Rules & Regulations of the State of Tennessee
Title 0780 - Commerce and Insurance
Subtitle 0780-05 - Division of Regulatory Boards
Chapter 0780-05-18 - Debt Management Services
Section 0780-05-18-.12 - EXAMINATIONS, RECORDS, AND REPORTS

Universal Citation: TN Comp Rules and Regs 0780-05-18-.12

Current through September 24, 2024

(1) Recordkeeping Requirements

(a) A registrant shall retain copies of all records for five (5) years from the date of completion or cancellation of an educational program, financial analysis, or debt-management services agreement. If the registrant has been notified in writing by the Director to retain records for a longer period of time, the registrant shall retain records beyond this time period as requested.

(b) Every debt-management services provider registered in this state shall make and keep current the following books and records relating to its business, at a minimum:
1. Ledgers reflecting all assets and liabilities, income and expense, and capital accounts;

2. A record or ledger reflecting separately for each client the clearance dates of all money received from each client and all payments made on behalf of each client and in all cases the name of the client in which the money has been received or paid;

3. Copies of all communications, correspondence, and other records relating to debt-management services agreements and plans with, about, or on behalf of clients;

4. A separate file containing all written complaints made or submitted by clients to the provider, counselors, or debt specialists relating directly or indirectly to debt-management services and any records received or produced in the course of investigating and resolving complaints;

5. The personnel or contractor records for any employee, agent, or contractor of the provider about whom the provider has received complaints from clients regarding any conduct relative to the provider's services;

6. A client information form for each client. If recommendations are to be made to the client, the form shall include such information as is necessary to determine suitability;

7. A record of the proof of money balances of all trust accounts. Such balances shall be prepared currently at least once a month;

8. All partnership certificates and agreements or, in the case of a corporation, all articles of incorporation, by-laws, minute books, and stock certificate books of the provider; and

9. A separate file containing copies of all advertising circulated by the provider in the conduct of its business.

(2) Every provider shall make and keep such accounts, correspondence, and other records as the Administrator prescribes by rule.

(3) All activities, books, accounts, and the records of a provider or a person to which a provider has delegated its obligations under an agreement are subject at any time and from time to time to such reasonable periodic, special, or other examinations, within or without this state, by representatives of the Administrator, as the Administrator deems necessary or appropriate in the public interest or for the protection of clients or to ensure compliance with the Act. The cost of such examination shall be borne by the person examined in the same manner as is provided for insurance companies, except that not more than two (2) such examinations shall be charged to such person in any twelve-month period.

Authority: T.C.A. §§ 47-18-5506, 47-18-5512, 47-18-5522, and 47-18-5532.

Disclaimer: These regulations may not be the most recent version. Tennessee may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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