Senate Bill 759 aims to regulate interest rates on consumer loans by establishing a maximum annual percentage rate (APR) of 36 percent for licensed lenders. The bill amends existing statutes to clarify the definition of a consumer loan and expands the criteria under which a person is considered a lender, regardless of their title or role in the transaction. It also introduces new reporting requirements for licensed lenders, mandating them to include specific data in their annual reports, such as the number of loans with an APR exceeding 18 percent and details on refinanced loans, defaults, and repossessions.

Additionally, the bill prohibits any attempts to circumvent the new regulations through deceptive practices, such as disguising loans as other types of transactions. It retains the existing maximum interest rate of 12 percent for consumer loans after their final scheduled maturity date and specifies that violations of the 36 percent APR limit render the consumer loan unenforceable. The bill is set to take effect three months after publication, aiming to enhance consumer protection in the lending market.

Statutes affected:
Bill Text: 138.09(1g)(a)1, 138.09, 138.09(7)(bp), 422.201(3), 422.201