March 25, 2009, Introduced by Rep. Robert Jones and referred to the Committee on Commerce.
A bill to amend 1994 PA 160, entitled
"Credit services protection act,"
by amending section 2 (MCL 445.1822).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 2. As used in this act:
(a) "Buyer" means a person who is solicited to purchase or who
purchases the services of a credit services organization.
(b) "Credit services organization" means, except as otherwise
provided in subdivision (c), a person who, in return for
consideration, attempts to sell, provide, or perform 1 or more of
the following:
(i) The improvement of a person's credit record, history, or
rating.
(ii) The obtainment of an extension of credit.
(iii) Advice or assistance regarding the improvement or repair
of a person's credit record, history, or rating.
(iv) Advice or assistance regarding the obtainment of an
extension of credit.
(v) Advice or assistance regarding foreclosure of a real
estate mortgage.
(vi) Serve as an intermediate between a debtor and a creditor
on behalf of the debtor regarding credit that was extended prior to
any agreement to have the credit services organization serve as an
intermediate.
(c) Credit services organization does not include any of the
following:
(i) A person who is licensed in this state or otherwise
authorized to make loans or extend credit under any state statute
while engaged in the regular course of business under that state
statute,
other than Act No. 326 of the Public Acts of 1966, being
sections
438.31 to 438.33 of the Michigan Compiled Laws 1966 PA
326, MCL 438.31 to 438.33.
(ii) A federal or state chartered bank, credit union, savings
bank, or savings and loan institution, an entity of the federally
chartered farm credit system, or any solely owned subsidiary
thereof.
(iii) A person licensed under the occupational code, Act
No. 299
of
the Public Acts of 1980, being sections 339.101 to 339.2721 of
the
Michigan Compiled Laws 1980 PA 299, MCL 339.101 to 339.2919,
when engaged in the regular course of business.
(iv) A person licensed to practice law in this state if the
person renders services within the course of that person's practice
as an attorney and does not engage in the business of a credit
services organization on a regular and continuing basis.
(v) A judicial officer or other person acting under court
order.
(vi) A consumer reporting agency, as defined in section 603 of
the
fair credit reporting act, title VI of the consumer credit
protection
act, Public Law 90-321, 15 U.S.C. 15
USC 1681a, while
engaged in the regular course of the credit reporting business.
(vii) A debt management business licensed under the debt
management
act, Act No. 148 of the Public Acts of 1975, being
sections
451.411 to 451.437 of the Michigan Compiled Laws 1975 PA
148, MCL 451.411 to 451.437, while engaged in the regular course of
business
under the debt management that act.
(viii) An investment adviser or broker-dealer registered under
the
uniform securities act, Act No. 265 of the Public Acts of 1964,
being
sections 451.501 to 451.818 of the Michigan Compiled Laws
1964 PA 265, MCL 451.501 to 451.818, or the uniform securities act
(2002), 2008 PA 551, MCL 451.2101 to 451.2703.
(ix) A nonprofit corporation that is exempt from taxation under
section
501c(3) of the United States internal
revenue code, title
26
U.S.C. USC 501c(3).
(x) A finance subsidiary of a manufacturing corporation.
(d) "Extension of credit" means the right to defer payment of
debt or to incur debt.
(e) "Person" means an individual, partnership, corporation,
limited liability company, association, or other legal entity.