The bill amends the Credit Reform Act of 1995 by updating definitions and terminology within the existing law. Key changes include redefining "borrower" to refer to a person that obtains credit from a regulated lender, and replacing the title of "commissioner of the financial institutions bureau" with "director of the department of insurance and financial services." Additionally, the definitions of "credit sale" and "regulated lender" have been expanded to include specific acts and regulations, such as the home improvement finance act and the motor vehicle sales finance act, while also clarifying the types of entities that qualify as regulated lenders.

Furthermore, the bill specifies that an "extension of credit" does not include certain types of credit as outlined in federal law, and it updates the language regarding "excessive fees or charges" to align with current statutes. The enactment of this amendatory act is contingent upon the passage of House Bill No. 6177. Overall, these amendments aim to modernize the language and ensure clarity in the definitions related to credit transactions in Michigan.

Statutes affected:
House Introduced Bill: 445.1852