{"data":{"id":"us-ut/utah-code-7-1-324","jurisdiction":"us-ut","citation":"Utah Code § 7-1-324","heading":"Debt cancellation agreements and debt suspension agreements.","body":"(1) As used in this section:\n(a) \"Class of depository institution\" means a class consisting of:\n(i) banks;\n(ii) credit unions;\n(iii) industrial banks; or\n(iv) wholly owned subsidiaries of a depository institution listed in this Subsection (1)(a).\n(b) \"Debt cancellation agreement\" is as defined in Section 31A-21-109.\n(c) \"Debt suspension agreement\" is as defined in Section 31A-21-109.\n(2) Subject to the other provisions of this section, the commissioner may by rule, made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act:\n(a) authorize any member of a class of depository institution that is subject to the jurisdiction of the department to issue:\n(i) a debt cancellation agreement; or\n(ii) a debt suspension agreement; and\n(b) regulate the issuance of a debt cancellation agreement or a debt suspension agreement issued in this state by a member of a class of depository institution.\n(3)\n(a) Any rule adopted by the commissioner under this section as applied to a class of depository institution shall be substantially similar to any federal regulation applying to the same class of depository institution.\n(b) Any rule adopted by the commissioner applicable to a class of depository institution described in this Subsection (3)(b) shall be substantially similar to any federal regulation applicable to a bank if no federal regulation authorizes or regulates the issuance of a debt cancellation agreement or debt suspension agreement for that class of depository institution.\n(4)\n(a) An out-of-state depository institution may issue a debt cancellation agreement or debt suspension agreement in this state if:\n(i) the home state of the out-of-state depository institution authorizes and regulates the issuance of a debt cancellation agreement or debt suspension agreement by the out-of-state depository institution; and\n(ii) subject to Subsection (4)(b), the out-of-state depository institution complies with regulations from the out-of-state depository institution's home state that regulate the issuance of a debt cancellation agreement or a debt suspension agreement.\n(b) Notwithstanding Subsection (4)(a), an out-of-state depository institution described in Subsection (4)(a) shall comply with rules adopted by the commissioner under this section that regulate the issuance of a debt cancellation agreement or a debt suspension agreement in this state by the class of depository institution to which the out-of-state depository institution belongs if the regulations of the out-of-state depository institution's home state do not provide at least the same level of protection with respect to a debt cancellation agreement or debt suspension agreement as the rules adopted by the commissioner under this section with respect to the same class of depository institution:\n(i) for the safety and soundness of the depository institution; and\n(ii) for consumer protections for the borrowers of the depository institution.","path":["Title 7 Financial Institutions Act","Chapter 7-1 General Provisions","Part 7-1-3 Powers and Duties of Commissioner of Financial Institutions"],"source_url":"https://le.utah.gov/xcode/Title7/Chapter1/7-1-S324.html","current_through":"2026 General Session","vintage":"","retrieved_at":"2026-09-03T11:34:33Z","sha256":"e35bf0b1cbf936581202c2f0a6a05e4fb95f54f35bafc01ab0140cb6cb5b93de","source_id":"us-ut","stale":false,"prev":"us-ut/utah-code-7-1-323","next":"us-ut/utah-code-7-1-325"},"notice":"GroundRules: Original legal text. Not legal advice."}