HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
CHAMBER ACTION
Senate House
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5 ORIGINAL STAMP BELOW
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11 The Committee on Fiscal Policy & Resources offered the
12 following:
13
14 Substitute Amendment for Amendment (593927) (with title
15 amendment)
16 On page 1, line 18, through
17 Page 26, line 13
18 remove from the bill: everything after the enacting clause,
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20 and insert in lieu thereof:
21 Section 1. Paragraph (d) is added to subsection (4) of
22 section 560.103, Florida Statutes, and subsection (10) of that
23 section is amended, to read:
24 560.103 Definitions.--As used in the code, unless the
25 context otherwise requires:
26 (4) "Code" means the "Money Transmitters' Code,"
27 consisting of:
28 (d) Part IV of this chapter, relating to deferred
29 presentments.
30 (10) "Money transmitter" means any person located in
31 or doing business in this state who acts as a payment
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 instrument seller, foreign currency exchanger, check casher,
2 or funds transmitter, or deferred presentment provider.
3 Section 2. Subsection (4) is added to section 560.111,
4 Florida Statutes, to read:
5 560.111 Prohibited acts and practices.--
6 (4) Any person who willfully violates any provision of
7 s. 560.403, s. 560.404, s. 560.405, or s. 560.407 commits a
8 felony of the third degree, punishable as provided in s.
9 775.082, s. 775.083, or s. 775.084.
10 Section 3. Paragraphs (w) and (x) are added to
11 subsection (1) of section 560.114, Florida Statutes, to read:
12 560.114 Disciplinary actions.--
13 (1) The following actions by a money transmitter or
14 money transmitter-affiliated party are violations of the code
15 and constitute grounds for the issuance of a cease and desist
16 order, the issuance of a removal order, the denial of a
17 registration application or the suspension or revocation of
18 any registration previously issued pursuant to the code, or
19 the taking of any other action within the authority of the
20 department pursuant to the code:
21 (w) Failure to pay any fee, charge, or fine under the
22 code.
23 (x) Engaging or advertising engagement in the business
24 of a money transmitter without a registration, unless the
25 person is exempted from the registration requirements of the
26 code.
27 Section 4. Subsection (1) of section 560.118, Florida
28 Statutes, is amended to read:
29 560.118 Examinations, reports, and internal audits;
30 penalty.--
31 (1)(a) The department may conduct an examination of a
2
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 money transmitter or authorized vendor by providing not less
2 than 15 days' advance notice to the money transmitter or
3 authorized vendor. However, if the department suspects that
4 the money transmitter or authorized vendor has violated any
5 provisions of this code or any criminal laws of this state or
6 of the United States or is engaging in an unsafe and unsound
7 practice, the department may, at any time without advance
8 notice, conduct an examination of all affairs, activities,
9 transactions, accounts, business records, and assets of any
10 money transmitter or any money transmitter-affiliated party
11 for the protection of the public. For the purpose of
12 examinations, the department may administer oaths and examine
13 a money transmitter or any of its affiliated parties
14 concerning their operations and business activities and
15 affairs. The department may accept an audit or examination
16 from any appropriate regulatory agency or from an independent
17 third party with respect to the operations of a money
18 transmitter or an authorized vendor. The department may also
19 make a joint or concurrent examination with any state or
20 federal regulatory agency. The department may furnish a copy
21 of all examinations made of such money transmitter or
22 authorized vendor to the money transmitter and any appropriate
23 regulatory agency provided that such agency agrees to abide by
24 the confidentiality provisions as set forth in chapter 119.
25 (b) Persons subject to this chapter who are examined
26 shall make available to the department or its examiners the
27 accounts, records, documents, files, information, assets, and
28 matters which are in their immediate possession or control and
29 which relate to the subject of the examination. Those
30 accounts, records, documents, files, information, assets, and
31 matters not in their immediate possession shall be made
3
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 available to the department or the department's examiners
2 within 10 days after actual notice is served on such persons.
3 (c) The audit of a money transmitter required under
4 this section may be performed by an independent third party
5 that has been approved by the department or by a certified
6 public accountant authorized to do business in the United
7 States. The examination of a money transmitter or authorized
8 vendor required under this section may be performed by an
9 independent third party that has been approved by the
10 department or by a certified public accountant authorized to
11 do business in the United States. The cost of such an
12 independent examination or audit shall be directly borne by
13 the money transmitter or authorized vendor.
