Utah Strengthens Credit Services Organizations Act Protections

Utah amended its Credit Services Organizations (CSO) Act to strengthen consumer protections and increase the enforcement authority of the Division of Consumer Protection (Division).

The amendments prohibit a CSO from representing that the business has been approved or endorsed by the State.  The CSO is further prohibited from making false, deceptive, inaccurate, or misleading statements or omissions of material fact in any filing with the Division.  If information in a filing with the Division changes, the filer has 30 days from the date of the change to update the information.

In addition, the legislature increased the Division’s authority to take administrative action if, among other things, an applicant’s registration is incomplete, false, or misleading, if the CSO violates any requirement of the CSO Act or the Utah Consumer Sales Practices Act, or the applicant (or applicant’s principal) has been convicted of a crime involving theft, fraud, or dishonesty.

Lastly, the legislature granted the Division authority to bring an action in court to enforce any provision of the CSO Act and has granted the court broad authority to issue injunctive or monetary relief, including an order to disgorge money.

The law takes effect on May 6, 2026.