KLS Keeping Law Simple Legislation in plain English

Straight-ahead summaries built from the official bill text. We keep the source links front and center and leave the decision up to you.

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HB1272 • 2026

A BILL FOR AN ACT to amend the Indiana Code concerning professions and occupations.

A BILL FOR AN ACT to amend the Indiana Code concerning professions and occupations.

Technology
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Representative Alaina Shonkwiler
Last action
2026-01-20
Official status
Introduced House Bill (H)
Effective date
Not listed

Plain English Breakdown

The official source does not provide specific details about protecting the legal owners' rights during repossession, only mentions requirements for handling personal effects.

Indiana Bill HB1272: Collateral Recovery Services

This bill amends Indiana's laws concerning professions and occupations by establishing new rules for collateral recovery agencies.

What This Bill Does

  • Changes the name of a board to include collateral recovery agencies.
  • Adds two more members to the board.
  • Requires collateral recovery agencies to get a license before they can repossess items or use certain technology.
  • Sets requirements for maintaining licensure and handling personal effects during repossession.

Who It Names or Affects

  • Collateral recovery agencies
  • People who work for these agencies

Terms To Know

collateral recovery agency
A company that takes back items used as security when someone doesn't pay a loan.
license plate recognition
Technology that uses cameras to read license plates and find vehicles.

Limits and Unknowns

  • The bill does not specify the consequences for breaking these rules.
  • It is unclear how many people or companies this new law will affect.
  • There is no information on when this bill will become a law.

Bill History

  1. 2026-01-20 House

    Representatives Morris, Abbott, Cash added as coauthors

  2. 2026-01-06 House

    Authored by Representative Shonkwiler

  3. 2026-01-06 House

    First reading: referred to Committee on Employment, Labor and Pensions

Official Summary Text

A BILL FOR AN ACT to amend the Indiana Code concerning professions and occupations.
Collateral recovery services.

Current Bill Text

Read the full stored bill text 
A BILL FOR AN ACT to amend the Indiana Code concerning professions and occupations.

Collateral recovery services.

Renames the private investigator and security guard licensing board as the private investigator, security guard, and collateral recovery agency licensing board, and adds two additional members to the board. Establishes licensure for a collateral recovery agency. Requires a person to be licensed as a collateral recovery agency to repossess collateral, attempt to repossess collateral, hold one's self out as being in the business of repossessing collateral, or use license plate recognition. Provides certain requirements: (1) for an applicant seeking licensure as a collateral recovery agency; (2) for a licensee to maintain licensure; and (3) for a legal owner when personal effects are in or on the collateral at the time of repossession. Requires equipment used to repossess collateral to meet certain criteria. Makes conforming changes.