14 (d) The department may recover the costs of a regular
15 examination and supervision of a money transmitter or
16 authorized vendor; however, the department may not recover the
17 costs of more than one examination in any 12-month period
18 unless the department has determined that the money
19 transmitter or authorized vendor is operating in an unsafe or
20 unsound or unlawful manner.
21 (e) The department may, by rule, set a maximum per-day
22 examination cost for a regular examination. Such per-day cost
23 may be less than that required to fully compensate the
24 department for costs associated with the examination. For the
25 purposes of this section, "costs" means the salary and travel
26 expenses directly attributable to the field staff examining
27 the money transmitter or authorized vendor, and the travel
28 expenses of any supervisory staff required as a result of
29 examination findings. Reimbursement for such costs incurred
30 under this subsection must be postmarked no later than 30 days
31 after the date of receipt of a notice stating that such costs
4
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 are due. The department may levy a late payment penalty of up
2 to $100 per day or part thereof that a payment is overdue,
3 unless the late payment penalty is excused for good cause. In
4 excusing any such late payment penalty, the department may
5 consider the prior payment history of the money transmitter or
6 authorized vendor.
7 Section 5. Section 560.119, Florida Statutes, is
8 amended to read:
9 560.119 Deposit of fees and assessments.--The
10 application fees, registration renewal fees, examination fees,
11 late payment penalties, civil penalties, administrative fines,
12 and other fees or penalties provided for in the code shall, in
13 all cases, be paid directly to the department, which shall
14 deposit such proceeds into the Financial Institutions'
15 Regulatory Trust Fund. Each year, the Legislature shall
16 appropriate from the trust fund to the department sufficient
17 moneys to pay the department's costs for administration of the
18 code. The Financial Institutions' Regulatory Trust Fund is
19 subject to the service charge imposed pursuant to chapter 215.
20 Section 6. Subsection (2) of section 560.204, Florida
21 Statutes, is amended to read:
22 560.204 Requirement of registration.--
23 (2) A person registered pursuant to this part is
24 permitted to engage in the activities authorized by this part.
25 A person registered pursuant to this part may also engage in
26 the activities authorized under part III and is exempt from
27 the registration fee required by s. 560.307.
28 Section 7. Subsection (2) of section 560.205, Florida
29 Statutes, is amended to read:
30 560.205 Qualifications of applicant for registration;
31 contents.--
5
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 (2) Each application for registration must be
2 submitted under oath to the department on such forms as the
3 department prescribes by rule and must be accompanied by a
4 nonrefundable application investigation fee. Such fee may not
5 exceed $500 for each payment instrument seller or funds
6 transmitter and $50 for each authorized vendor or location
7 operating within this state and may be waived by the
8 department for just cause. The application forms shall set
9 forth such information as the department reasonably requires,
10 including, but not limited to:
11 (a) The name and address of the applicant, including
12 any fictitious or trade names used by the applicant in the
13 conduct of its business.
14 (b) The history of the applicant's material
15 litigation, criminal convictions, pleas of nolo contendere,
16 and cases of adjudication withheld.
17 (c) A description of the activities conducted by the
18 applicant, the applicant's history of operations, and the
19 business activities in which the applicant seeks to engage in
20 this state.
21 (d) A list identifying the applicant's proposed
22 authorized vendors in this state, including the location or
23 locations in this state at which the applicant and its
24 authorized vendors propose to conduct registered activities.
25 (e) A sample authorized vendor contract, if
26 applicable.
27 (f) A sample form of payment instrument, if
28 applicable.
29 (g) The name and address of the clearing financial
30 institution or financial institutions through which the
31 applicant's payment instruments will be drawn or through which
6
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 such payment instruments will be payable.
2 (h) Documents revealing that the net worth and bonding
3 requirements specified in s. 560.209 have been or will be
4 fulfilled.
5 Section 8. Section 560.206, Florida Statutes, is
6 amended to read:
7 560.206 Investigation of applicants.--Upon the filing
8 of a properly completed application, accompanied by the
9 nonrefundable application fee and other required documents,
10 the department shall investigate to ascertain whether the
11 qualifications and requirements prescribed by this part have
12 been met. If the department finds that the applicant meets
13 such qualifications and requirements, the department shall
14 issue the applicant a registration to engage in the business
15 of selling payment instruments and transmitting funds in this
16 state. Any registration issued under this part shall remain
17 effective through April 30 of the second year following the
18 date of issuance of the registration, not to exceed 24 months,
19 unless during such period the registration is in effect
20 through April 30 next following its date of issuance unless
21 otherwise specified by the department or earlier surrendered,
22 suspended, or revoked.
