Bill > HB495

This bill amends Kentucky law to modify the requirements for entering into a deferred deposit transaction, also known as a payday loan. Key provisions include: 1. Limiting the service fee that can be charged on a deferred deposit transaction to $15 per $100 on the face amount of the check, and requiring the fee to be prorated based on this maximum. 2. Requiring licensees to verify a customer's eligibility to enter into a deferred deposit transaction by accessing a state-administered database, or using an alternative verification process if the database is unavailable. 3. Increasing the fee the state financial institutions commissioner can impose for each deferred deposit database transaction, from $1 to up to $3. 4. Making various other technical and procedural amendments related to the administration and enforcement of deferred deposit transactions in Kentucky.

Business and Industry

https://apps.legislature.ky.gov/record/24RS/hb495.html