MI SB0238

Prohibits licensees from advertising false, misleading, or deceptive statements regarding rates, terms, or conditions for lending money, credit, goods, or things in action.

Restricts licensees from taking liens on real estate as security except for liens acquired by execution or after entry of a judgment.

Prohibits licensees from taking confessions of judgment, powers of attorney to confess judgment, or notes with blank spaces to be filled after execution.

Allows licensees to pay referral fees up to $500 for locating or introducing potential borrowers, provided the borrower is not charged any part of the fee.

Effective date: February 19, 2018 (90 days after enactment on November 20, 2017).