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HB 743

Consumer Protection - As enacted, enacts the "Debt Resolution Services Act." - Amends TCA Title 47, Chapter 18.

114th Regular Session (2025-2026) Introduced by Kelly Keisling

Tennessee establishes licensing and disclosure requirements for debt resolution service companies to protect consumers from predatory practices and ensure service provider accountability.

Pub. Ch. 287
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Bill Summary · HB 743

Legislative bill overview

HB 743 enacts Tennessee's "Debt Resolution Services Act," which establishes new regulatory requirements for companies that offer debt settlement, negotiation, or resolution services to consumers. The law amends Tennessee Code Annotated Title 47, Chapter 18 to create licensing, disclosure, and operational standards for these debt relief service providers.

Why is this important

Debt resolution services are frequently used by struggling consumers but have historically been poorly regulated, leading to predatory practices, excessive fees, and unfulfilled promises. This legislation provides consumer protections by requiring transparency and accountability from debt service providers, potentially reducing fraud and helping consumers make informed decisions about debt management options.

Potential points of contention

  • Licensing burden: Requiring debt resolution companies to obtain licenses may increase compliance costs that could be passed to consumers or reduce market competition among smaller providers
  • Fee restrictions: The law likely imposes limitations on upfront fees and service charges, which industry groups may argue constrains their business model and ability to operate profitably
  • Scope ambiguity: Unclear definitions of what constitutes a "debt resolution service" could create compliance confusion and disputes about which providers fall under regulatory requirements

Compiled from official sources — confirm details with the bill’s official record.

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