NY A10919

Authorizes licensed cashers of checks to offer short-term financial services loans of $300 to $2,000 (or up to 25% of borrower's gross monthly income, whichever is less) with loan terms between 90 and 180 days.

Requires loans be repaid in substantially equal installments with at least 13 days between payments, with no single installment exceeding 10% of borrower's gross monthly income, and prohibits compounded interest or advance interest deductions.

Establishes a borrower database maintained by the superintendent that licensees must query before issuing loans to verify borrowers don't have outstanding short-term loans, with database operating costs charged to licensees.

Increases licensing fees for check cashers engaging in short-term loans to $3,500 ($500 designated for database operations) and adds $250 annual fees for additional locations; superintendent sets maximum interest rates and fees through rulemaking.

Prohibits wage assignments, criminal prosecution threats for non-payment, secured interests in property, attorney fee collection, and limits loan refinancing to once per loan after three consecutive on-time payments; borrowers may rescind loans within one business day.