§ 10506. Unsolicited distribution of cash advance contracts and notes

No person shall distribute by mail, or in any other manner, to a Vermont resident an unsolicited cash advance contract or note in furtherance of that contract. A person who violates this section shall also be subject to the provisions of chapter 201, subchapter 6 of this title. This section does not apply to:

(1) any communication by a lender with a borrower pursuant to a preexisting credit relationship, including the furnishing on an unsolicited basis of any check, card, plate, or other means of accessing a preexisting loan or line of credit; or

(2) any unsolicited firm offer of credit made in compliance with the rules of the Federal Trade Commission relating to prescreening, as in effect from time to time. (Added 1999, No. 153 (Adj. Sess.), § 2, eff. Jan. 1, 2001.)