer funds, provide quarterly reports detailing payment statuses, and adhere to strict prohibitions against misrepresentation, fraud, and charging fees via promissory notes. The statute defines prohibited acts, including delaying payments to increase costs and engaging in negative amortization, while granting the state bank commissioner powers to enforce compliance through fines, cease and desist orders, and license revocation.