Kansas Credit Repair

Chapter 50.–UNFAIR TRADE AND CONSUMER PROTECTION
Article 11.–CREDIT SERVICES ORGANIZATIONS
50-1116. Kansas credit services organization act;citation; scope.(a) K.S.A. 50-1116 through 50-1135, and amendments thereto, shall be known andmay be cited as the Kansas credit services organization act.

(b) Any person licensed to practice law in this state acting within thecourse and scope of such person’s practice as an attorney shall be exempt fromthe provisions of this act.

50-1117. Same; definitions.Definitions as used in this act: (a) “Commissioner” meansthe state bank commissioner.

(b) “Consumer” means an individual who is a resident of this state.

(c) “Credit services organization” means a person who engages in, or holdsout to the public aswilling to engage in, the business of debt management services for a fee,compensation or gain,or in the expectation of a fee, compensation or gain.

(d) “Debt management service” means:

(1) Receiving or offering to receive funds from a consumer for the purpose ofdistributing thefunds among such consumer’s creditors in full or partial payment of suchconsumer’sdebts;

(2) improving or offering to improve a consumer’s credit record, history orrating; or

(3) negotiating or offering to negotiate to defer or reduce a consumer’sobligations withrespect to credit extended by others.

(e) “Insolvent” means a person whose debts exceed their assets.

(f) “Person” means any individual, corporation, partnership, association,unincorporatedorganization or other form of entity, however organized, including a nonprofitentity.

(g) “Related interest” means a person:

(1) With respect to an individual who is:

(A) The spouse of the individual;

(B) a brother, brother-in-law, sister, sister-in-law of the individual;

(C) an ancestor or lineal descendant of the individual or the individual’sspouse; and

(D) any other relative, by blood, adoption or marriage, of the individual orsuchindividual’s spouse who shares the same residence with the individual.

(2) With respect to a corporation, partnership, association, unincorporatedorganization orother form of entity, however organized, including a nonprofit entity, whichis:

(A) Directly or indirectly controlling, controlled by or under common controlby aperson; or

(B) an officer or director of a person or a person performing similarfunctions.

(h) “Registrant” means a person who is registered by the commissioner as acredit servicesorganization.

(i) “Trust account” means an account established by the applicant orregistrant in a federally insuredfinancial institution usedto hold funds paid by consumers to a credit services organization fordisbursement to creditors of consumers that is designated as a trust account orother appropriate designation indicating thefunds in the account are:

(1) Not funds of the applicant or registrant or its owners, officers oremployees; and

(2) unavailable to creditors of the applicant or registrant.

50-1118. Same; registration required to conductcredit services organization business; application.(a) No person shall engage in, or hold such person out aswillingto engage in anycredit services organization business with a resident of this state withoutfirst obtainingregistration from the commissioner. Any person required to be registered as acredit servicesorganization shall submit to the commissioner an application for registrationon forms prescribedand provided by the commissioner. The application for registration shallinclude:

(1) The applicant’s name, business address, telephone number and websiteaddress, if any;

(2) the name and address of each owner, officer, director, member or partnerof the applicant;

(3) a description of the ownership interest of any officer, director, member,partner, agentor employee of theapplicant in any affiliate or subsidiary of the applicant or in any otherentity that provides anyservice to the applicant or any consumer relating to the applicant’s creditservices organizationbusiness;

(4) a description of the applicant’s consumer education program; and

(5) any other information the commissioner may deem necessary to evaluate thefinancialresponsibility and condition, character, qualifications and fitness of theapplicant.

(b) Each application for registration shall be accompanied by a nonrefundablefee of $100. The amount of the registration fee may be increased by rules andregulations adopted bythe commissioner.

(c) The application shall be approved and a nontransferable andnon-assignable registration shallbe issued to the applicant provided:

(1) The commissioner has received the complete application and fee requiredby thissection; and

(2) the commissioner determines the financial responsibility and condition,character,qualifications and fitness of the applicant warrants a belief that the businessof the applicant willbe conducted competently, honestly, fairly and in accordance with allapplicable state and federallaws.

(d) Each credit services organization registration issued under thissection shall expire on June 30of each year. A registration shall be renewed by filing with the commissioner,at least 30 daysprior to the expiration of the registration, a complete renewal application,containing informationthe commissioner requires to determine the existence and effect of any materialchanges from theinformation contained in the applicant’s original application, annual reportsor prior renewalapplications. Each renewal shall be accompanied by a nonrefundable renewal feewhich shall beestablished by rules and regulations of the commissioner.

