Establishes the uniform debt-management services act

This bill requires debt settlement companies operating in New York to obtain a license from the Banking Department. It defines "budget planning" (a specific service distinct from debt settlement) and sets rules for handling client funds, mandating that all money from clients must be deposited into a dedicated account and paid directly to creditors. Companies must charge fair, reasonable, and clearly explained fees, and unlicensed operation is prohibited. Violations can result in fines up to $500 per contract, with a maximum civil penalty of $100,000. The law directly affects debt settlement businesses, excluding licensed attorneys and certain nonprofit organizations.