SB 23-248

Senate Bill 23-248, which has been signed into law and will take effect on August 7, 2023, updates several aspects of consumer credit regulations in Colorado. It changes the renewal dates for licenses required under these laws from January to July each year and creates a new fund where fees collected after July 1, 2024, will be deposited. The bill also allows employees of collection agencies, debt-management service providers, and student loan servicers to work remotely and makes other adjustments to ensure consistency in how different consumer credit acts are administered. This affects businesses involved in consumer lending and debt management, as well as students with private education loans.

Official Summary

The act amends the "Uniform Consumer Credit Code" (code) by: Updating the renewal dates for entities required to be licensed under the code from January 31 of each year to July 1 of each year; Creating the consumer credit unit cash fund, into which all fees collected under the code on and after July 1, 2024, must be deposited; and Repealing the uniform consumer credit code cash fund and the collection agency cash fund and transferring the balances remaining in the funds to the consumer credit unit cash fund. The act amends language in the "Colorado Fair Debt Collection Practices Act" relating to the duty of the code administrator to maintain confidentiality to align with the code and the "Colorado Student Loan Equity Act". The act amends the "Colorado Student Loan Equity Act" by: Requiring licensed entities to include an annual report upon application for license renewal; Changing the term "private education loan" to "private education credit obligation" and updating corresponding terms accordingly; Defining the term "refinanced" and excluding student loans subject to refinancing from registration requirements; and Including a cosigner within the definition of "borrower". The act authorizes collection agencies, persons who provide debt-management services, and student loan servicers to allow their employees to work remotely. APPROVED by Governor June 5, 2023 EFFECTIVE August 7, 2023 NOTE: This act was passed without a safety clause and takes effect 90 days after sine die. (Note: This summary applies to this bill as enacted.)

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