Text: S05156                            Text: S05158
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Senate Amendment 5157

Amendment Text

PAG LIN
  1  1    Amend House File 2484, as amended, passed, and
  1  2 reprinted by the House, as follows:
  1  3    #1.  Page 39, by inserting before line 28 the
  1  4 following:  
  1  5                       "DIVISION V
  1  6                DELAYED DEPOSIT SERVICES
  1  7    Sec.    .  Section 533D.9, Code 2003, is amended to
  1  8 read as follows:
  1  9    533D.9  FEE RESTRICTION – REQUIRED DISCLOSURE.
  1 10    1.  A licensee shall not charge, contract for, or
  1 11 directly or indirectly receive any interest, fees, or
  1 12 charges, except those specifically authorized by this
  1 13 section:
  1 14    a.  TRANSACTION FEE.  A licensee shall not charge a
  1 15 fee in excess of fifteen five dollars on the first one
  1 16 per hundred dollars on the face amount of a check or
  1 17 more than ten dollars on subsequent one hundred dollar
  1 18 increments on the face amount of the check for
  1 19 services provided by the licensee, or pro rata for any
  1 20 portion of one hundred dollars face value the amount
  1 21 financed.  However, the licensee may receive a minimum
  1 22 charge of five dollars when the amount financed
  1 23 exceeds seventy-five dollars, or three dollars and
  1 24 fifty cents when the amount financed exceeds fifty
  1 25 dollars.
  1 26    b.  DEFAULT FEE.  If the check is not negotiable on
  1 27 the date agreed upon, a licensee may charge a default
  1 28 fee, not to exceed fifteen dollars.  Only one such fee
  1 29 may be collected with respect to a check even if it
  1 30 has been redeposited and returned more than once, no
  1 31 matter how long the check remains unpaid.  A fee
  1 32 charged pursuant to this section is a licensee's
  1 33 exclusive remedy and charge for late payment or
  1 34 nonpayment.
  1 35    2.  A licensee shall give to the maker of the
  1 36 check, at the time any delayed deposit service
  1 37 transaction is made, or if there are two or more
  1 38 makers, to one of them, notice written in clear,
  1 39 understandable language disclosing all of the
  1 40 following:
  1 41    a.  The transaction fee to be charged for the
  1 42 transaction.
  1 43    b.  The annual percentage rate on the first hundred
  1 44 dollars on the face amount of the check which the fee
  1 45 represents, and the annual percentage rate on
  1 46 subsequent one hundred dollar increments which the fee
  1 47 represents, if different transaction.
  1 48    c.  The date on which the check will be deposited
  1 49 or presented for negotiation.
  1 50    d.  Any penalty, not to exceed fifteen dollars,
  2  1 which The default fee that the licensee will charge if
  2  2 the check is not negotiable on the date agreed upon.
  2  3 A penalty The notice shall state that the default fee
  2  4 to be charged pursuant to this section shall only be
  2  5 collected by the licensee once on a check no matter
  2  6 how long the check remains unpaid.  A penalty; and
  2  7 that a default fee to be charged pursuant to this
  2  8 section is a licensee's exclusive remedy and if a
  2  9 licensee charges a penalty default fee pursuant to
  2 10 this section no other penalties under this chapter or
  2 11 any other provision apply.
  2 12    3.  In addition to the notice required by
  2 13 subsection 2, every licensee shall conspicuously
  2 14 display a schedule of all fees, charges, and penalties
  2 15 for all services provided by the licensee authorized
  2 16 by this section.  The notice shall be posted at the
  2 17 office and every branch office of the licensee.  The
  2 18 licensee shall provide a written schedule of the fees,
  2 19 charges, interest rates, and penalties upon request.
  2 20    4.  The licensee shall make all notices and
  2 21 disclosures required under this section available in
  2 22 the languages spoken by consumers who frequent that
  2 23 location.
  2 24    Sec.    .  Section 533D.10, Code 2003, is amended
  2 25 to read as follows:
  2 26    533D.10  PROHIBITED ACTS BY LICENSEE.
  2 27    1.  A licensee shall not do any of the following:
  2 28    a.  Hold from any one maker more than two checks
  2 29 one check at any one time.
  2 30    b.  Hold from any one maker a check or checks in an
  2 31 aggregate face amount of more than five three hundred
  2 32 dollars at any one time.
  2 33    c.  Hold or agree to hold a check for more less
  2 34 than thirty-one thirty days.
  2 35    d.  Require the maker to receive payment by a
  2 36 method which that causes the maker to pay additional
  2 37 or further fees and charges to the licensee or another
  2 38 person.
  2 39    e.  Repay, refinance, or otherwise consolidate a
  2 40 postdated check transaction with the proceeds of
  2 41 another postdated check transaction made by the same
  2 42 licensee.
  2 43    f.  Receive any other charges or fees in addition
  2 44 to the fees listed in section 533D.9, subsections
  2 45 subsection 1 and 2.
  2 46    g.  The termination of a delayed deposit
  2 47 transaction either through the payment of the
  2 48 consumer's check by the drawee bank, through the
  2 49 return of the check to a consumer who redeems it for
  2 50 consideration, through expiration of the check's
  3  1 maturity date, or through any other method of
  3  2 termination.  The licensee shall not enter into
  3  3 another delayed deposit transaction with the same
  3  4 consumer for at least two days after the termination
  3  5 of a delayed deposit transaction either through the
  3  6 payment of the consumer's check by the drawee bank,
  3  7 through the return of the check to a consumer who
  3  8 redeems it for consideration, through expiration of
  3  9 the check's maturity date, or through any other method
  3 10 of termination.  However, the licensee may extend the
  3 11 term of the loan without charge.
  3 12    2.  For purposes of this section, "licensee"
  3 13 includes a person related to the licensee by common
  3 14 ownership or control, a person in whom the licensee
  3 15 has any financial interest, or any employee or agent
  3 16 of the licensee."
  3 17    #2.  Title page, line 2, by inserting after the
  3 18 word "unions," the following:  "delayed deposit
  3 19 services,".  
  3 20 
  3 21 
  3 22                               
  3 23 JOE BOLKCOM
  3 24 THOMAS G. COURTNEY
  3 25 ROGER STEWART
  3 26 HERMAN C. QUIRMBACH
  3 27 HF 2484.203 80
  3 28 kk/sh
     

Text: S05156                            Text: S05158
Text: S05100 - S05199                   Text: S Index
Bills and Amendments: General Index     Bill History: General Index

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