{"data":{"id":"us-sc/s.c.-code-ann.-37-7-116","jurisdiction":"us-sc","citation":"S.C. Code Ann. § 37-7-116","heading":"Prohibited acts.","body":"(A) A licensee may not:\n(1) obtain an agreement from a consumer waiving a right the consumer has pursuant to this chapter;\n(2) charge a fee to a consumer if the consumer enters into a debt management plan with the licensee to rescind a DMP contract;\n(3) advertise in a statement or representation with regard to the rates, terms, or conditions of credit counseling service in a manner that is false, misleading, or deceptive;\n(4) require as a part of the agreement between the licensee and consumer the purchase of stock, insurance, commodity, service, or other property or interest in them;\n(5) directly or indirectly accept payment or other consideration from a person for referring applicants to that organization;\n(6) offer to pay or give any cash, fee, gift, bonus, premiums, reward, or other compensation to a person for referring a prospective customer to the licensee;\n(7) unreasonably disclose information to third parties regarding the amounts owed by a consumer;\n(8) make a fraudulent, deceptive, or misleading representation to obtain information about a consumer, to solicit business with a consumer, or otherwise in connection with providing services for or on behalf of any consumer;\n(9) use unconscionable means to obtain a contract with a consumer or collect or attempt to collect a debt owed to the seller;\n(10) engage in any unfair or deceptive act or practice in connection with a credit counseling service provided to a consumer, offering or establishing a term or condition in a contract with a consumer for providing the service, or any advertisement, or solicitation relating to the service;\n(11) collect a payment from a consumer before the payment being earned as specifically defined in the contract between the licensee and the consumer;\n(12) operate another business at the licensed location without authorization from the department;\n(13) execute a contract or agreement to be signed by the consumer unless the contract or agreement is fully and completely filled in and finished;\n(14) make loans to debtors;\n(15) issue credit cards or act as an agent in procuring customers for a credit card company or a financial institution;\n(16) purchase any debt or obligation of a consumer;\n(17) receive or charge a fee in the form of a promissory note or other negotiable instrument other than check or a draft;\n(18) represent that it is authorized or competent to furnish legal advice or perform legal services unless supervised by an attorney as required by South Carolina law; or\n(19) compensate its employees on the basis of a formula that incorporates the number of consumers the employee signs to a debt management plan.\n(B) A violation of this section renders an agreement between the licensee and the consumer void.","path":["Title 37 - CONSUMER PROTECTION CODE","CHAPTER 7 Consumer Credit Counseling"],"source_url":"https://www.scstatehouse.gov/code/t37c007.php","current_through":"2025 Session of the General Assembly","vintage":"","retrieved_at":"2026-09-02T07:09:39Z","sha256":"c78a685ce8ab55477da99b6fe64f13fe9c3a932183123424ebbabc230d7adf81","source_id":"us-sc","stale":false,"prev":"us-sc/s.c.-code-ann.-37-7-115","next":"us-sc/s.c.-code-ann.-37-7-117"},"notice":"GroundRules: Original legal text. Not legal advice."}