Introduced
by
To require licensure of providers of "deferred deposit loans" in which for a fee the lender accepts a post-dated check, or agrees to hold a check for a period of days prior to deposit. The bill would require that providers furnish a $50,000 surety bond, pay fees to be determined by the Office of Financial and Insurance Services, and impose certain rules of conduct and disclosure requirements. The bill would limit the maximum loan amount to $1,000 to be repaid within 30 days, and prohibit interest, but permit a maximum processing fee of 18 percent of the loan, plus a fee for cashing the customer’s pay check.
Referred to the Committee on Commerce
Reported without amendment
With the recommendation that the substitute (H-4) be adopted and that the bill then pass.
