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AL HB296

Bill

Status

Introduced

2/24/2016

Primary Sponsor

Danny Garrett

Click for details

Origin

House of Representatives

Regular Session 2016

AI Summary

  • Repeals Chapter 18A, Title 5 of the Code of Alabama 1975, known as the Deferred Presentment Services Act, which previously governed short-term cash advance loans.

  • Prohibits any person from advancing funds for a fee in exchange for a personal check or authorization to debit a deposit account with an agreement to delay cashing or depositing until a designated future date.

  • Establishes a civil penalty of $1,000 per violation for engaging in prohibited short-term cash advance lending.

  • Assigns enforcement responsibility to the Banking Department.

  • Makes the act effective immediately upon passage and approval by the Governor.

Legislative Description

Deferred Presentment Services Act repealed, short-term cash advance loans, prohibited, Secs. 5-18A-1 to 5-18A-22, inclusive, repealed

Payday Loans

Last Action

Read for the first time and referred to the House of Representatives committee on Financial Services

2/24/2016

Committee Referrals

Financial Services2/24/2016

Full Bill Text

No bill text available