Bill > HB241

This bill amends Georgia state law to revise provisions regarding convenience fees for electronic payment methods. The bill clarifies that a "convenience fee" is a charge that lenders or merchants can collect when customers choose to pay using electronic methods like credit cards, debit cards, or electronic funds transfers. The key changes include allowing lenders and merchants to charge a convenience fee that represents the actual cost of processing an electronic payment, with a new provision that permits a fee up to $5.00 if that amount is greater than the actual processing cost. The bill requires that merchants who charge a convenience fee must also offer an alternative payment method without a fee (such as cash, check, money order, or another electronic payment option), and must provide clear disclosure of the fee amount and its nonrefundable nature before charging it. The law applies specifically to certain types of loans and financial transactions, including installment loans, retail sales contracts, motor vehicle financing, and insurance premium finance agreements. Importantly, the bill specifies that such convenience fees do not count as interest or additional finance charges under existing regulations.

Business and Industry

https://www.legis.ga.gov/legislation/69846