House Bill No. by Representative Lacombe aims to amend existing laws regarding deferred presentment transactions and small loans in Louisiana. The bill revises the definition of a "deferred presentment transaction" by increasing the maximum amount that can be paid to the issuer of a check from three hundred fifty dollars to seven hundred dollars. Additionally, it removes the previous cap of forty-five dollars on fees or interest that a licensee can charge in conjunction with these transactions, allowing for potentially higher charges.

Furthermore, the bill introduces a new provision requiring the Office of Financial Institutions to issue a memo starting January 1, 2026, which will authorize a new maximum outstanding principal balance for deferred presentment transactions and small loans. This new amount will be calculated based on changes in the Consumer Price Index for all Urban Consumers (CPI-U) from the previous calendar year, rounded to the nearest ten-dollar increment. Overall, the bill seeks to update the regulatory framework for these financial transactions, potentially increasing the costs for consumers while also allowing for adjustments based on economic indicators.

Statutes affected:
HB582 Original: 9:3(2), 9:4(A)(1)