Modernize Debt Settlement Prohibition.
HB 734, titled "Modernize Debt Settlement Prohibition," aims to prohibit debt settlement and debt adjusting services in North Carolina. The bill reclassifies these activities as unfair trade practices and clarifies their definitions. It makes engaging in debt adjusting or debt settlement a Class 2 misdemeanor and expands civil remedies for debtors. The bill grants superior courts the authority to enjoin such practices and assess civil penalties. However, it exempts certain individuals and transactions, such as a creditor acting without cost to the debtor or an attorney acting within an attorney-client relationship.
Bill status
passed
3 of 5 stages cleared
Introduction
Apr 2025
Committee Review
Apr 2025
House Passage
Apr 2025
Senate Passage
Governor
Introduced Apr 2, 2025
Last action Apr 28, 2025
Maddy AI version diff · 1 comparison
What changed between versions
Filed
→
Edition 1
·
3 edits
MINOR
This bill modernizes debt settlement prohibition laws in North Carolina by updating the statute's formatting and citation references while maintaining the core prohibition against debt adjusting and settlement businesses. The changes primarily involve technical updates to the bill's header information, sponsor listings, and legal citations rather than substantive policy modifications.
TECHNICAL
Updated bill header information including session date, bill number, and sponsor list to reflect current legislative status.
Revised General Statute citations to reflect new article numbering (Article 9 of Chapter 75 instead of Article 56 of Chapter 14) for organizational clarity.
Added bill tracking information and committee referral details to the header section.
Floor votes · House Apr 16, 2025
How they voted
113–0
Passed · 8 other
Total votes 121
Apr 16, 2025
D
Democratic46
93% Yea
I
Independent2
100% Yea
R
Republican73
93% Yea
Vote distribution
All Yea
All Nay
Mixed
No data
Full legislative history
Actions timeline
Total actions
14
Key actions
2
Committee
5
Apr 28, 2025
Committee
Ref To Com On Rules and Operations of the Senate
upper
Apr 16, 2025
Lower · Passed
Passed 3rd Reading
lower
Apr 15, 2025
Committee
Re-ref Com On Rules, Calendar, and Operations of the House
lower
Apr 15, 2025
Lower · Passed
Reptd Fav
lower
Apr 10, 2025
Committee
Serial Referral To Finance Stricken
lower
Apr 3, 2025
Committee
Ref to the Com on Judiciary 1, if favorable, Finance, if favorable, Rules, Calendar, and Operations of the House
lower
Apr 2, 2025
Introduced
Filed
lower
3 primary · 6 co-sponsors
Sponsors
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