Senate Bill 331 - Consumer Finance Act Amendments

• Increases the loan amount threshold from $15,000 to $25,000 for loans requiring a consumer finance license under the North Carolina Consumer Finance Act.

• Raises the minimum annual assessment fee for consumer finance licensees from $500 to $1,000 and increases the application investigation fee from $250 to $500.

• Adds "electronic payment" to definitions to include ACH transactions, credit/debit cards, mobile wallets, and internet banking as alternatives to cash payments.

• Modifies loan processing fees by increasing caps from $25-40 to $30-150 depending on loan amount, and clarifies that fees may not be assessed more than twice in a 12-month period.

• Increases the late payment fee cap from $15 to $18 and adds definition of "servicing loans" to include receiving periodic payments and disbursing them to loan owners or third parties.

• Becomes effective October 1, 2023, for contracts entered into, modified, or renewed on or after that date.