Existing law provides for the licensure and regulation of collection agencies and collection agents. (Chapter 649 of NRS) Section 3 of this bill defines the term “debt buyer” to mean a person that is regularly engaged in the business of purchasing claims that have been charged off for the purpose of collecting such claims. Section 14 of this bill includes a debt buyer within the definition of “collection agency,” thereby requiring a debt buyer to obtain a license as a collection agency and comply with existing law governing collection agencies. Sections 18 and 39 of this bill authorize a debt buyer and an affiliate of the debt buyer to share a license. Sections 34, 35 and 38 of this bill exempt debt buyers from provisions of existing law governing the relationship between a collection agency and a customer when debt buyers do not also collect claims on behalf of parties who are not affiliated with the debt buyer. Section 5 of this bill defines the term “remote location” to mean a location separate from either the principal place of business or a branch office of a collection agency. Sections 7-10 of this bill establish requirements governing collection agents who work from remote locations. Specifically, section 10 requires a collection agency to maintain certain records concerning such collection agents. Before a collection agent begins working from a remote location, section 7 requires the collection agent to: (1) sign a written agreement to perform certain duties, authorize certain monitoring by the employer and refrain from certain activities while working from the remote location; (2) complete certain training; and (3) work for the collection agency for at least 7 days under direct oversight and mentoring from a supervisor. Section 8 of this bill requires the remote location from which a collection agent works to satisfy certain requirements to protect data and enable the collection agent to work safely and effectively. Section 8 also prohibits: (1) multiple collection agents who do not reside in the same residence from working from the same remote location; and (2) a collection agent from printing or storing physical records at a remote location. Section 9 of this bill requires a collection agency to develop and implement a written security policy for work from a remote location and sets forth certain requirements for the security policy. Section 10 imposes certain additional requirements relating to the work of collection agents from a remote location. Section 13 of this bill revises the definition of the term “claim” to include any obligation for the payment of money or its equivalent that is delinquent or in default and assigned to a collection agency. Sections 33, 37 and 40 of this bill replace the term “debt” with “claim” to more accurately state the property interest on which the collection agency may act. Section 14 revises the definition of the term “collection agency” to exclude certain financial institutions, employees of such institutions, persons collecting claims that they originated on their own behalf and various other persons and entities deemed not to be debt collectors under federal law, thereby exempting such persons and entities from requirements governing collection agencies. Section 15 of this bill amends the term “collection agent” to mean a person who performs certain activities on behalf of a collection agency outside the place of business of a collection agency, thereby exempting persons who do not act on behalf of a collection agency from requirements governing collection agents. Sections 2 and 4 of this bill define certain other terms. Section 12 of this bill makes a conforming change to indicate the proper placement of sections 2-5 in the Nevada Revised Statutes. Section 18 prescribes the circumstances under which a person is required to obtain a license as a collection agency. Section 52 of this bill repeals provisions governing foreign collection agencies, thereby requiring such collection agencies to be licensed in the same manner as domestic collection agencies. Sections 17 and 48 of this bill make certain information provided to the Commissioner of Financial Institutions by an applicant for a license confidential. Sections 19 and 20 of this bill revise the required contents of an application to operate a collection agency. Sections 22, 24, 31 and 52 of this bill revise provisions governing the procedure for issuing a license or removing a business location from the place of business as stated in the license, including by removing a requirement that the Commissioner issue a physical license to a successful applicant. Existing law requires a collection agency to employ a manager who is: (1) certified as a manager; and (2) jointly responsible for the operation of the collection agency. (NRS 649.035, 649.095, 649.305) Sections 16, 20, 26-30, 32, 36, 37, 40 and 51 of this bill revise the term “manager” to “compliance manager.” Section 16 also provides that a compliance manager is required to equally share responsibility only for the collection operation of the collection agency. Section 26 of this bill revises the requirements to apply for a compliance manager's certificate. Section 30 of this bill prohibits a compliance manager from being employed as a compliance manager by more than one