(1)A licensee shall:
(a)Maintain, at all times, liquid assets in the form of deposit accounts in the
total sum of not less than two thousand five hundred dollars more than all sums
due and owing to all of its clients;
(b)(I) (A) Maintain, at all times, an office within this state that is open to the
public during normal business hours, is staffed by at least one full-time employee,
keeps a record of all money collected and remitted by the agency for residents of
Colorado, and accepts payments physically made at the office for any debt the
agency is attempting to collect.
(B)Notify, in each written communication, the consumer from whom the
agency is attempting to collect a debt of the address and telephone number of the
local office required by this subsection (1)(b)(I).
(II
Free access — add to your briefcase to read the full text and ask questions with AI
(1) A licensee shall:
(a) Maintain, at all times, liquid assets in the form of deposit accounts in the
total sum of not less than two thousand five hundred dollars more than all sums
due and owing to all of its clients;
(b) (I) (A) Maintain, at all times, an office within this state that is open to the
public during normal business hours, is staffed by at least one full-time employee,
keeps a record of all money collected and remitted by the agency for residents of
Colorado, and accepts payments physically made at the office for any debt the
agency is attempting to collect.
(B) Notify, in each written communication, the consumer from whom the
agency is attempting to collect a debt of the address and telephone number of the
local office required by this subsection (1)(b)(I).
(II) Maintain, at all times, a toll-free telephone number that shall be available
to any consumer who needs to make a toll call to reach the licensee in connection
with a debt.
(c) Maintain, at all times, a trust account for the benefit of its clients that
contains, at all times, sufficient funds to pay all sums due or owing to all of its
clients. The licensee shall maintain the trust account in a commercial bank or
savings and loan association account in this state or accessible in a branch in this
state until disbursed to the creditor. The account must be clearly designated as a
trust account and shall be used only for such purposes and not as an operating
account. A deposit of all funds received to a trust account followed by a transfer of
the agency share of the collection to an operating account is not a violation of this
section.
(d) Within thirty days after the last day of the month in which any collections
are made for a client, account to the client for all collections made during that
month and remit to the client all money owed to the client pursuant to the
agreement between the client and the collection agency;
(e) Upon written demand of the administrator, within five days of receipt of
the demand, produce a complete set of all form notices or form letters used by the
licensee in the collection of accounts;
(f) Be responsible, pursuant to this article 16, for violations of this article 16
caused by its collections manager, debt collectors, or solicitors.
(2) (a) No collection agency shall employ any collections manager, debt
collector, or solicitor who has been convicted of or who has entered a plea of guilty
or nolo contendere to any crime specified in part 4 of article 4, in part 1, 2, 3, 5, 7, or
9 of article 5, or in article 5.5 of title 18, or any similar crime under the jurisdiction
of any federal court or court of another state.
(b) No collection agency shall be owned or operated by the following
persons who have been convicted of or who have entered a plea of guilty or nolo
contendere to any crime specified in part 4 of article 4, in part 1, 2, 3, 5, 7, or 9 of
article 5, or in article 5.5 of title 18, or any similar crime under the jurisdiction of any
federal court or court of another state:
(I) The owner of a sole proprietorship;
(II) A partner of a partnership;
(III) A member of a limited liability company; or
(IV) An officer or director of a corporation.
(3) Subsections (1)(a), (1)(c), and (1)(d) of this section do not apply to a person
collecting or attempting to collect a debt owned by the person collecting or
attempting to collect the debt.