§2753. Application for license

Link to law: http://legislature.vermont.gov/statutes/section/08/083/02753
Published: 2015

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The Vermont Statutes Online



Title

08

:
Banking and Insurance






Chapter

083

:
DEBT ADJUSTERS











 

§

2753. Application for license

(a) A person

applying for a license under this chapter shall do so under oath and in a form

and manner prescribed by the Commissioner. The application shall state or

contain:

(1) the legal

name and business address of the applicant, and any fictitious or trade name

used by the applicant in conducting its business;

(2) a list of

any criminal convictions of the applicant and any material litigation in which

the applicant has been involved in the ten-year period next preceding the

submission of the application;

(3) a

description of any debt adjustment and related services previously provided by

the applicant;

(4) the debt

adjustment and related services that the applicant seeks to provide in this

State;

(5) a

description of how the applicant will market its services, along with copies of

all scripts, mailings, advertisements, and other marketing materials, provided

that submission of these materials shall not waive any legal claim the State

may have with respect to the content or use of the materials;

(6) a

description of the nature and amount of the fees, or the method of calculating

the fees, charged to the debtor;

(7) a list of

the applicant's locations in this State and outside this State where the

applicant proposes to engage Vermont residents in debt adjustment services;

(8) a list of

other states in which the applicant is licensed to engage in debt adjustment

services and information concerning any bankruptcy or receivership proceedings

affecting the licensee, and any license revocations, suspensions, or criminal

or disciplinary action taken against the applicant in other states;

(9) a blank copy

of the contract the applicant intends to use. The applicant shall notify the

Commissioner of all changes and amendments thereto. The terms and conditions of

all contracts shall be subject to prior approval by the Commissioner;

(10) the name

and address of the federally insured financial institution through which the

applicant maintains a separate account for the benefit of debtors; and

(11) any other

information the Commissioner requires with respect to the applicant.

(b) If an

applicant is a corporation, nonprofit corporation, limited liability company,

partnership, or other entity, the applicant shall also provide:

(1) the date of

the applicant's incorporation or formation and state or country of

incorporation or formation;

(2) if

applicable, a certificate of good standing from the state or country in which

the applicant is incorporated or formed and a certificate of authority to transact

business in the State of Vermont;

(3) a brief

description of the structure or organization of the applicant, including any

parent, subsidiary, or affiliate of the applicant, and whether any parent,

subsidiary, or affiliate is publicly traded;

(4) the legal

name, any fictitious or trade name, all business and residential addresses, and

the employment, in the ten-year period next preceding the submission of the

application of each executive officer, manager, director of, or person that has

control of, the applicant;

(5) a list of

any criminal convictions, material litigation, or disciplinary actions in which

any executive officer, manager, director of, or individual in control of, the

applicant has been involved in the ten-year period next preceding the submission

of the application;

(6) a copy of

the applicant's audited financial statements, and a copy of the audited

financial statements of any person in control of the applicant, for the most

recent fiscal year and, if available, for the two-year period next preceding

the submission of the application;

(7) a copy of

the applicant's unconsolidated financial statements, and a copy of the

unconsolidated financial statements of any person in control of the applicant

for the current year, whether audited or not, and, if available, for the

two-year period next preceding the submission of the application;

(8) a copy of

the applicant's federal tax returns for the two-year period next preceding the

submission of the application;

(9) if the

applicant or any person in control of the applicant is publicly traded, a copy

of the most recent 10-K report filed with the U.S. Securities and Exchange

Commission;

(10) if the

applicant is a wholly owned subsidiary:

(A) a copy of

the federal tax return for the parent company for the most recent year;

(B) a copy of

audited financial statements for the parent corporation for the most recent

fiscal year; and

(C) of a

corporation publicly traded in the United States, a copy of the parent

corporation's most recent 10-K report filed with the U.S. Securities and

Exchange Commission or, if the applicant is a wholly-owned subsidiary of a

corporation publicly traded outside the United States, a copy of similar

documentation filed with the regulator of the parent corporation's domicile outside

the United States;

(11) the name

and address of the applicant's registered agent in this State; and

(12) any other

information the Commissioner requires with respect to the applicant or any

person in control of the applicant.

(c) In

connection with an application for a license, the applicant and each executive

officer, manager, director, and person that has control of the applicant shall

furnish to the Nationwide Mortgage Licensing System and Registry information

concerning the applicant's identity, including:

(1) Fingerprints

for submission to the Federal Bureau of Investigation and to any other

governmental agency or entity authorized to receive such information for a

state, national, and international criminal history background check and

authorization for the Commissioner to obtain a criminal history background

check.

(2) Personal

history and experience in a form prescribed by the Nationwide Mortgage

Licensing System and Registry, including the submission of authorization for

the Nationwide Mortgage Licensing System and Registry and the Commissioner to

obtain:

(A) An

independent credit report and credit score from a consumer reporting agency

described in subsection 603(p) of the Fair Credit Reporting Act, 15 U.S.C. §

1681a(p), for the purpose of evaluating the applicant's financial

responsibility at the time of application and additional credit reports and

credit scores to confirm the licensee's continued compliance with the financial

responsibility requirements of this chapter; and

(B) Information

related to any administrative, civil, or criminal findings by any governmental

jurisdiction.

(3) Any other

information required by the Nationwide Mortgage Licensing System and Registry

or the Commissioner.

(d) The

Commissioner may waive one or more requirements of subsections (a) and (b) of

this section or permit an applicant to submit substituted information in lieu

of the required information. (Added 1969, No. 204 (Adj. Sess.), eff. March 23,

1970; amended 2003, No. 81 (Adj. Sess.), § 1; 2009, No. 137 (Adj. Sess.), § 3;

2011, No. 78 (Adj. Sess.), § 20, eff. April 2, 2012.)
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