House Bill 457

AN ACT TO REENACT SECTIONS 75-67-501 THROUGH 75-67-537, MISSISSIPPI CODE OF 1972, WHICH ARE THE MISSISSIPPI CHECK CASHERS ACT; TO AMEND REENACTED SECTION 75-67-505, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT ANY TRANSACTION THAT WOULD BE SUBJECT TO THE CHECK CASHERS ACT THAT IS MADE BY A PERSON WHO DOES NOT HAVE A VALID LICENSE UNDER THE ACT SHALL BE NULL AND VOID; TO AMEND REENACTED SECTION 75-67-519, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT THE PERIOD OF A DELAYED DEPOSIT CHECK SHALL BE FOR 28 DAYS INSTEAD OF UP TO 30 DAYS; TO INCREASE THE MAXIMUM FACE AMOUNT OF A DELAYED DEPOSIT CHECK AND INCREASE THE MAXIMUM AMOUNT THAT A CUSTOMER MAY HAVE OUTSTANDING AT ANY TIME; TO DIRECT THE COMMISSIONER OF BANKING TO PROVIDE FOR THE DEVELOPMENT OF A DATABASE IN WHICH LICENSEES MUST RECORD EACH DELAYED DEPOSIT TRANSACTION IN ORDER TO PREVENT VIOLATIONS OF THE MAXIMUM AMOUNT THAT MAY BE OUTSTANDING; TO AUTHORIZE THE COMMISSIONER TO CHARGE A FEE TO LICENSEES AS NECESSARY TO MAINTAIN THE DATABASE SYSTEM; TO REVISE THE FEE THAT LICENSEES MAY CHARGE FOR CASHING A DELAYED DEPOSIT CHECK FROM A PERCENTAGE OF THE FACE VALUE OF THE CHECK TO A STATED DOLLAR AMOUNT PER ONE HUNDRED DOLLARS ADVANCED; TO REQUIRE LICENSEES TO PROVIDE THE BORROWER A PAMPHLET PREPARED BY THE COMMISSIONER THAT DESCRIBES GENERAL INFORMATION ABOUT THE TRANSACTION AND ABOUT THE BORROWER'S RIGHTS AND RESPONSIBILITIES IN THE TRANSACTION, BEFORE ENTERING INTO A DELAYED DEPOSIT TRANSACTION UNDER THIS SECTION OR AN ALTERNATIVE LOAN TRANSACTION UNDER SECTION 75-67-520; TO CREATE NEW SECTION 75-67-520, MISSISSIPPI CODE OF 1972, TO AUTHORIZE LICENSEES TO MAKE UNSECURED LOANS IN AMOUNTS LESS THAN $1,500.00 AS AN ALTERNATIVE TO, AND NOT IN ADDITION TO, ANY DELAYED DEPOSIT TRANSACTION AUTHORIZED UNDER THE CHECK CASHERS ACT; TO AUTHORIZE LICENSEES TO CHARGE AN ACQUISITION CHARGE FOR MAKING THE LOAN AND AN INSTALLMENT ACCOUNT HANDLING CHARGE; TO PROVIDE FOR THE FULL OR PARTIAL REFUND OF THOSE CHARGES IF THE BORROWER REPAYS THE LOAN EARLY; TO AUTHORIZE THE LICENSEES TO CHARGE AN ADDITIONAL LATE CHARGE WHEN A SCHEDULED PAYMENT IS IN DEFAULT OR DELINQUENT; TO PROVIDE FOR THE MINIMUM AND MAXIMUM TERM OF ANY LOAN MADE UNDER THIS SECTION; TO PROVIDE THAT THE PRINCIPAL LOAN AMOUNT AND CHARGES SHALL BE REPAID IN INSTALLMENTS, WHICH SHALL BE PAYABLE AT APPROXIMATELY EQUAL PERIODIC INTERVALS OF TIME AND SHALL BE SO ARRANGED THAT NO INSTALLMENT IS SUBSTANTIALLY GREATER IN AMOUNT THAN ANY PRECEDING INSTALLMENT; TO AUTHORIZE LICENSEES TO CHARGE A BAD CHECK CHARGE IF A CHECK OR OTHER INSTRUMENT GIVEN IN FULL OR PARTIAL PAYMENT OF A LOAN IS DISHONORED BY THE DEPOSITORY INSTITUTION; TO SPECIFY THE LICENSEE'S DUTIES WITH REGARD TO MAKING AND RECEIVING PAYMENTS FOR A LOAN UNDER THIS SECTION; TO PROVIDE FOR FORFEITURE OF ALL CHARGES BY THE LICENSEE IF ANY CHARGE IN EXCESS OF THAT EXPRESSLY PERMITTED BY THIS SECTION IS CONTRACTED FOR OR RECEIVED; TO AMEND SECTION 75-67-539, MISSISSIPPI CODE OF 1972, TO EXTEND THE DATE OF THE REPEALER ON THE CHECK CASHERS ACT; AND FOR RELATED PURPOSES.

In the House of Representatives

• George Flaggs, Jr.

  Sponsor

l9n doesn't hold this bill's text yet.

In the House of Representatives Jan 10 – Feb 1

1. Jan 10Referred to the House committee on Banking and Financial Services
2. Feb 1Died in committee in the House