(e) If the commissioner fails to issue a registration within 60 days after afiled application isdeemed complete by the commissioner, the applicant may make written request forhearing. Thecommissioner shall conduct a hearing in accordance with the Kansasadministrative procedureact.

50-1119. Same; bond; requirements.Each applicant or registrant shall file with thecommissioner asurety bond in a form acceptable to the commissioner. The surety bond shall beissued by a surety or insurancecompany authorized to conduct business in this state, securing the applicant’sor registrant’sfaithful performance of all duties and obligations of a registrant. The suretybond shall:

(a) Be payable to the office of the state bank commissioner;

(b) provide that the bond may not be terminated without 30 days prior writtennotice to thecommissioner;

(c) provide that the bond shall not expire for two years after the date ofsurrender, revocation orexpiration of the applicant’s or registrant’s registration, whichever shallfirst occur;

(d) be available for:

(1) The recovery of expenses, fines and fees levied by the commissioner underthis act;and

(2) payment of losses or damages which are determined by the commissioner tohavebeen incurred by any consumer as a result of the applicant’s or registrant’sfailure to comply withthe requirements of this act; and

(e) the amount of the bond shall be $25,000. The amount of the bond may beincreased up to $1,000,000,as further defined byrules and regulations adopted by the commissioner.

50-1120. Same; duties of registrant.No credit services organization shall engage in debtmanagementservices unless:

(a) The registrant provides the consumer with a credit education programdesigned to improvethe financial literacy of the consumer.

(b) The registrant has:

(1) (A) Taken reasonable steps to identify all creditors of a consumer; and

(B) prepared and provided to the consumer a written financial analysis of andinitialbudget plan for all of the consumer’s debt obligations which indicates theconsumer canreasonably meet the requirements set forth in the budget plan; and

(2) provided to the consumer a list of each creditor the registrantreasonably expects:

(A) To participate in the plan; and

(B) not to participate in theplan.

(c) The registrant and the consumer have entered into a written debtmanagement servicesagreement and a copy of the signed agreement has been provided to the consumerby theregistrant. Such agreement shall be in at least 12 point type, signed and datedby the consumerand registrant and include:

(1) The name, address, and phone number of the consumer and the registrant;

(2) a description of the debt management services to be provided to theconsumer and anitemization of any fees to be charged to the consumer;

(3) a notice of the consumer’s right to rescind the debt management servicesagreement at anytime by giving written notice of rescission to the registrant;

(4) a schedule of payments, including the amount and due date of eachpayment, that theconsumer must make to the registrant for disbursement to such consumer’screditors;

(5) a list of each participating creditor of the consumer to which paymentswill be made by the registrant under the debt management services agreement.The listing shall include the:

(A) Amount owed to each creditor;

(B) amount of each payment;

(C) date on which each payment will be made; and

(D) anticipated payoff date for each creditor;

(6) the name of each creditor that the registrant reasonably expects not toparticipate in the debtmanagement plan;

(7) a disclosure that the registrant also may receive compensation from theconsumer’s creditorsfor providing debt management services to the consumer;

(8) a disclosure that the registrant may not, as a condition of entering intoa debt managementservices agreement, require a consumer to purchase any other product orservice, nor solicit oroffer to sell any other product or service to the consumer during the term ofthe debt managementservices agreement;

(9) a disclosure that the registrant may not require a voluntary contributionfrom a consumer forany service provided by the registrant to the consumer;

(10) a disclosure that, by executing the debt management services agreement,the consumerauthorizes any financial institution in which the registrant has established atrust account for thedeposit of the consumer’s funds to disclose to the commissioner any financialrecords relating tothe trust account during the course of any investigation or examination by thecommissioner; and

(11) the following notice: “The Kansas Office of the State Bank Commissionerwill acceptquestions and complaints from consumers regarding (name and registration numberof registrant)at 700 SW Jackson, Suite 300, Topeka, Kansas, 66603, or by calling toll-free1-877-387-8523”.

50-1121. Same; prohibited acts.No person required to be registered under this act shall:(a) Delay payment of aconsumer’s debt for the purpose of increasing interest, costs, fees or chargespayable by theconsumer.

(b) Make any misrepresentation of any material fact or false promise intendedto:

(1) Influence, persuade or induce a consumer to enter into a debt managementservicesagreement; or

(2) cause or contribute to any misrepresentation by any other person actingon suchperson’s behalf.

