House File 2170 - Introduced HOUSE FILE 2170 BY KRESSIG A BILL FOR An Act relating to the notice provided to persons subject to a 1 surcharge assessed for the return of a dishonored financial 2 instrument. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5144YH (2) 84 da/nh

H.F. 2170 Section 1. Section 554.3512, subsection 2, Code 2011, is 1 amended to read as follows: 2 2. The surcharge authorized by this section subsection 3 1 shall not be assessed unless the holder clearly and 4 conspicuously posts a notice at the usual place of payment, 5 or in the billing statement of the holder, stating provides 6 notice that a surcharge will be assessed and the amount of 7 the surcharge. The notice shall be posted at the usual place 8 of payment, published on the billing statement of the holder, 9 or published on an internet site where electronic payment is 10 made. However, the surcharge shall not be assessed against the 11 maker if the reason for the dishonor of the check, draft, or 12 order is that the maker has stopped payment pursuant to section 13 554.4403 . 14 EXPLANATION 15 This bill amends a provision in the uniform commercial 16 code (Code section 554.3512) which authorizes the holder of a 17 dishonored check or similar financial instrument to assess a 18 surcharge against its maker not to exceed $30. However, in 19 order to assess the surcharge, there must be a notice posted 20 at the place of payment or published on the holder’s billing 21 statement, indicating the surcharge amount. The bill provides 22 that the same notice must be published on the internet site 23 where electronic payment is made. 24 -1- LSB 5144YH (2) 84 da/nh 1/ 1