Signed by Governor Butch Otter

Vote Smart's Synopsis:

Vote to pass a bill that amends the provisions of payday loans

Highlights:

• Requires a payday lender to enter into an extended payment plan upon the request of the borrower to enter into an extended payment plan (Sec. 4).

• Authorizes a borrower to enter into 1 extended payment plan for a payday loan during a consecutive 12 month period with the following extended payment plan provisions (Sec. 4):
• The plan is executed prior to the date that the payday loan is due;
• The plan allows for at least 4 equal payments over a time period of at least 60 days;
• The plan does not increase the borrower’s obligations from the original payday loan; and
• The payday lender does not charge interest or include additional fees as part of the plan.   

• Prohibits a payday lender from making a payday loan that exceeds 25 percent of a borrower’s gross monthly income (Sec. 3).

• Requires a payday lender to obtain income information from a borrower at least once every 12 months (Sec. 3).

• Prohibits a payday lender from attempting to deposit a borrower’s check more than 2 times (Sec. 2).

Full Bill Text

Vote Smart's Synopsis:

Vote to pass a bill that amends the provisions of payday loans

Highlights:

• Requires a payday lender to enter into an extended payment plan upon the request of the borrower to enter into an extended payment plan (Sec. 4).

• Authorizes a borrower to enter into 1 extended payment plan for a payday loan during a consecutive 12 month period with the following extended payment plan provisions (Sec. 4):
• The plan is executed prior to the date that the payday loan is due;
• The plan allows for at least 4 equal payments over a time period of at least 60 days;
• The plan does not increase the borrower’s obligations from the original payday loan; and
• The payday lender does not charge interest or include additional fees as part of the plan.   

• Prohibits a payday lender from making a payday loan that exceeds 25 percent of a borrower’s gross monthly income (Sec. 3).

• Requires a payday lender to obtain income information from a borrower at least once every 12 months (Sec. 3).

• Prohibits a payday lender from attempting to deposit a borrower’s check more than 2 times (Sec. 2).

Full Bill Text