23 Section 9. Section 560.207, Florida Statutes, is
24 amended to read:
25 560.207 Renewal of registration; registration fee.--
26 (1) Registration may be renewed for a 24-month period
27 or the remainder of any such period without proration
28 following the date of its expiration, upon the filing with the
29 department of an application and other statements and
30 documents as may reasonably be required of registrants by the
31 department. However, the registrant must remain qualified for
7
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 such registration under the provisions of this part.
2 (2) All registration renewal applications shall be
3 accompanied by a renewal fee not to exceed $1,000, unless such
4 fee is waived by the department. All renewal applications must
5 be filed on or after January 1 of the year in which the
6 existing registration expires, but before the expiration date
7 of April 30 March 31. If the renewal application is filed
8 prior to the expiration date of an existing registration, no
9 late investigation fee shall be paid in connection with such
10 renewal application. If the renewal application is filed
11 within 60 calendar days after the expiration date of an
12 existing registration, then, in addition to the $1,000 renewal
13 fee, the renewal application shall be accompanied by a
14 nonrefundable late fee of $500 investigation fee pursuant to
15 s. 560.205(2). If the registrant has not filed a renewal
16 application within 60 calendar days after the expiration date
17 of an existing registration, a new application shall be filed
18 with the department pursuant to s. 560.205.
19 (3) Every registration renewal application shall also
20 include a 2-year registration renewal fee of $50 for each
21 authorized vendor or location operating within this state or,
22 at the option of the registrant, a total 2-year renewal fee of
23 $20,000 $5,000 may be paid to renew the registration of
24 register all such locations currently registered at the time
25 of renewal operating within this state.
26 Section 10. Section 560.208, Florida Statutes, is
27 amended to read:
28 560.208 Conduct of business.--
29 (1) A registrant may conduct its business at one or
30 more locations within this state through branches or by means
31 of authorized vendors, as designated by the registrant.
8
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 (2) Within 60 days after the date a registrant either
2 opens a location within this state or authorizes an authorized
3 vendor to operate on the registrant's behalf within this
4 state, the registrant shall notify the department on a form
5 prescribed by the department by rule. The notification shall
6 be accompanied by a nonrefundable $50 fee for each authorized
7 vendor or location. Each notification shall also be
8 accompanied by a financial statement demonstrating compliance
9 with s. 560.209(1), unless compliance has been demonstrated by
10 a financial statement filed with the registrant's quarterly
11 report in compliance with s. 560.118(2). The financial
12 statement must be dated within 90 days of the date of
13 designation of the authorized vendor or location. This
14 subsection shall not apply to any authorized vendor or
15 location that has been designated by the registrant before
16 October 1, 2001.
17 (3) Within 60 days after the date a registrant closes
18 a location within this state or withdraws authorization for an
19 authorized vendor to operate on the registrant's behalf within
20 this state, the registrant shall notify the department on a
21 form prescribed by the department by rule.
22 Section 11. Section 560.307, Florida Statutes, is
23 amended to read:
24 560.307 Fees.--
25 (1) The application shall be filed together with a
26 nonrefundable application investigation fee of that shall be
27 established by department rule; however, the investigation fee
28 may not exceed $250 for each check casher or foreign currency
29 exchanger and $50 for each authorized vendor or location
30 operating within this state. Such investigation fee shall
31 satisfy the fee requirement for the first year of registration
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 or the remaining part thereof.
2 (2) Within 60 days after the date a registrant either
3 opens a location within this state or authorizes an authorized
4 vendor to operate on the registrant's behalf within this
5 state, the registrant shall notify the department on a form
6 prescribed by the department by rule. The notification shall
7 be accompanied by a nonrefundable $50 fee for each authorized
8 vendor or location. This subsection shall not apply to any
9 authorized vendor or location that has been designated by the
10 registrant before October 1, 2001.
11 (3) Within 60 days after the date a registrant closes
12 a location within this state or withdraws authorization for an
13 authorized vendor to operate on the registrant's behalf within
14 this state, the registrant shall notify the department on a
15 form prescribed by the department by rule.
