AZ SB1447

Creates a new licensing regime for flexible credit lenders under Arizona Revised Statutes Title 6, Chapter 18, with licensure required from the superintendent for persons making flexible credit loans to Arizona residents.

Defines flexible credit loans as closed-end loans between $500-$2,500 with terms up to 24 months, payable in substantially equal installments, unsecured or secured by personal property, with no prepayment penalties allowed.

Caps finance charges at 17% per month for unsecured loans and 15% per month for secured loans; prohibits compounding of finance charges and limits additional fees to delinquency charges (5% after 7 days late), court costs, and reasonable attorney fees.

Restricts consumers to a maximum of $2,500 in total outstanding flexible credit loans at any time and requires licensees to verify a consumer's outstanding loan status before making new loans through attestation and commercially reasonable verification methods.

Requires licensees to maintain $25,000 in readily available assets per licensed office, file annual reports by October 1, comply with Truth in Lending Act disclosures, and provide specific consumer notices regarding loan review rights and disclosures in Spanish upon request.