§59-3106. Prohibited acts.
358 words·~2 min read·
/ok/title-59-professions-and-occupations/59-3106·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
A deferred deposit lender shall not:
1. Charge fees other than, or in excess of those authorized by the Deferred Deposit Lending Act;
2. Make deferred deposit loans at unlicensed locations;
3. Alter or delete the date on an instrument after it has been accepted by the lender pursuant to a deferred deposit loan;
4. Accept an undated instrument or an instrument dated on a date other than the date of the deferred deposit loan;
5. Accept an instrument unless the account on which the instrument is drawn is a legitimate, open and active account;
6. Require a debtor to provide security for the deferred deposit loan or require a debtor to provide a guaranty from another person;
7. Advance a loan amount greater than Five Hundred Dollars ($500.00) to a borrower in one deferred deposit loan transaction exclusive of the finance charge allowed in Section 3108 of this title;
8. Engage in a deferred deposit loan with a term of less than twelve
(12)days or more than forty-five
(45)days;
9. Negotiate or present an instrument for payment unless the instrument is endorsed with the actual business name of the lender;
10. Negotiate any instrument presented by a borrower if the borrower has redeemed the instrument by paying the full amount due under the deferred deposit loan;
11. Make any charge for insurance in connection with a deferred deposit loan transaction;
12. Refuse the borrower’s right to rescind the deferred deposit loan at any time between the time of the deferred deposit loan transaction and 5 p.m. of the next business day following the deferred deposit loan transaction;
13. Charge the borrower an additional finance charge or fee for cashing a lender’s business instrument, if the lender pays the proceeds from the loan transaction in the form of a business instrument;
14. Require or accept more than one dated instrument per deferred deposit loan; or
15. Refuse the borrower’s right to enter into an installment payment plan, pursuant to this act. Added by Laws 2003, c. 240, § 6, eff. Sept. 1, 2003. Amended by Laws 2004, c. 557, § 4, emerg. eff. June 10, 2004.