MS HB1511

Creates the Mississippi Consumer Alternative Installment Loan Act allowing licensed lenders to charge up to 59% annual percentage rate on consumer installment loans of $4,000 or less as an alternative to existing rate structures.

Requires lenders to obtain valid license under the Small Loan Privilege Tax Law and comply with Commissioner of Banking and Consumer Finance regulations to engage in consumer installment lending.

Establishes loan requirements including minimum 9 substantially equal monthly payments over at least 272 days, prohibition on loans where monthly payments exceed 22.5% of borrower's gross monthly income, and mandatory prepayment refunds of unearned interest.

Prohibits conditioning credit on electronic fund transfer or post-dated check payments and requires lenders to include standardized disclosure language in loan agreements notifying borrowers of regulatory oversight.

Excludes charges for voluntary credit insurance and auto club memberships from finance charge calculations and provides liability protections for lenders acting in conformity with Commissioner regulations or other official guidance.