collection agency at a time, or by a collection agency and an exempt entity at the same time. Sections 22, 23, 29 and 52 of this bill remove a requirement that an applicant for a license to operate a collection agency pass an examination and references to that requirement. Section 26.5 of this bill requires the Commissioner to waive the examination for a certificate as a compliance manager if the applicant and collection agency that employs the applicant hold certain certifications. Existing law requires: (1) an applicant for a license to operate a collection agency to file a bond or an appropriate substitute with the Commissioner; and (2) the Commissioner to determine the appropriate amount of the bond or appropriate substitute 3 months after submission and semiannually thereafter. (NRS 649.105) Section 21 of this bill instead requires the Commissioner to review the amount of that bond or substitute annually. Existing law requires an applicant to state the location of the business and to obtain a permit to operate a branch office. (NRS 649.095, 649.167) Section 25 of this bill removes the requirement to obtain a permit and instead requires a collection agency to notify the Commissioner of the location of the branch office. Section 29 of this bill makes a conforming change to remove the fees for the issuance and renewal of a permit to operate a branch office. Existing law requires a license or certificate issued by the Commissioner to be displayed on the wall of the place of business of the collection agency. (NRS 649.315) Sections 6, 49 and 52 of this bill remove this requirement and instead require a collection agency to display its license number and the certificate identification number of the certificate issued to the compliance manager of the collection agency on an Internet website maintained by the collection agency. Existing law requires a collection agency to submit a report to the Commissioner on or before January 31 of each year relating to the money due to all creditors by the collection agency and the total sum in the customer trust fund accounts of the collection agency. (NRS 649.345) Section 36 requires this report to be submitted on or before April 15 of each year. Existing law prohibits a collection agency or its agents or employees from engaging in certain practices. (NRS 649.375) Section 40 additionally prohibits a collection agency or its compliance manager, agents or employees from: (1) filing a civil action to collect a debt when the collection agency, compliance manager, agent or employee knows or should know that the applicable limitation period for filing such an action has expired; and (2) selling an interest in a resolved claim or any personal or financial information related to the resolved claim. Any person who violates these provisions is guilty of a gross misdemeanor and subject to an administrative fine. (NRS 649.435, 649.440) Existing law prescribes the time within which certain civil actions may be filed. (NRS 11.190) Existing law provides that, for an action based on indebtedness, the relevant time period begins on the date on which the last payment was made. (NRS 11.200) Section 41 of this bill provides that a payment made on a debt or certain other activity relating to the debt after the time period for filing an action based on a debt has expired does not revive the applicable limitation. Section 33 requires certain notice provided to a medical debtor to notify the debtor that such a payment does not revive the applicable limitation.

Statutes affected:
As Introduced: 649.005, 649.010, 649.020, 649.025, 649.035, 649.065, 649.075, 649.085, 649.095, 649.105, 649.135, 649.155, 649.165, 649.167, 649.196, 649.215, 649.225, 649.295, 649.305, 649.325, 649.330, 649.332, 649.334, 649.3345, 649.345, 649.347, 649.355, 649.365, 649.375, 11.200, 239.010
Reprint 1: 649.005, 649.010, 649.020, 649.025, 649.035, 649.065, 649.075, 649.085, 649.095, 649.105, 649.135, 649.155, 649.165, 649.167, 649.196, 649.205, 649.215, 649.225, 649.295, 649.305, 649.325, 649.330, 649.332, 649.334, 649.3345, 649.345, 649.347, 649.355, 649.365, 649.375, 11.200, 239.010
Reprint 2: 649.005, 649.010, 649.020, 649.025, 649.035, 649.065, 649.075, 649.085, 649.095, 649.105, 649.135, 649.155, 649.165, 649.167, 649.196, 649.205, 649.215, 649.225, 649.295, 649.305, 649.325, 649.330, 649.332, 649.334, 649.3345, 649.345, 649.347, 649.355, 649.365, 649.375, 11.200, 239.010
Reprint 3: 649.005, 649.010, 649.020, 649.025, 649.035, 649.065, 649.075, 649.085, 649.095, 649.105, 649.135, 649.155, 649.165, 649.167, 649.196, 649.205, 649.215, 649.225, 649.295, 649.305, 649.325, 649.330, 649.332, 649.334, 649.3345, 649.345, 649.347, 649.355, 649.365, 649.375, 11.200, 239.010
As Enrolled: 649.005, 649.010, 649.020, 649.025, 649.035, 649.065, 649.075, 649.085, 649.095, 649.105, 649.135, 649.155, 649.165, 649.167, 649.196, 649.205, 649.215, 649.225, 649.295, 649.305, 649.325, 649.330, 649.332, 649.334, 649.3345, 649.345, 649.347, 649.355, 649.365, 649.375, 11.200, 239.010
BDR: 649.005, 649.010, 649.020, 649.025, 649.035, 649.065, 649.075, 649.085, 649.095, 649.105, 649.135, 649.155, 649.165, 649.167, 649.196, 649.215, 649.225, 649.295, 649.305, 649.325, 649.330, 649.332, 649.334, 649.3345, 649.345, 649.347, 649.355, 649.365, 649.375, 11.200, 239.010