BillTrack50 logo
Free Signup Login
Bill

Bill > LB474

NE LB474

NE LB474
Change and eliminate provisions relating to installment sales and installment loans and the Nebraska Money Transmitters Act, rename the Nebraska Installment Sales Act, transfer provisions of and eliminate the Nebraska Installment Loan Act, and change provisions of the Medicaid Access and Quality Act

summary

Introduced
01/21/2025
In Committee
01/23/2025
Crossed Over
04/09/2025
Passed
05/14/2025
Dead
Signed/Enacted/Adopted
05/21/2025

Introduced Session

109th Legislature

Bill Summary

A BILL FOR AN ACT relating to law; to amend sections 8-319, 8-330, 8-601, 8-820.01, 8-2701, 8-2702, 8-2703, 8-2704, 8-2705, 8-2706, 8-2707, 8-2708, 8-2709, 8-2710, 8-2711, 8-2712, 8-2713, 8-2714, 8-2715, 8-2716, 8-2717, 8-2718, 8-2719, 8-2720, 8-2721, 8-2722, 8-2723, 8-2725, 8-2726, 8-2727, 8-2728, 8-2731, 8-2732, 8-2733, 8-2734, 8-2736, 8-2737, 8-2738, 8-2739, 8-2740, 8-2741, 8-2742, 8-3027, 44-502, 44-1703, 44-4109.01, 45-101.04, 45-1,110, 45-334, 45-335, 45-336, 45-337, 45-338, 45-339, 45-340, 45-341, 45-342, 45-343, 45-344, 45-345, 45-347, 45-348, 45-350, 45-351, 45-352, 45-353, 45-355, 45-356, 45-702, 45-703, 45-705, 45-729, 45-734, 45-804, and 76-2711, Reissue Revised Statutes of Nebraska, sections 8-602, 8-2729, 8-2730, 8-2735, 8-3025, 45-346, 45-354, and 69-2103, Revised Statutes Cumulative Supplement, 2024, section 8-2724, Revised Statutes Cumulative Supplement, 2024, as amended by section 18, Legislative Bill 251, One Hundred Ninth Legislature, First Session, 2025, and section 4, Legislative Bill 527, One Hundred Ninth Legislature, First Session, 2025; to define, redefine, and eliminate terms under the Nebraska Money Transmitters Act; to change provisions of such act relating to applicability, licensure, powers and duties of the Director of Banking and Finance, confidentiality, enforcement, required reports, audits, disclosures, and records, authorized delegates, prohibited activities, money transmission procedures, refunds, receipts, solvency requirements, surety bonds, permissible investments, discipline of a license or designation, orders to cease and desist, consent orders, violations, fees, charges, and costs; to provide penalties and fines; to prohibit certain insurance policy or contract exclusions of certain providers; to change the name of the Nebraska Installment Sales Act to the Nebraska Installment Loan and Sales Act; to change, transfer, and eliminate provisions of the Nebraska Installment Loan Act and to eliminate such named act; to change provisions relating to certain taxes under the Medicaid Access and Quality Act; to harmonize provisions; to provide operative dates; to repeal the original sections; and to outright repeal sections 8-2743, 8-2744, 8-2745, 8-2746, 8-2747, 45-351.01, 45-1001, 45-1004, 45-1007, 45-1008, 45-1009, 45-1010, 45-1011, 45-1012, 45-1013, 45-1014, 45-1015, 45-1016, 45-1017, 45-1019, 45-1020, 45-1021, 45-1022, 45-1023, 45-1024, 45-1025, 45-1026, 45-1027, 45-1028, 45-1029, 45-1030, 45-1031, 45-1032, 45-1033, 45-1033.02, 45-1034, 45-1035, 45-1036, 45-1037, 45-1038, 45-1039, 45-1040, 45-1041, 45-1042, 45-1043, 45-1044, 45-1045, 45-1046, 45-1047, 45-1048, 45-1049, 45-1050, 45-1051, 45-1052, 45-1053, 45-1054, 45-1055, 45-1056, 45-1057, 45-1058, 45-1059, 45-1060, 45-1061, 45-1062, 45-1063, 45-1064, 45-1065, 45-1066, 45-1067, 45-1068, 45-1069, and 45-1070, Reissue Revised Statutes of Nebraska, and sections 45-346.01, 45-1002, 45-1003, 45-1005, 45-1006, 45-1018, and 45-1033.01, Revised Statutes Cumulative Supplement, 2024.

AI Summary

This bill consolidates, modernizes, and reforms several financial services laws in Nebraska, primarily focusing on money transmitters, installment loans, and sales contracts. Here's a comprehensive summary: This bill makes comprehensive changes to Nebraska's financial services regulations, primarily by renaming and consolidating the Nebraska Installment Sales Act and the Nebraska Installment Loan Act into the Nebraska Installment Loan and Sales Act. The bill modernizes licensing requirements, updates definitions, and establishes new standards for various financial service providers, including money transmitters, installment loan companies, and sales finance companies. Key provisions include: 1. Money Transmitters Regulations: - Establishes detailed definitions for terms like "control", "money transmission", and "authorized delegate" - Creates comprehensive licensing requirements for money transmission businesses - Mandates background checks and financial responsibility standards for applicants - Provides for examination and enforcement powers for the Department of Banking and Finance 2. Installment Loan and Sales Regulations: - Allows installment loan licensees to make loans with interest rates up to 24% per annum - Establishes clear rules for loan origination fees, insurance, and additional charges - Provides consumer protections such as restrictions on collection practices and requirements for clear loan disclosures - Allows for various types of insurance to be included with loans, with specific restrictions 3. Licensing and Compliance: - Requires licensing for installment loan and sales companies - Mandates annual renewals and background checks - Establishes procedures for license suspension, revocation, and disciplinary actions - Creates mechanisms for challenging licensing decisions 4. Consumer Protections: - Prohibits discriminatory lending practices - Restricts collection practices - Requires clear disclosures of loan terms - Provides mechanisms for borrowers to challenge unfair practices 5. Miscellaneous Changes: - Updates references in various other state laws - Repeals several older statutes related to financial services - Establishes new reporting and examination requirements The bill aims to modernize Nebraska's financial services regulations, improve consumer protections, and create more transparent and standardized practices for installment loans, sales contracts, and money transmission services.

Committee Categories

Business and Industry

Sponsors (0)

No sponsors listed

Other Sponsors (1)

Banking, Commerce and Insurance Committee (Unicameral)

Last Action

Provisions/portions of LB473 amended into LB474 by AM669 (on 06/06/2025)

bill text

bill summary

Loading...

bill summary

Loading...
Loading...