Senate
File
2125
-
Introduced
SENATE
FILE
2125
BY
CHELGREN
A
BILL
FOR
An
Act
relating
to
delayed
deposit
services
by
limiting
the
1
annual
percentage
rate
for
fees,
and
making
penalties
2
applicable.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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2125
Section
1.
Section
533D.9,
subsection
2,
paragraph
b,
Code
1
2018,
is
amended
to
read
as
follows:
2
b.
The
annual
percentage
rate
as
computed
pursuant
to
the
3
federal
Truth
in
Lending
Act.
The
annual
percentage
rate
shall
4
not
exceed
thirty-six
percent.
5
EXPLANATION
6
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
7
the
explanation’s
substance
by
the
members
of
the
general
assembly.
8
Current
law
allows
a
person
licensed
to
operate
a
delayed
9
deposit
services
business
to
charge
certain
fees,
charges,
10
and
penalties
in
connection
with
a
delayed
deposit
services
11
transaction.
This
bill
limits
the
annual
percentage
rate
12
applicable
to
a
delayed
deposit
services
transaction
to
36
13
percent,
as
computed
pursuant
to
the
federal
Truth
in
Lending
14
Act.
A
violation
of
the
bill
may
result
in
an
administrative
15
fine
of
not
more
than
$5,000
for
each
violation
and
the
cost
of
16
investigation.
17
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