Credit Repair Business Requirements in Puerto Rico (2026): DACO License & $30,000 Bond

Last Updated: August 16, 2026

Puerto Rico regulates credit repair under Act 153-2013, the “Ley de Agencias Rectificadoras de Crédito” (7 L.P.R.A. §§ 631 et seq.). Before serving Puerto Rico consumers a credit repair business must hold a license from the Department of Consumer Affairs (DACO), meet a personal experience qualification, carry a surety bond of at least $30,000, and use a contract with a seven-calendar-day cancellation form — plus the federal Credit Repair Organizations Act (CROA) on top. This guide answers every Puerto Rico-specific question first, then links the full launch sequence.

Do I need a license to start a credit repair business in Puerto Rico?

Yes — Puerto Rico is a true license jurisdiction. Article 6 of Act 153-2013 (7 L.P.R.A. § 631d) provides that no person may engage in the credit rectification business without first obtaining a license issued by the Department of Consumer Affairs (DACO), and Article 3 names DACO as the agency that issues licenses and supervises these agencies. A license is required for each office you open.

The application is filed in writing and under oath. Article 7 sets an investigation charge of $500 plus a $1,000 annual license right at filing (reduced to $500 for the balance of the year if the license issues after June 30), and requires owner identification for anyone controlling ten percent or more of the capital stock, plus certificates of existence and good standing for a corporation. Article 9 lets DACO deny the license on public-interest grounds, and only issues it once you have posted the Article 11 bond. Licenses expire at the end of each calendar year and renewal must be filed by December 1 at $1,000 per office — and once a license expires you may not operate, collect commissions, or generate income from the business until DACO issues a new one (Article 10). Legislation reported in 2026 would move this licensing and supervision function from DACO to the Office of the Commissioner of Financial Institutions; that was a proposed bill, not law, when this page was published, so confirm the current regulator before you file.

Does Puerto Rico require a surety bond for credit repair?

Yes. Article 11 (7 L.P.R.A. § 631i) requires every business established under the act to post and maintain a bond of a minimum of $30,000 up to a maximum of $100,000, depending on business volume, and separately to maintain liquid capital of no less than $10,000 for the administration of each authorized office. You pay an annual premium on the bond, not the face amount.

The bond must be issued by an insurance company authorized by the Puerto Rico Insurance Commissioner to do business in the Commonwealth, must be made out in favor of the Commonwealth of Puerto Rico to answer for any failure to meet your obligations under the act — including fines and inspection fees — and must be filed with DACO. Article 12 adds a $100 per day inspection charge for each inspector who takes part in an examination, with no more than one examination per year unless serious irregularities justify another. Verify the current bond amount, forms, and fees with DACO before you file; Act 170-2014 already amended the bond and inspection articles once.

What is the Ley de Agencias Rectificadoras de Crédito?

It is Act 153-2013 of December 15, 2013, codified at 7 L.P.R.A. §§ 631 et seq., which replaced Act 236-2004 and moved credit repair oversight to DACO. It governs any person, partnership, entity, or corporation engaged in the credit rectification business and states plainly that these agencies are authorized only to correct incorrect or inaccurate information contained in a consumer’s credit history.

The act is unusually detailed for a credit services statute: licensing and denial standards (Articles 6 to 9), annual renewal (Article 10), capital and bond (Article 11), inspections (Article 12), a DACO-approved written statement of consumer rights in 14-point bold type plus a good-faith itemized cost estimate (Article 14), prescriptive contract contents (Article 15), twenty categories of prohibited practices (Article 17), and administrative fines of up to $10,000 per violation with possible referral for criminal action (Article 22). It exempts banks, savings and loan associations, trust companies, credit unions, government agencies, financing and small loan companies, mortgage institutions, financial intermediation businesses certified by the Office of the Commissioner of Financial Institutions, and attorneys or accountants providing the service as an incidental part of their practice. Where this page and the statute ever disagree, the statute in force wins.

