SB3523 - Tax Refund Anticipation Loan Reform Act

• Renames the "Tax Refund Anticipation Loan Disclosure Act" to the "Tax Refund Anticipation Loan Reform Act" and expands regulatory requirements for facilitators offering these loans and checks.

• Requires facilitators to display fee schedules with refund anticipation loan interest rate examples for loan amounts of $300, $500, $1,000, $1,500, $2,000, and $5,000 in 28-point type on signage measuring at least 16 by 20 inches.

• Mandates prominent disclosure on fee schedules stating that consumers can receive refunds in 8-15 days without fees by using electronic filing and direct deposit, rather than obtaining a refund anticipation loan.

• Imposes a 36% annual interest rate cap on refund anticipation loans made by non-bank facilitators; any loan exceeding this rate is void from inception.

• Prohibits facilitators from charging additional fees beyond creditor fees, including charges for insurance, collection costs, or check cashing, and bars certain contract provisions such as hold harmless clauses, jury trial waivers, wage assignments, and confidentiality requirements.

• Requires specific disclosures in all advertising stating that refund anticipation loans are loans and that consumers can obtain refunds faster without fees through electronic filing and direct deposit.