Florida Statutes 817.804 – Requirements; disclosure and financial reporting
Current as of: 2023 | Check for updates
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(1) Any person engaged in debt management services or credit counseling services shall:
(a) Obtain from a licensed certified public accountant an annual audit in accordance with generally accepted auditing standards that shall include all accounts of such person in which the funds of debtors are deposited and from which payments are made to creditors on behalf of debtors.
Terms Used In Florida Statutes 817.804
- Credit counseling services: means confidential money management, debt reduction, and financial educational services. See Florida Statutes 817.801
- Debt management services: means services provided to a debtor by a credit counseling organization for a fee to:(a) Effect the adjustment, compromise, or discharge of any unsecured account, note, or other indebtedness of the debtor; or(b) Receive from the debtor and disburse to a creditor any money or other thing of value. See Florida Statutes 817.801
- Forgery: The fraudulent signing or alteration of another's name to an instrument such as a deed, mortgage, or check. The intent of the forgery is to deceive or defraud. Source: OCC
- Fraud: Intentional deception resulting in injury to another.
- Person: means any individual, corporation, partnership, trust, association, or other legal entity. See Florida Statutes 817.801
(b) Obtain and maintain at all times insurance coverage for employee dishonesty, depositor’s forgery, and computer fraud. The insurance coverage must be in an amount not less than the greater of $100,000 or 10 percent of the monthly average of the aggregate amount of all deposits made for distribution to creditors with such person by all debtors for the 6 months immediately preceding the date of initial application for or renewal of the insurance. The deductible on such coverage shall not exceed 10 percent of the face amount of the policy coverage.
(2) A copy of the annual audit and insurance policies required by this section shall be available for public inspection at each branch location. Copies shall be provided, upon written request, to any party requesting a copy for a charge not to exceed the cost of the reproduction of documents.