(c) Make or use any false or misleading representation in the offer or saleof the services of a debtmanagement services agreement or credit services organization business,including, but notlimited to, guaranteeing to “erase bad credit” or words to that effect unlessthe representationclearly discloses that guaranteed action can be done only if the consumer’scredit history isinaccurate or obsolete.

(d) Engage, directly or indirectly, in any fraudulent or deceptive act,practice or course ofbusiness in connection with the offer or sale of the services of a creditservices organization.

(e) Make, or advise a consumer to make, any statement with respect to aconsumer’s credit worthiness, credit standing or credit capacity that is falseor misleading, or that should be knownby the exercise of reasonable care to be false or misleading, to a consumerreporting agency or toa person who has extended credit to a consumer or to whom a consumer isapplying for anextension of credit.

(f) Advertise or cause to be advertised, in any manner whatsoever, theservices of a creditservices organization to Kansas consumers without first obtaining properregistration from thecommissioner.

(g) Receive compensation for rendering debt management services where theperson hasotherwise acted as a creditor for the consumer.

(h) Transfer, assign or attempt to transfer or assign, a registration to anyother person.

(i) Conduct credit services organization activities using any name other thanthe name or namesapproved by the commissioner.

(j) Operate as a collection agency.

(k) Receive or charge any fee in the form of a promissory note or otherpromise to pay.

(l) Accept or receive any reward, bonus, premium, commission or any otherconsideration forreferring a consumer to any person or related interest.

(m) Give a reward, bonus, premium, commission or any other considerationfor the referral of a consumer tothe registrant’s creditservices organization business.

(n) Lend money or provide credit to a consumer.

(o) Obtain a mortgage or other security interest in real or personal propertyowned by aconsumer.

(p) Structure a debt management services agreement in any manner that wouldresult in anegative amortization of any of the consumer’s debts.

(q) Charge for or provide credit insurance.

(r) Purchase any debt or obligation of a consumer.

(s) Use any communication which simulates in any manner a legal or judicialprocess, or whichgives the false appearance of being authorized, issued or approved by agovernment,governmental agency or attorney-at-law.

(t) While operating as a registrant, or a director, manager or officer ofsuch registrant or anyrelated interest of such registrant, be a director, manager, officer, owner orrelated interest of anycreditor or a subsidiary of any such creditor, that is receiving or willreceive payments from theregistrant on behalf of a consumer with whom the registrant has entered into adebt managementservices agreement.

(u) Attempt to cause a consumer to waive or agree to forego rights orbenefits under this act.

50-1122. Same; registrant’s duties regarding certainfunds paid to registrant.(a) Within four calendar days after receipt of any fundspaid to the registrant by or on behalf of a consumer for disbursement to suchconsumer’s creditors, a registrantshall deposit such funds in a trust account established for the benefit ofconsumers.

(b) A registrant shall:

(1) Maintain separate records of account for each consumer to whom theregistrant providesdebt management services;

(2) disburse any funds paid by or on behalf of a consumer to such consumer’screditorswithin 10 calendar days after receipt of such funds;

(3) correct any misdirected payments resulting from an error by theregistrant;

(4) reimburse the consumer for any actual fees or other charges imposed by acreditor as a resultof the misdirection; and

(5) disburse a consumer’s funds from the trust account only to suchconsumer’s creditors orback to the consumer.

(c) Ifa consumer rescinds the debt management services agreement, all funds held inthe trust accounton behalf of such consumer shall be refunded to the consumer within 10 calendardays from receipt ofrescission by the registrant.

(d) A registrant shall not commingle anytrust account established for thebenefit of consumers with any operating accounts of the registrant or itsrelated interests.

50-1123. Same; registrant’s report to consumer;required contents.A registrant shall provide a report at least once everythreemonths to each consumer who has entered intoa debt management services agreement with the registrant. The report shallinclude the:

(a) Total amount receivedfrom the consumer to date;

(b) total amount paid to each creditor to date;

(c) total amount any creditor has agreed to accept as payment in full on anydebt owed by the consumer;

(d) any fees paid to the registrant by the consumer; and

(e) any amount held in the trust account on behalf of the consumer.

50-1124. Same; registrant’s report to state bankcommissioner; when required; contents.(a) On or before March 1, of each year, eachregistrant shall filewith the commissioner an annual report relatingto credit services organization business conducted by the registrant during thepreceding calendar year. The annual report shallbe on a form prescribed by the commissioner.