What must a Puerto Rico credit repair contract include?

Start with the CROA baseline that applies everywhere: the services to be performed, the timeframe, the total cost, your business name and address, and a conspicuous three-business-day cancellation notice — plus the separate written consumer-rights disclosure delivered before signing. Then add everything Article 15 of Act 153-2013 requires on top.

Puerto Rico is prescriptive down to the type size. Article 15 requires a single written document in type no smaller than 14 points, dated and signed by the consumer and your authorized representative, carrying a conspicuous 14-point bold “Aviso al Comprador” beside the signature line, both surnames of the parties, payment terms and the total of all payments, a detailed description of the services with an estimated service period that may not exceed six months, your principal office address, a warning that the consumer must supply the underlying information and documentation, a warning that applying for new credit during service can adversely affect the work, an express statement that no credit rectification agency may request money in advance, a statement that the contract is in no way a guarantee that credit will be restored or that the outcome will be favorable, and a duplicate pre-printed “Aviso de Cancelación” form giving the consumer seven calendar days to cancel without penalty or obligation. Article 14 separately requires a DACO-approved written statement of consumer rights in 14-point bold type, signed and kept on file for two years after the contract ends, plus a separate good-faith itemized estimate. A contract missing a required element is void under CROA — which means unrecoverable fees and liability exposure. Our guide to credit repair contracts under CROA walks through each required clause; read it alongside the Puerto Rico rules above.

Do federal CROA and TSR rules still apply in Puerto Rico?

Yes — always. The federal Credit Repair Organizations Act reaches Puerto Rico as well as all 50 states, because the Consumer Credit Protection Act defines “State” to include the Commonwealth of Puerto Rico (15 U.S.C. § 1602(s)): written contract with required contents, a three-business-day cancellation right, no fees before services are performed, no guaranteed outcomes, and a mandatory consumer-rights disclosure. The Telemarketing Sales Rule adds an advance-fee ban when you sell credit repair by phone.

Local statutes layer on top of this federal floor; they never replace it. When a local rule and a federal rule differ, follow the stricter one — in Puerto Rico that usually means the seven-calendar-day cancellation window rather than CROA’s three business days. The full federal picture is covered in credit repair laws every business owner must know and our practical CROA compliance guide.

Who is qualified to hold a Puerto Rico credit repair license?

Not everyone — and this is the requirement most mainland operators miss. Article 8 (7 L.P.R.A. § 631f) requires a license applicant to hold a bachelor’s degree plus two years of experience granting and analyzing credit at a financial institution, or, without the degree, five years of experience in this market. For a company, that qualification attaches to the principal officer in charge or the person responsible for daily operations, and DACO may add requirements by regulation.

Article 14 then makes the client relationship expressly fiduciary in nature, requiring the highest degree of diligence, care, loyalty, and pecuniary benefit for the client, and requires you to keep a proper office where clients can reach you during business hours along with all books and records of the business. Plan your Puerto Rico entry around the person who will actually satisfy Article 8 — the qualification is personal, and no bond or filing substitutes for it.

What is the safest launch checklist for Puerto Rico?

Read the statute and CROA, register your entity, confirm the Article 8 qualification, file the DACO license application and the bond, adopt contracts satisfying both local and federal requirements, set a fees-after-performance billing model, and only then market to Puerto Rico consumers. Sequence matters: paperwork comes before your first client, not after.

Read Act 153-2013 (7 L.P.R.A. §§ 631 et seq.) and the federal CROA together.
Register your entity and get an EIN — the full sequence is in our hub on how to start a credit repair business.
Confirm the Article 8 education and credit-experience qualification for whoever will run daily operations.
File the sworn Article 7 license application with DACO with the $500 investigation charge and $1,000 license right, and post the Article 11 bond of $30,000 to $100,000 plus $10,000 liquid capital per office.
Adopt the Article 15 contract, the duplicate “Aviso de Cancelación” form, and the Article 14 statement of consumer rights and good-faith estimate.
Calendar the December 1 renewal at $1,000 per office — an expired license means you may not operate or collect.
Set up billing that charges only after work is performed, with evidence of the work — see how to charge credit repair fees legally.
Run disputes, tracking, and billing on one system so compliance is enforced by workflow, not memory.

