MN HF648

Establishes licensing requirements for lenders using motor vehicle titles as collateral for consumer loans of $1,000 or less, requiring valid Department of Commerce licenses as industrial loan and thrift companies or regulated lenders.

Mandates compliance with pawnbroker provisions under section 325J.095 and caps interest, fees, and charges at amounts allowed under section 325J.07.

Excludes from these requirements banking institutions, credit unions, automobile dealers, and transactions conducted under chapter 53C.

Defines key terms including consumer loans (loans of $1,000 or less requiring minimum payment exceeding 25 percent of principal within 60 days) and covered lender types.

Effective August 1, 2013, and applies to all credit extended on or after that date.