(b) Within 15 calendar days after the occurrence of any of the followingevents, a registrant shall file a written report with thecommissioner describing the event and its expected impact on the registrant’sbusiness:

(1) The filing for bankruptcy or reorganization by the registrant;

(2) the institution of a revocation, suspension or other proceeding againstthe registrant by a governmental authority that is related to the registrant’scredit services organizationbusiness in any state; and

(3) a felony conviction of the registrant or any of its owners, officers,principals, directors, partners, members or debt management counselors.

(c) If a registrant fails to make any report required by this section to thecommissioner, the commissioner may require theregistrant to pay a late penalty of $100 for each day the report is overdue.

50-1125. Same; records; retention;inspection.(a) Each registrant shall maintain and preserve complete andadequate business records including a general ledgercontaining all assets, liabilities, capital, income and expense accounts for aperiod of five years.

(b) Each registrant shall maintain and preserve complete and adequate recordsof each debt management services agreementduring the term of the agreement and for a period of five years from the dateof cancellation or completion of the agreement witheach consumer. Such records shall contain all consumer information including,but not limited to, the debt management servicesagreement and any extensions thereto, payments, disbursements, charges andcorrespondence.

(c) If the registrant’s records are located outside this state, theregistrant shall provide therecords to the commissioner within three calendar days or, at thecommissioner’s discretion, payreasonable and necessary expenses for the commissioner or commissioner’sdesignee to examinethem at the place where they are maintained.

50-1126. Same; fees charged by registrant; whenallowed.(a) No registrant shall impose any fees or other charges ona consumer, orreceiveany funds or other payments from a consumer or another person on behalf of aconsumer:

(1) Except as provided in paragraph (5) of subsection (b), until after theregistrant and consumerhave executed a debt management services agreement; and

(2) except as allowed under this section, or as permitted by rule andregulation adopted by thecommissioner.

(b) A registrant may:

(1) Charge a one-time consultation fee not exceeding $50. The cost of acredit report on aconsumer shall be paid from the consultation fee paid by the consumer;

(2) charge and collectmonthly the lesser of a total maintenance fee of $20 per month, or $5 per monthfor each creditor of a consumer that is listed in the debt management servicesagreement between theregistrant and the consumer;

(3) collect from or on behalfof a consumer the funds for disbursementto creditors that the consumerhas agreed to pay to the registrant under the debt management servicesagreement;

(4) accept a voluntarycontribution from a consumer for a debtmanagement service provided by theregistrant to the consumer if the aggregate amount of the voluntarycontribution and any other feesreceived by the registrant from the consumer does not exceed the total amountthe registrant is authorizedto charge the consumer under paragraphs (1) and (2) of this subsection;

(5) charge the consumer, if provided to the consumer, a fee, not to exceed$50, fora counseling session,an educational program, or materials and supplies if the consumer does notenter into a debt managementservices agreement with the registrant; and

(6) accept fee payments from a consumer’s creditors for debt managementservices rendered to aconsumer, provided the consumer’s creditor does not assess the fee to theconsumer.

(c) No registrant shall:

(1) Charge a fee to a consumer, if the consumer enters into a debt managementservices agreement withthe registrant, to:

(A) Prepare a financial analysis or an initial budget plan for the consumer;

(B) counsel a consumer about debt management;

(C) provide a consumer with the consumer education program described in theregistrant’s application to engage in business as a credit servicesorganization; or

(D) rescind a debt management services agreement.

(2) Require a voluntary contribution from a consumer for any service providedby the registrant to the consumer.

(3) As a condition of entering into a debt management services agreement,require a consumer topurchase for a fee a counseling session, an educational program or materialsand supplies.

(d) If a registrant imposes any fee or other charge or receives any funds orother payments notauthorized under this section, except as a result of an accidental and bonafide error:

(1) The debt management services agreement shall be void; and

(2) the registrant shall return the amount of the unauthorized fees, charges,funds or payments to theconsumer.

50-1127. Same; denial, suspension, revocation orrefusal to renew registration; notice.The commissioner may deny, suspend, revoke or refuseto renew a registration issuedpursuant to this act, and amendments thereto, if the commissioner finds, afternotice andopportunity for a hearing conducted in accordance with the provisions of theKansasadministrative procedure act, that:

(a) The applicant or registrant has repeatedly or willfully violated anyprovision of this act, anyrule and regulation promulgated thereunder or any order lawfully issued by thecommissionerpursuant to this act;

(b) the applicant or registrant has failed to file and maintain the suretybond required under thisact;

(c) the applicant or registrant is insolvent;

(d) the applicant or registrant has filed with the commissioner any documentor statementcontaining any false representation of a material fact or omitting to state amaterial fact;

