This bill amends existing laws regarding deferred presentment transactions and small loans in Louisiana. It introduces a new definition for the "Consumer Price Index for All Urban Consumers," which is used to calculate the maximum outstanding principal balance for these transactions. The bill raises the maximum amount that can be paid to the issuer of a check from $350 to $700 and allows licensees to charge a fee of up to 16.75% of the check's face value. Additionally, it mandates that the office of financial institutions publish the new maximum outstanding principal balance annually, based on the Consumer Price Index.

Furthermore, the bill includes a new provision that prohibits licensees from reporting any negative information about their customers to credit bureaus or credit reporting services. This aims to protect consumers from potential harm to their credit scores due to their participation in deferred presentment transactions or small loans. Overall, the bill seeks to enhance consumer protections while also updating the regulatory framework for small loans and deferred presentment transactions in Louisiana.

Statutes affected:
HB582 Original: 9:3(2), 9:4(A)(1)
HB582 Engrossed: 9:3(2), 9:4(A)(1)
HB582 Reengrossed: 9:3(2), 9:4(A)(1)
HB582 Enrolled: 9:4(A)(1)
HB582 Act 510: 9:4(A)(1)