16 Section 12. Section 560.308, Florida Statutes, is
17 amended to read:
18 560.308 Registration terms; renewal; renewal fees.--
19 (1) Registration pursuant to this part shall remain
20 effective through the remainder of the second calendar year
21 following its date of issuance unless during such calendar
22 year the registration is surrendered, suspended, or revoked.
23 (2) The department shall renew registration upon
24 receipt of a completed renewal form and payment of a
25 nonrefundable renewal fee, as provided by rule, not to exceed
26 $500. The completed renewal form and payment of the renewal
27 fee shall occur on or after June 1 of the year in which the
28 existing registration expires.
29 (3) In addition to the renewal fee required by
30 subsection (2), each registrant must register and pay a 2-year
31 $50 registration renewal fee of $50 for each authorized vendor
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HOUSE AMENDMENT
Bill No. HB 213
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1 or location, including any authorized vendors, operating
2 within this state or, at the option of the registrant, a total
3 2-year renewal fee of $20,000 $5,000 may be paid to renew the
4 registration of register all such operating locations
5 currently registered at the time of renewal within this state.
6 (4) Registration that is not renewed on or before the
7 expiration date of the registration period automatically
8 expires. A renewal application and fee, and a late fee of $250
9 an investigation fee pursuant to s. 560.307, must be filed
10 within 60 calendar days after the expiration of an existing
11 registration in order for the registration to before
12 registration may be reinstated. If the registrant has not
13 filed a renewal application within 60 days after the
14 expiration date of an existing registration, a new application
15 must be filed with the department pursuant to s. 560.307.
16 Section 13. Part IV of chapter 560, Florida Statutes,
17 consisting of sections 560.401, 560.402, 560.403, 560.404,
18 560.405, 560.406, 560.407, and 560.408, Florida Statutes, is
19 created to read:
20 PART IV
21 DEFERRED PRESENTMENT
22 560.401 Short title.--This part may be cited as the
23 "Deferred Presentment Act."
24 560.402 Definitions.--In addition to the definitions
25 provided in ss. 560.103, 560.202, and 560.302 and unless
26 otherwise clearly indicated by the context, for purposes of
27 this part:
28 (1) "Affiliate" means a person who directly or
29 indirectly through one or more intermediaries controls or is
30 controlled by, or is under common control with, a deferred
31 presentment provider.
11
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 (2) "Business day" means the hours during a particular
2 day during which a deferred presentment provider customarily
3 conducts business, not to exceed 15 consecutive hours during
4 that day.
5 (3) "Days" means calendar days.
6 (4) "Deferment period" means the number of days a
7 deferred presentment provider agrees to defer depositing or
8 presenting a payment instrument.
9 (5) "Deferred presentment provider" means a person who
10 engages in a deferred presentment transaction and is
11 registered under part II or part III of the code and has filed
12 a declaration of intent with the department.
13 (6) "Deferred presentment transaction" means providing
14 currency or a payment instrument in exchange for a person's
15 check and agreeing to hold that person's check for a period of
16 time prior to presentment, deposit, or redemption.
17 (7) "Drawer" means any person who writes a personal
18 check and upon whose account the check is drawn.
19 (8) "Rollover" means the termination or extension of
20 an existing deferred presentment agreement by the payment of
21 any additional fee and the continued holding of the check, or
22 the substitution of a new check drawn by the drawer pursuant
23 to a new deferred presentment agreement.
24 (9) "Fee" means the fee authorized for the deferral of
25 the presentation of a check pursuant to this part.
26 (10) "Termination of an existing deferred presentment
27 agreement" means that the check that is the basis for an
28 agreement is redeemed by the drawer by payment in full in
29 cash, or is deposited and the deferred presentment provider
30 has evidence that such check has cleared. A verification of
31 sufficient funds in the drawer's account by the deferred
12
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 presentment provider shall not be sufficient evidence to deem
2 the existing deferred deposit transaction to be terminated.
3 (11) "Extension of an existing deferred presentment
4 agreement" means that a deferred presentment transaction is
5 continued by the drawer paying any additional fees and the
6 deferred presentment provider continues to hold the check for
7 another period of time prior to deposit, presentment, or
8 redemption.