(e) the applicant, registrant or any officer, director, member, owner,partner, principal or debt management counselor thereofhas been convicted of any crime;

(f) the applicant or registrant fails to keep and maintain sufficient recordsto permit an auditsatisfactorily disclosing to the commissioner the applicant’s or registrant’scompliance with theprovision of this act;

(g) the applicant, registrant or an employee of the applicant or registranthas been the subject ofany disciplinary action by the commissioner or any other state or federalregulatoryagency;

(h) a final judgment has been entered against the applicant or registrant ina civil action and thecommissioner finds the conduct on which the judgment is based indicates that itwould becontrary to the public interest to permit such person to be registered;

(i) the applicant or registrant has engaged in any deceptive businesspractice;

(j) facts or conditions exist which would have justified the denial of theregistration or renewalhad such facts or conditions existed or been known to exist at the time theapplication forregistration or renewal was made; or

(k) the applicant or registrant has refused to furnish information requiredby the commissionerwithin a reasonable period of time as established by the commissioner.

50-1128. Same; state bank commissioner; powers andduties.This act shall be administered by the commissioner. Inaddition to other powersgranted by thisact, the commissioner, within the limitations provided by law, may exercise thefollowingpowers:

(a) Adopt, amend and revoke rules and regulations as necessary to carry outthe intent andpurpose of this act.

(b) Make any investigation and examination of the registrant’s operations,books and records asthe commissioner deems necessary:

(1) For the protection of the public;

(2) to determine whether any registration should be granted, denied orrevoked;

(3) to determine whether any person has violated or is about to violate anyprovision ofthis act, any rule andregulation promulgated thereunder or any order issued thereunder; or

(4) to aid in the enforcement of this act.

(c) For examination purposes the commissioner, or the commissioner’sdesignee, shall have freeand reasonable access to the offices, places of business and all records of theregistrant and theregistrant’s related interests that relate to the debt management or creditservices organizationbusiness.The commissioner may designatepersons,including comparable officials of the state in which the records are located,to inspect the recordson the commissioner’s behalf.

(d) Charge reasonable costs, including a per diem and actual travel andlodging expenses, ofinvestigation, administration or examination to be paid by the applicant orregistrant underinvestigation, examination or requiring administrative action, and maintain anaction in any courtto recover such costs.

(e) To order any registrant or person to cease any activity or practice whichthe commissionerdeems to be deceptive, dishonest, or a violation of this act, or of other stateor federal law, orunduly harmful to the interests of the public.

(f) Exchange any information regarding the administration of this act withany agency of theUnited States or any state which regulates the applicant or registrant oradministers statutes, rulesand regulations or programs related to debt management or credit servicesorganization laws.The commissioner may release examination reports and correspondence regardingthe reports inconnection with a disciplinary proceeding conducted by the commissioner, aliquidationproceeding or a criminal investigation or proceeding. Additionally, thecommissioner mayfurnish to federal or other state regulatory agencies or any officer orexaminer thereof, a copy ofany or all examination reports and correspondence regarding the reports made bythe commissioner or the commissioner’s designees.

(g) Disclose to any person or entity that an applicant’s or registrant’sapplication or registrationhas been denied, suspended, revoked or refused renewal.

(h) Require or permit any person to file a written statement, under oath orotherwise as thecommissioner may direct, setting forth all the facts and circumstancesconcerning any apparentviolation of this act, any rule and regulation promulgated hereunder, or anyorder issued pursuantto this act.

(i) Receive, as a condition in settlement of any investigation orexamination, a paymentdesignated for consumer education to be expended for such purpose as directedby thecommissioner.

(j) Delegate the authority to sign any orders, official documents or papersissued under or relatedto this act to the deputy of consumer and mortgage lending in the office of thestate bankcommissioner.

(k) Require fingerprinting of any registrant, agent acting on behalf of aregistrant or otherperson as deemed appropriate by the commissioner, or the commissioner’sdesignee. Thecommissioner, or commissioner’s designee, may submit such fingerprints to theKansas bureauof investigation, federal bureau of investigation or other law enforcementagency for thepurposes of verifying the identity of such persons and obtaining records oftheir criminal arrestsand convictions.

(l) Charge, establish and collect from registrants such fees as arenecessary and in such amountsas the commissioner may determine to be sufficient to meet the expenserequirements of thecommissioner in administering this act.

(m) Seize and distribute a registrant’s trust account funds to protectconsumers and the publicinterest.

