Title 17 — Professions, Occupations, and Businesses

(1) As used in this chapter, unless the context otherwise requires, “collection agency” means any person, partnership, corporation, association, limited liability corporation, or firm that:(1) Engages in the collection of delinquent accounts, bills, or other forms of indebtedness…

(a) This chapter does not apply to:(1) Regular employees of a single creditor;(2) Banks;(3) Trust companies;(4) Savings and loan associations;(5) Abstract companies doing an escrow business;(6) Licensed real estate brokers and agents when the claims or accounts being handled by t…

(a) (1) A collection agency that engages in the business activities of a collection agency without a license issued under this chapter may be fined not less than fifty dollars ($50.00) nor more than five hundred dollars ($500).(2) Each day of a violation of this chapter is a sepa…

(a) A collection agency that fails to remit to its client funds collected for the client within the calendar month following the month of collection, shall not be entitled to a collection fee and shall remit the total funds collected to the client. (b) If a collection agency fail…

When any person, partnership, corporation, or association engages in the business activities of a collection agency without a valid license issued under this chapter or has had the license revoked, suspended, or refused, in accordance with the provisions of this chapter, the Stat…

(a) (1) There is created a State Board of Collection Agencies composed of five (5) members to be appointed by the Governor.(2) The members of the board:(A) Shall hold office until a successor is appointed and qualified; and(B) May be removed by the Governor for:(i) Lacking compet…

(a) (1) The State Board of Collection Agencies shall meet and shall select from its membership a chair, vice chair, and secretary.(2) No one (1) member of the board shall hold more than one (1) of the offices. (1) The State Board of Collection Agencies shall meet and shall select…

(a) The State Board of Collection Agencies shall have the authority to promulgate rules to implement the provisions of this chapter which are not inconsistent herewith. (b) The board shall use, to the greatest extent possible, the interpretation and construction of the Fair Debt …

(1) Unless licensed by the State Board of Collection Agencies under this subchapter it is unlawful to:(1) Engage in the collection of delinquent accounts, bills, or other forms of indebtedness;(2) Use a fictitious name or any name other than their own in the collection of their o…

(a) The State Board of Collection Agencies shall have the authority to issue a license to an applicant for a license to do business as a collection agency, provided that the applicant meets the following qualifications:(1) The applicant is at least twenty-one (21) years of age;(2…

(a) The State Board of Collection Agencies shall have the authority to require an applicant for a license to submit an application in writing containing such information as it shall deem necessary and pertinent and may require the character and business references which it deems …

(a) All collection agency licenses and collection agency employee licenses shall expire annually on June 30. (b) All licensees under this chapter shall apply for the renewal of their licenses, on forms to be prescribed by the State Board of Collection Agencies, on or before July …

(a) The State Board of Collection Agencies may charge an annual license fee not to exceed one hundred twenty-five dollars ($125) for licensing each collection agency and an annual fee of twenty dollars ($20.00) effective September 1, 2013, for registering each employee of the lic…

(a) The State Board of Collection Agencies shall require each licensee to secure a surety bond in an amount not less than ten thousand dollars ($10,000) nor more than fifty thousand dollars ($50,000) for each location, with the security on the bond to be approved by the board. (b…

(1) The State Board of Collection Agencies shall have the authority to revoke, suspend, or refuse to issue a license for violation of this chapter, or upon receipt of evidence as follows:(1) False or misrepresented statements on application;(2) Sale or transfer of ownership of ag…

(a) (1) Upon the receipt of evidence of any violation, the State Board of Collection Agencies shall order a hearing to be held.(2) All interested parties shall be apprised, at least twenty (20) days before the hearing, as to the time and place of the hearing.(3) The board shall h…

(a) No collection agency mentioned in § 17-24-101 shall charge as a collection charge or fee an amount in excess of fifty percent (50%) of the total amount actually collected on all accounts for any one (1) client, nor more than fifty percent (50%) of the total amount actually co…

(a) Each collection agency required to be licensed under this chapter shall, annually, within the month of April, give written notice to each client for whom it is collecting or attempting to collect that collection agencies licensed by the State of Arkansas are required by law t…

(1) Any nonresident person, partnership, association, or any foreign corporation not authorized to do business in this state whose sole business contact with this state is the soliciting of accounts in this state by mail, telephone, telegraph, or by other like means originating o…

Nothing contained in § 17-24-404 shall be construed to prevent a nonresident person, partnership, association, or any foreign corporation upon whom service of process is had as provided in § 17-24-403 from filing a motion to quash a writ or to set aside service made as provided i…

(a) Service of process in the action, suit, or proceeding in any court as authorized by § 17-24-401(3) shall be made by leaving three (3) copies in the office of the Secretary of State along with a notification that service is being effected pursuant to § 17-24-401, and by paying…

(a) Before any nonresident person, partnership, association, or any foreign corporation upon whom service of process is had as provided by § 17-24-403 files or causes to be filed any pleading in any court action, suit, or proceeding instituted against a person, partnership, assoc…

This subchapter shall be known and may be cited as the “Arkansas Fair Debt Collection Practices Act”.

(1) As used in this subchapter:(1) “Communication” means the conveying of information regarding a debt directly or indirectly to a person;(2) “Consumer” means a natural person obligated or allegedly obligated to pay a debt;(3) (A) “Creditor” means a person:(i) Who offers or exten…

(1) A debt collector communicating with a person other than the consumer to acquire location information about the consumer shall:(1) Identify himself or herself, state that he or she is confirming or correcting location information concerning the consumer, and only if expressly …

(a) Without the prior consent of the consumer given directly to the debt collector or the express permission of a court of competent jurisdiction, a debt collector may not communicate with a consumer in connection with the collection of a debt:(1) (A) At an unusual time or place …

(a) A debt collector may not engage in a conduct the natural consequence of which is to harass, oppress, or abuse a person in connection with the collection of a debt. (b) Without limiting the general application of subsection (a) of this section, the following conduct is a viola…

(a) A debt collector may not use a false, deceptive, or misleading representation or means in connection with the collection of a debt. (b) Without limiting the general application of subsection (a) of this section, the following conduct is a violation of this section:(1) The fal…

(a) A debt collector may not use unfair or unconscionable means to collect or attempt to collect a debt. (b) Without limiting the general application of subsection (a) of this section, the following actions of a debt collector violate this section:(1) The collection of an amount,…

(a) At the time of the initial communication or within five (5) days after the initial communication with a consumer in connection with the collection of a debt, unless the consumer has paid the debt, a debt collector shall send the consumer a written notice containing:(1) The am…

If a consumer owes multiple debts and makes a single payment to a debt collector with respect to the debts, the debt collector may not apply the payment to a debt that is disputed by the consumer and, if applicable, shall apply the payment in accordance with the consumer's direct…

(a) A debt collector who brings a legal action on a debt against a consumer shall:(1) For an action to enforce an interest in real property securing the consumer's obligation, bring the action in the county where all or part of the real property is located; or(2) For an action no…

(a) It is unlawful to design, compile, and furnish a form knowing that the form would be used to create the false belief in a consumer that a person other than the creditor of the consumer is participating in the collection of or in an attempt to collect a debt the consumer alleg…

(a) Except as otherwise provided by this section, a debt collector who fails to comply with this subchapter with respect to a person is liable to the person in an amount equal to the sum of:(1) An actual damage sustained by the person as a result of the failure;(2) In the case of…