What if my clients live outside Puerto Rico?

Credit services rules protect the residents of the jurisdiction that wrote them — so the rules that matter are set by where your client lives, not where your desk sits. A Puerto Rico-based business serving a client in a mainland state should expect that state’s licensing, registration, bond, and contract rules to apply to the engagement, and a mainland business taking Puerto Rico clients should expect Act 153-2013 to apply to it.

Multi-jurisdiction businesses typically satisfy the strictest place they serve or decline clients from places where they are not licensed. CROA applies everywhere regardless. Check each state before you take the client in our credit repair business license, bond, and registration requirements by state hub.

Official Puerto Rico sources

Every legal fact on this page traces to a primary source. Read them directly — statutes, fees, and forms change, and the version in force on the day you apply is the one that governs you:

Credit repair business requirements in other states

Every state sets its own registration, bond, and contract rules. The complete 50-state reference is the credit repair business license, bond, and registration requirements by state hub; the other deep-dive state guides are:

Puerto Rico Credit Repair Business FAQ

Do I need a license to start a credit repair business in Puerto Rico?

Yes. Article 6 of Act 153-2013 (7 L.P.R.A. § 631d) bars any person from engaging in the credit rectification business without first obtaining a license issued by the Department of Consumer Affairs (DACO), and Article 3 makes DACO the agency that issues, supervises, and enforces those licenses. A separate license is required for each office. Federal CROA rules apply on top.

Does Puerto Rico require a surety bond for credit repair?

Yes. Article 11 (7 L.P.R.A. § 631i) requires a bond of at least $30,000 and up to a maximum of $100,000 depending on business volume, issued by an insurer authorized by the Puerto Rico Insurance Commissioner, made out in favor of the Commonwealth, and filed with DACO. The same article requires liquid capital of at least $10,000 for each authorized office.

What experience does Puerto Rico require of a license applicant?

Article 8 (7 L.P.R.A. § 631f) requires a bachelor’s degree plus two years of experience granting and analyzing credit at a financial institution, or, without the degree, five years of experience in the market. For a company, the requirement applies to the principal officer or the person responsible for daily operations. DACO may set additional requirements by regulation.

How long does a Puerto Rico client have to cancel?

Seven calendar days. Article 15(k) requires a duplicate pre-printed ‘Aviso de Cancelacion’ form in type no smaller than 14 points stating that the consumer may cancel without penalty or obligation within seven calendar days of signing, by mailing or delivering written notice no later than midnight of the seventh calendar day. Federal CROA separately gives three business days, so honor the longer Puerto Rico window.

Can I charge Puerto Rico clients before doing the work?

No. Article 17(b) prohibits soliciting, receiving, or charging in advance any full or partial commission or fee, and allows charging only for work actually performed, accompanied by evidence that it was performed. Article 2 defines fully performed services as a substantial improvement achieved by correcting incorrect or inaccurate information. Federal CROA bans advance fees nationwide.

How long can a Puerto Rico credit repair contract run?

Article 15(c) and 15(h) cap the estimated service period at six months, after which the licensee may collect any balance owed for services fully performed and may not charge for accounts that were not repaired, removed, or corrected within that period. The consumer may agree to one additional six-month term, still with no advance payment.

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This guide is educational information, not legal advice. Statutes, bond amounts, and filing procedures change; verify current requirements with DACO before launching, and consult a qualified attorney for guidance on your specific business. Dispute software organizes and accelerates compliant work — it does not remove accurate, verifiable information from a credit report, and no software or service provider can lawfully promise that it will.