(n) For the purpose of any examination, investigation or proceeding underthis act, thecommissioner or the commissioner’s designee may administer oaths andaffirmations, subpoenawitnesses, compel such witnesses’ attendance, adduce evidence and require theproduction of anymatter which is relevant to the examination or investigation, including theexistence, description,nature, custody, condition and location of any books, documents or othertangible things and theidentity and location of persons having knowledge of relevant facts, or anyother matterreasonably calculated to lead to the discovery of relevant information oritems.

50-1129. Same; cease and desist orders; civilfines.(a) If the commissioner determines after notice andopportunity for a hearingpursuant to the Kansasadministrative procedure act that any person has engaged, is engaging or isabout to engage in any actor practice constituting a violation of any provision of this act or any ruleand regulation promulgated or order issued thereunder, the commissioner byorder may require any or all of the following:

(1) That the person cease and desist from the unlawful act or practice;

(2) that the person pay a fine not to exceed $10,000 per incident for theunlawful act or practice;

(3) that the person take such affirmative action as in the judgment of thecommissioner willcarry out the purposes of this act; or

(4) that the person be barred from subsequently applying for registrationunder this act.

(b) If the commissioner makes written findings of fact that the publicinterest will be irreparablyharmed by delay in issuing an order under subsection (a), the commissioner mayissue an emergencycease and desist order.

(1) Such emergency order, even when not an order within the meaning of K.S.A.77-502, andamendments thereto, shall be subject to the same procedures as an emergencyorder issuedunder K.S.A. 77-536, and amendments thereto.

(2) Upon the entry of such an emergency order, the commissioner shallpromptly notify theperson subject to the order that it has been entered, of the reasons, and thata hearing will beheld upon written request by the person.

(3) If the person requests a hearing, or in the absence of any request, ifthe commissionerdetermines that a hearing should be held, the matter will be set for a hearingwhich shall beconducted in accordance with the provisions of the Kansas administrativeprocedure act.Upon completion of the hearing the commissioner shall, by written findings offact andconclusions of law vacate, modify or make permanent the emergency order.

(4) If no hearing is requested and none is ordered by the commissioner, theemergency ordershall remain in effect until such order is modified or vacated by thecommissioner.

50-1130. Same; subpoenas.(a) In case of contumacy by, or refusal to obey a subpoenaissued to anyperson,any court of competent jurisdiction, upon application by the commissioner, mayissue to thatperson an order requiring the person to appear before the commissioner, or theofficer designatedby the commissioner, there, to produce documentary evidence if so ordered or togive evidencetouching the matter under investigation or in question. Any failure to obey theorder of the courtmay be punished by the court as a contempt of court.

(b) No person shall be excused from attending and testifying or fromproducing any document orrecord before the commissioner or in obedience to the subpoena of thecommissioner or thecommissioner’s designee, or in any proceeding instituted by the commissioner,on the ground thatthe testimony or evidence, documentary or otherwise, required of the person maytend to incriminate the person or subject the person to a penalty orforfeiture. No individual may be prosecuted orsubjected to any penalty or forfeiture for or on account of any transaction,matter or thing concerningwhich such person is compelled, after claiming privilege againstself-incrimination, to testify orproduce evidence, documentary or otherwise, except that the individual sotestifying shall not beexempt from prosecution and punishment for perjury committed in so testifying.

50-1131. Same; criminal penalty.Any person violating the provisions of this act or any ruleand regulationpromulgatedthereunder upon conviction shall be guilty of a class B nonperson misdemeanor.

50-1132. Same; construction; application of consumerprotection act.Any violation of this act or any rule and regulationpromulgatedthereunder is adeceptive act or practice under the Kansas consumer protection act. Any remedyprovided by thisact shall be construed to be in addition to other remedy provided by the Kansasconsumer protectionact.

50-1133. Same; private remedies.(a) Any consumer injured by a violation of this act or anyruleand regulationpromulgated thereunder may bring an action for recovery of damages. The damagesawarded maynot be less than the amount paid by the consumer to the credit servicesorganization plus reasonableattorney fees and court costs.

(b) The consumer may also be awarded punitive damages.

50-1134. Same; injunction.The commissioner, attorney general, county or districtattorney or a consumer may bringan action in a districtcourt to enjoin any violation of this act or any rule and regulationpromulgated thereunder.

50-1135. Same; fees collected bycommissioner.All fees collected by the commissioner pursuant to this actshall be subject to the provisions of K.S.A. 75-1308 and amendments thereto.