NY A07047

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

Requires loans be repaid in substantially equal installments with at least 13 days between payments, first installment due at borrower's next pay date, and no single installment to exceed 10% of gross monthly income.

Establishes a borrower database accessible by phone and internet that licensees must query before issuing loans to prevent borrowers from having multiple simultaneous loans, with database expenses funded by $500 from initial licensing fees and $250 from location licensing fees for check cashers offering these loans.

Prohibits criminal prosecution for loan defaults, security interests in property, assignment of borrower earnings, confession of judgment, attorney's fees, and limits loan refinancing to once per loan after three consecutive timely payments.

Creates a Financial Education Fund funded by licensees contributing $0.10 per loan repayment to support financial education programs, with at least half offered through public community colleges and state institutions.