Senate File 347 - Reprinted SENATE FILE BY COMMITTEE ON COMMERCE (SUCCESSOR TO SSB 1065) (COMPANION TO HF 500 BY COMMITTEE ON COMMERCE) Passed Senate, Date Passed House, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to the authority of creditors and credit unions 2 in consumer credit or credit union transactions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1693SV 82 5 rn/gg/14 PAG LIN 1 1 Section 1. Section 533.4, Code 2007, is amended by adding 1 2 the following new subsections: 1 3 NEW SUBSECTION. 29. Sell, to persons in the field of 1 4 membership, negotiable checks, including traveler's checks; 1 5 money orders; and other similar money transfer instruments 1 6 including international and domestic electronic fund 1 7 transfers. 1 8 NEW SUBSECTION. 30. Cash checks and money orders, and 1 9 receive international and domestic electronic fund transfers, 1 10 for persons in the field of membership. 1 11 Sec. 2. Section 537.2501, subsection 1, Code 2007, is 1 12 amended by adding the following new paragraph: 1 13 NEW PARAGRAPH. j. For a consumer loan where the amount 1 14 financed does not exceed three thousand dollars and the term 1 15 of the loan does not exceed twelve months, a bank, savings 1 16 bank, savings and loan association, or credit union 1 17 incorporated pursuant to state or federal law may charge an 1 18 additional application fee not to exceed the lesser of ten 1 19 percent of the amount financed or thirty dollars. If the loan 1 20 is not approved, the application fee shall not exceed the 1 21 lesser of ten percent of the amount applied for by the 1 22 applicant or thirty dollars. The fee permitted pursuant to 1 23 this paragraph shall not be charged in connection with a loan 1 24 used for the purchase of a motor vehicle, or for a loan where 1 25 the borrower's dwelling is used as security. 1 26 Sec. 3. IMPLEMENTATION OF LAW. 1 27 The provisions of this Act amending section 533.4 shall be 1 28 deemed to amend section 533.301, relating to powers of credit 1 29 unions, if enacted in 2007 Iowa Acts, Senate File 557, or 1 30 successor legislation, and the Code editor shall harmonize the 1 31 provisions as necessary. 1 32 SF 347 1 33 rn:rj/cc/26