9 560.403 Requirements of registration; declaration of
10 intent.--
11 (1) No person, unless otherwise exempt from this
12 chapter, shall engage in a deferred presentment transaction
13 unless the person is registered under the provisions of part
14 II or part III and has on file with the department a
15 declaration of intent to engage in deferred presentment
16 transactions. The declaration of intent shall be under oath
17 and on such form as the department prescribes by rule. The
18 declaration of intent shall be filed together with a
19 nonrefundable filing fee of $1,000. Any person who is
20 registered under part II or part III on the effective date of
21 this act and intends to engage in deferred presentment
22 transactions shall have 60 days after the effective date of
23 this act to file a declaration of intent.
24 (2) A registrant under this part shall renew his or
25 her intent to engage in the business of deferred presentment
26 transactions or to act as a deferred presentment provider upon
27 renewing his or her registration under part II or part III and
28 shall do so by indicating his or her intent on the renewal
29 form and by submitting a nonrefundable deferred presentment
30 provider renewal fee of $1,000, in addition to any fees
31 required for renewal of registration under part II or part
13
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HOUSE AMENDMENT
Bill No. HB 213
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1 III.
2 (3) A registrant under this part who fails to timely
3 renew his or her intent to engage in the business of deferred
4 presentment transactions or to act as a deferred presentment
5 provider shall immediately cease to engage in the business of
6 deferred presentment transactions or to act as a deferred
7 presentment provider.
8 (4) The notice of intent of a registrant under this
9 part who fails to timely renew his or her intent to engage in
10 the business of deferred presentment transactions or to act as
11 a deferred presentment provider on or before the expiration
12 date of the registration period automatically expires. A
13 renewal declaration of intent and fee, and a late fee of $500,
14 must be filed within 60 calendar days after the expiration of
15 an existing registration in order for the declaration of
16 intent to be reinstated. If the registrant has not filed a
17 renewal declaration of intent within 60 days after the
18 expiration date of an existing registration, a new declaration
19 must be filed with the department.
20 (5) No person, other than a financial institution as
21 defined in s. 655.005, shall be exempt from registration and
22 declaration if such person engages in deferred presentment
23 transactions, regardless of whether such person is currently
24 exempt from registration under any provision of this code.
25 560.404 Requirements for deferred presentment
26 transactions.--
27 (1) Every deferred presentment transaction shall be
28 documented in a written agreement signed by both the deferred
29 presentment provider and the drawer.
30 (2) The deferred presentment transaction agreement
31 shall be executed on the day the deferred presentment provider
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HOUSE AMENDMENT
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1 furnishes currency or a payment instrument to the drawer.
2 (3) Each written agreement shall contain the following
3 information, in addition to any information the department
4 requires by rule:
5 (a) The name or trade name, address, and telephone
6 number of the deferred presentment provider and the name and
7 title of the person who signs the agreement on behalf of the
8 deferred presentment provider.
9 (b) The date the deferred presentment transaction was
10 made.
11 (c) The amount of the drawer's check.
12 (d) The length of deferral period.
13 (e) The last day of the deferment period.
14 (f) The address and telephone number of the
15 department.
16 (g) A clear description of the drawer's payment
17 obligations under the deferred presentment transaction.
18 (h) The transaction number assigned by the
19 department's database.
20 (4) Every deferred presentment provider shall furnish
21 to the drawer a copy of the deferred presentment transaction
22 agreement.
23 (5) The face amount of a check taken for deferred
24 presentment may not exceed $500 exclusive of the fees allowed
25 by this part.
26 (6) No deferred presentment provider or its affiliate
27 shall charge fees in excess of 10 percent of the currency or
28 payment instrument provided. However, a verification fee may
29 be charged in accordance with s. 560.309(4) and the rules
30 adopted pursuant to the code. The 10-percent fee may not be
31 applied to the verification fee. A deferred presentment
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1 provider may charge only those fees specifically authorized in
2 this section.
3 (7) The fees authorized by this section may not be
4 collected before the drawer's check is presented or redeemed.
5 (8) No deferred presentment agreement shall be for a
6 term in excess of 31 days or less than 7 days.
7 (9) No deferred presentment provider shall require a
8 person to provide any additional security for the deferred
9 presentment transaction or any extension or require a person
10 to provide any additional guaranty from another person.
11 (10) A deferred presentment provider shall not include
12 any of the following provisions in any written agreement:
13 (a) A hold harmless clause;
14 (b) A confession of judgment clause;
15 (c) Any assignment of or order for payment of wages or
16 other compensation for services;
17 (d) A provision in which the drawer agrees not to
18 assert any claim or defense arising out of the agreement; or
19 (e) A waiver of any provision of this part.
