Occupations: collection practices; references to collection agencies in debt management act; revise. Amends sec. 6 of 1975 PA 148 (MCL 451.416). TIE BAR WITH: HB 4887'25

HB 4891 amends Michigan's Debt Management Act to tighten licensing requirements for debt management businesses. It prohibits applicants who are employees or owners of collection agencies (as defined in state law) from obtaining a license, unless they provide "sufficient safeguards" to the licensing department. The bill also updates criminal background checks for applicants, adding restrictions for those convicted of certain offenses like embezzlement or who defaulted on payments collected for others. This directly affects businesses seeking debt management licenses, particularly those with ties to collection agencies, by adding new barriers to licensure. The changes aim to clarify separation between debt management services and collection activities.