Senate Bill (S)

Authored by

DIGEST

Small loans. Amends the statute concerning small loans to require a lender to conspicuously disclose, both in the lending area of each of the lender's Indiana business locations and in the loan documents provided to borrowers, the: (1) median number of days that a borrower is indebted under one or more outstanding small loans with the lender during a calendar year; and (2) median number of small loans entered into by a borrower with the lender during a calendar year; based on all small loans made at all of the lender's Indiana business locations during the most recent calendar year. Small loans. Amends the statute concerning small loans to require a lender to conspicuously disclose, both in the lending area of each of the lender's Indiana business locations and in the loan documents provided to borrowers, the: (1) median number of days that a borrower is indebted under one or more outstanding small loans with the lender during a calendar year; and (2) median number of small loans entered into by a borrower with the lender during a calendar year; based on all small loans made at all of the lender's Indiana business locations during the most recent calendar year. Provides that whenever a borrower enters into an initial small loan or a subsequent small loan with a lender (regardless of whether the subsequent small loan qualifies as a "consecutive small loan" made within seven days after a previous small loan is paid in full), the lender shall offer the borrower the option to repay the initial or subsequent small loan under an extended payment plan. (Current law requires a lender to offer a borrower the option to repay: (1) the third; and (2) any subsequent; consecutive small loan under an extended payment plan.) Provides that an extended payment plan may not require a borrower to make an installment payment in an amount that exceeds: (1) $50, if installments are paid on a biweekly or more frequent basis; or (2) $100 if installments are paid less frequently than biweekly. ... View more