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AL SB410
Bill
AI Summary
SB410 Summary
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Allow customers to repay deferred presentment transactions (payday loans) over a six-month period with equal monthly payments instead of the previous shorter timeframe.
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Prohibit licensees from extending deferred presentment transactions and reduce the extended repayment option from four months to three equal monthly installments.
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Require licensees to collect a bad check fee for each returned check and use a supervisor-designated database to verify customers do not have outstanding transactions exceeding $500.
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Mandate licensees to report transaction information to the supervisor annually by December 1, with the supervisor required to publish aggregated utilization data to the public.
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Effective January 1, 2015.
Legislative Description
Deferred presentment transactions, customer repayment period revised, extensions prohibited, collection of a bad check fee under certain conditions, use of database by licensees required, Secs. 5-18A-2, 5-18A-12, 5-18A-13 am'd.
Deferred Presentment Services
Last Action
Pending third reading on day 22 Favorable from Banking and Insurance with 1 amendment
4/1/2014