South Carolina credit counseling organization special deposit bond is required of new applicants for licensing of a credit services firm. Pursuant §37-7-101, "a credit counseling organization is a person providing or offering to provide to consumers credit counseling services for a fee, compensation, or gain, or in the expectation of a fee, compensation, or gain, including debt management plans."
Per the general statute the addresses the credit counseling organization special deposit surety bond, "A credit counseling organization may not offer or agree to offer credit counseling services before filing a surety bond with the Department of Consumer Affairs. The amount of the special deposit bond must equal or exceed the total amount of South Carolina clients' funds in the licensee's trust account at the time of the application, as determined by the Department with a minimum of twenty-five thousand dollars. The surety bond guarantees that the licensee will comply with the Licensing Requirements Act of Consumer Credit Counseling (S.C. Code § 37-7-101 et seq.), and will provide contracted credit counseling services to customers as agreed. Credit counseling special deposit bonds and application materials should be directed to:
South Carolina Department of Consumer Affairs
293 Greystone Boulevard, Ste. 400
Columbia, SC 29210
State laws are not exclusive and do not relieve the CSO from compliance with any other applicable provision of federal or other state's laws. Compliance may include Federal Code (15 U.S. Code §1679j) that also regulates the industry. There are specific acts prohibited under federal laws of which a CSO must be fluent. The credit service organization bond may generally be claimed upon for violations of particular state rules, rather than the CRO Act however a credit services professional must clearly understand the federal regulations.
South Carolina surety bond leader, SuretyOne.com is a specialist in the bonding needs of CSOs, debt adjustment and collection agencies. We offer both the surety bonds and fidelity bonds needed by credit counselors in all fifty states, Puerto Rico and the U.S. Virgin Islands. Questions about this surety bond? Call us at (800) 373-2804, email us at Underwriting@SuretyOne.com or click here for live chat. A South Carolina credit counseling organization special deposit bond is quick, easy and delivered in hours.
Surety bond application review and quoting are free of charge. There is no obligation to purchase.