NY Banking L § 584-B (2021)
2021 New York Laws BNK - Banking Article 12-C - Budget Planners 584-B - Prohibited Activities.

§   584-b.   Prohibited   activities.   1.   No  person,  partnership,   association, corporation, or other entity, except a licensee,  may  make   any  representation,  directly  or indirectly, orally or in writing that   he, she, or it is licensed under this article.2. No licensee shall advertise its  services  in  any  media,  whether   print  or  electronic, in any manner that may be false or deceptive. All   such advertisements shall contain the name and office  address  of  such   entity,  which  shall  conform  to a name and address on record with the   department and which shall indicate that the licensee is licensed by the   department. Any  advertisements  in  any  media,  print  or  electronic,   contracted  for  or  placed prior to the effective date of this section,   shall not be subject to the provisions of this section.3. No person or any other entity, other than a licensee, shall use the   title "budget planner" or "licensed budget planner" or the term  "budget   planning" in any public advertisement, business card, or letterhead.4.  No  licensee shall commingle monies received from debtors with any   other funds associated with the operation of its business  or  with  any   funds  associated  with  any  other type of business, provided, however,   that for the sole purpose of making a single payment to  a  creditor,  a   licensee  may commingle monies received from debtors under contract with   one or more of its affiliates authorized to engage in budget planning in   another state.5. Licensees shall make payments to creditors in a timely  manner,  in   accordance  with  the  contract  between  the  licensee  and the debtor,   provided, however, that a licensee may contract with a person or  entity   that   distributes,   or   supervises,   coordinates,  or  controls  the   distribution of, such payments to the creditors, pursuant to such  terms   or  conditions  that  the  superintendent  may  prescribe by regulation.   Payments made pursuant to such contract  with  the  licensee  shall  not   require  such  person  or  entity  to  be  licensed  pursuant to article   thirteen-b of this chapter.6. No licensee shall purchase any obligation of a debtor.7. No licensee shall operate as a person or entity seeking payment  of   obligations  on  behalf of any creditors that are not receiving payments   pursuant to a contract between a debtor and a licensee.8. No licensee shall execute any contract or agreement to be signed by   the debtor unless the contract or agreement is fully completed, and  the   duration  of  any  such  contract  shall  be  in  conformance  with  any   limitations specified pursuant to regulations of the superintendent.9. No licensee shall pay any  bonus  or  other  consideration  to  any   person or entity for the referral of a debtor to its business, or accept   or  receive  any  bonus, commission or other consideration for referring   any debtor to any person or entity for any  reason;  provided,  however,   that nothing herein shall prohibit the payment of rebates from creditors   to licensees.10.  No  licensee  shall  disclose or threaten to disclose information   concerning the existence of a debt, or any other  conduct,  which  could   coerce payment of the debt of a debtor with whom it has a contract.11.  No  licensee  shall  use  a  communication which simulates in any   manner a legal or judicial process, or which gives the false  appearance   of  being  authorized, issued, or approved by a government, governmental   agency, or attorney-at-law.12. No licensee, or a director, manager or officer of  such  licensee,   or  any  immediate  family  member  of such individual, or a controlling   party of such licensee as defined in section five hundred eighty-three-a   of this article, shall  be  a  director,  manager,  officer,  owner,  or   controlling  party of any creditor or a subsidiary of any such creditor,    that is receiving or will receive payments from the licensee  on  behalf   of a debtor with whom the licensee has contracted.13.  No  licensee, or a director, manager or officer of such licensee,   or any immediate family member of  such  individual,  or  a  controlling   party of such licensee as defined in section five hundred eighty-three-a   of  this  article,  shall disclose by any means, directly or indirectly,   the name, address, or any other identifying  information  of  a  debtor,   except  as  required  by  subpoena  or  other  process  from  a court of   competent jurisdiction or a law  enforcement  agency,  or  in  order  to   establish  an  account  with  a  creditor. "Identifying information of a   debtor" as used herein shall include, but not be limited to, a  debtor's   name,  photograph,  address,  telephone  number, social security number,   date of birth, drivers identification number, credit card  number,  bank   account number, mother's maiden name, medical or disability information,   if  any, as well as any other identification number which a licensee may   possess.