2017 ORS 697.707¹
Required disclosures

(1) A debt management service provider may not charge or receive from a consumer a fee described in ORS 697.692 (Fees) until after the debt management service provider makes the disclosures described in this section.

(2) A debt management service provider shall give to every consumer for whom the debt management service provider offers to perform a debt management service a document that:

(a) States the maximum amount the debt management service provider may charge the consumer for all debt management services that the debt management service provider will perform;

(b) States that the consumer is responsible for paying the debt management service provider’s charges;

(c) Warns the consumer that canceled debt may constitute income that is subject to state and federal taxation and advises the consumer to consult with a tax professional;

(d) Describes completely and in detail the debt management services that the debt management service provider will perform for the consumer and states the amount the consumer must pay for each service and for all services; and

(e) States that the consumer may bring an action against the bond required under ORS 697.642 (Bond requirement) and lists the name and address of the surety that issued the bond.

(3) A debt management service provider that performs a debt management service as defined in ORS 697.602 (Definitions for ORS 697.602 to 697.842) (2)(b) or described in ORS 697.612 (Registration requirement) (1)(b)(E), in the document required under subsection (2) of this section, shall:

(a) Describe, accurately and completely, the consumer’s right to review consumer credit information about the consumer that a consumer reporting agency, as defined in 15 U.S.C. 1681a, maintains; and

(b) State the approximate price that a consumer reporting agency will charge a consumer to review the consumer credit information described in paragraph (a) of this subsection and that the consumer may review the information at no charge if the consumer makes a request to the consumer reporting agency within 30 days after the consumer was denied credit.

(4) A debt management service provider that does not hold a consumer’s funds, directly or indirectly, shall include in the document required under subsection (2) of this section these additional statements:

(a) That the debt management service provider does not predict or guarantee specific results and cannot force or require a creditor to accept a specific settlement;

(b) That the debt management service provider does not make scheduled periodic payments to creditors;

(c) That creditors may continue collection efforts, including lawsuits;

(d) That the consumer’s failure to make monthly payments on outstanding debt will likely have a negative impact on the consumer’s credit score;

(e) That the consumer must make regular monthly deposits of funds in an account the consumer establishes and maintains in the consumer’s name with an insured institution, as defined in ORS 706.008 (Additional definitions for Bank Act), and designates specifically for making disbursements in connection with a debt management service; and

(f) That the debt management service provider will withdraw fees for debt management services from the account described in paragraph (e) of this subsection only with the consumer’s specific authorization and that the debt management service provider does not have custody, control or separate or additional access to the account.

(5) The document described in this section must provide a space for the consumer to sign the form under a statement that indicates that the consumer has read and understands the disclosures set forth in the document. [2005 c.309 §3; 2009 c.604 §11]

Chapter 697

Atty. Gen. Opinions

Duty of merchant using third party letterhead purchased from collec­tion letter service to obtain license, (1972) Vol 36, p 79

1 Legislative Counsel Committee, CHAPTER 697—Cashing Businesses; Debt Management Service Providers, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ors697.­html (2017) (last ac­cessed Mar. 30, 2018).
 
2 Legislative Counsel Committee, Annotations to the Oregon Revised Stat­utes, Cumulative Supplement - 2017, Chapter 697, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ano697.­html (2017) (last ac­cessed Mar. 30, 2018).
 
3 OregonLaws.org assembles these lists by analyzing references between Sections. Each listed item refers back to the current Section in its own text. The result reveals relationships in the code that may not have otherwise been apparent.