13-05-02.2. Child support collection agencies.
345 words·~2 min read·
/nd/title-13/chapter-13-05-collection-agencies/13-05-02-2·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
1. Notwithstanding sections 13-05-02 and 13-05-02.3, a collection agency attempting in
any manner to collect child support as defined in section 14-09-09.10 must be licensed
under this chapter if either the child support debtor or creditor reside within this state, if
the child support debt arises under an order issued by a court of this state, or if a
record of the child support debt is being maintained on the statewide automated data
processing system under section 50-09-02.1.
2. A collection agency licensed under this section may not:
a. Impose a fee or charge for any child support collected primarily through the
efforts of a governmental agency;
b. Impose a fee or charge for collection of a current child support payment; or
c. Designate a current child support payment as past-due support or other amount
owed.
3. If the child support debt arises under an order issued by a court of this state, or if a
record of the child support debt is being maintained on the statewide automated data
processing system under section 50-09-02.1, all child support payments collected by a
collection agency must be paid to the department of health and human services within
five business days for disbursement under section 14-09-25. Child support payments
disbursed under section 14-09-25 may not be redirected to a collection agency unless
specifically permitted by rules adopted by the department of health and human
services.
4. A collection agency failing to pay child support payments to the department of health
and human services as required in this section is liable to the obligor for three times
the amount improperly withheld by the collection agency or five hundred dollars,
whichever is greater, in addition to any other remedy or damages permitted by law.
The department of health and human services is not required to give credit for
payments withheld by a collection agency in violation of this section.
5. Any person contracting for services with a collection agency for the collection of child
support may cancel the contract without a fee or charge upon thirty days' written
notice.