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NY A05266

Bill

Status

Introduced

2/15/2011

Primary Sponsor

Matthew Titone

Click for details

Origin

Assembly

2011-2012 General Assembly

AI Summary

  • Requires facilitators of refund anticipation loans to disclose estimated fees, loan fee schedules, annual percentage rates, total costs, expected disbursement timelines, borrower repayment responsibility, and information about electronic filing alternatives at the time of application on a separate document from the loan application

  • Caps interest rates at 60 percent per annum for the first 21 days of the loan and 20 percent per annum thereafter

  • Restricts refund anticipation loan operations to locations where tax preparation is the principal business and mandates disclosure documents be available in English, Spanish, and any other language spoken by more than 5 percent of the local population

  • Prohibits facilitators from requiring loan arrangements to complete tax returns, misrepresenting loan terms, failing to process applications promptly, or engaging in fraudulent practices

  • Imposes civil penalties of up to $500 per violation assessed by the Banking Superintendent and allows aggrieved borrowers to recover three times the loan fee plus attorney's fees through civil action

Legislative Description

Regulates the provision of refund anticipation loans by person and entities other than banking institutions; requires that at the time a borrower applies for a refund anticipation loan, a facilitator shall disclose to such borrower certain information relating to fees and interest rates; defines terms.

Last Action

referred to banks

1/4/2012

Committee Referrals

Banks2/15/2011

Full Bill Text

No bill text available