NY A02961

Adds new section 46 to New York Banking Law regulating refund anticipation loans (RALs) made by non-bank facilitators at tax preparation locations.

Requires facilitators to provide borrowers with separate disclosure documents showing estimated tax preparation fees, RAL fee schedules, annual percentage rate, total costs, expected loan processing timeframe, borrower repayment responsibility, and information about electronic filing alternatives.

Caps interest rates at 60% per annum for the first 21 days of a RAL and 20% per annum thereafter, and prohibits facilitators from requiring RAL arrangements to complete tax returns or engaging in misrepresentation, fraud, or delayed processing.

Establishes civil penalties of up to $500 per violation enforced by the Superintendent, and authorizes borrowers to sue for triple the RAL fee plus attorney's fees for violations.

Requires disclosure documents be available in English, Spanish, and any language spoken by more than 5% of the population in the vicinity of the facilitator's location.