HB3901 Summary

• Expands definition of "payday loan" to include any loan with annual percentage rate exceeding 36%, removing the previous requirement that loans not exceed 120 days.

• Requires lenders to rebate unearned finance charges on a straight-line amortization basis when consumers repay loans early, and prohibits payday loans with installment payments unless payments are substantially equal.

• Adds reporting requirement for licensees to disclose annually the total number of lawsuits filed against consumers to collect on payday loans during the preceding calendar year.

• Prohibits lenders from evading the Act through devices or subterfuge, including disguising payday loans as different transactions or characterizing required fees as purchases of goods or services.

• Authorizes the Department of Financial and Professional Regulation to develop rules determining if any person or entity seeks to evade the Act's applicability by any device, subterfuge, or pretense.