20 (11) Each deferred presentment provider shall
21 immediately provide the drawer with the full amount of any
22 check to be held, less only the fees permitted under this
23 section.
24 (12) The deferred presentment agreement and drawer's
25 check shall bear the same date, and the number of days of the
26 deferment period shall be calculated from this date. No
27 deferred presentment provider or person may alter or delete
28 the date on any written agreement or check held by the
29 deferred presentment provider.
30 (13) For each deferred presentment transaction, the
31 deferred presentment provider must comply with the disclosure
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 requirements of 12 C.F.R., Part 226, the federal
2 Truth-in-Lending Act, and Regulation Z of the Board of
3 Governors of the Federal Reserve Board. A copy of the
4 disclosure must be provided to the drawer at the time the
5 deferred presentment transaction is initiated.
6 (14) No deferred presentment provider or its affiliate
7 may accept or hold an undated check or a check dated on a date
8 other than the date on which the deferred presentment provider
9 agreed to hold the check and signed the deferred presentment
10 transaction agreement.
11 (15) Every deferred presentment provider shall hold
12 the drawer's check for the agreed number of days, unless the
13 drawer chooses to redeem the check before the agreed
14 presentment date.
15 (16) Proceeds in a deferred presentment transaction
16 may be made to the drawer in the form of the deferred
17 presentment provider's payment instrument if the deferred
18 presentment provider is registered under part II; however, no
19 additional fee may be charged by a deferred presentment
20 provider or its affiliate for issuing or cashing the deferred
21 presentment provider's payment instrument.
22 (17) No deferred presentment provider may require the
23 drawer to accept its payment instrument in lieu of currency.
24 (18) No deferred presentment provider or its affiliate
25 may engage in the rollover of any deferred presentment
26 agreement. A deferred presentment provider shall not redeem,
27 extend, or otherwise consolidate a deferred presentment
28 agreement with the proceeds of another deferred presentment
29 transaction made by the same or an affiliated deferred
30 presentment provider.
31 (19) A deferred presentment provider may not enter
17
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HOUSE AMENDMENT
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1 into a deferred presentment transaction with a person who has
2 an outstanding deferred presentment transaction with that
3 provider or with any other deferred presentment provider, or
4 with a person whose previous deferred presentment transaction
5 with that provider or with any other provider has been
6 terminated for less than 24 hours. The deferred presentment
7 provider must verify such information as follows:
8 (a) The deferred presentment provider shall maintain a
9 common database and shall verify whether that deferred
10 presentment provider or an affiliate has an outstanding
11 deferred presentment transaction with a particular person or
12 has terminated a transaction with that person within the
13 previous 24 hours.
14 (b) The deferred presentment provider shall access the
15 department's database established pursuant to subsection (23)
16 and shall verify whether any other deferred presentment
17 provider has an outstanding deferred presentment transaction
18 with a particular person or has terminated a transaction with
19 that person within the previous 24 hours. Prior to the time
20 that the department has implemented such a database, the
21 deferred presentment provider may rely upon the written
22 verification of the drawer as provided in subsection (20).
23 (20) A deferred presentment provider shall provide the
24 following notice in a prominent place on each deferred
25 presentment agreement in at least 14-point type in
26 substantially the following form and must obtain the signature
27 of the drawer where indicated:
28
29 NOTICE
30 1. STATE LAW PROHIBITS YOU FROM HAVING MORE
31 THAN ONE DEFERRED PRESENTMENT AGREEMENT AT ANY
18
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 ONE TIME. STATE LAW ALSO PROHIBITS YOU FROM
2 ENTERING INTO A DEFERRED PRESENTMENT AGREEMENT
3 WITHIN 24 HOURS OF TERMINATING ANY PREVIOUS
4 DEFERRED PRESENTMENT AGREEMENT. FAILURE TO OBEY
5 THIS LAW COULD CREATE SEVERE FINANCIAL HARDSHIP
6 FOR YOU AND YOUR FAMILY.
7
8 YOU MUST SIGN THE FOLLOWING STATEMENT:
9 I DO NOT HAVE AN OUTSTANDING DEFERRED
10 PRESENTMENT AGREEMENT WITH ANY DEFERRED
11 PRESENTMENT PROVIDER AT THIS TIME. I HAVE NOT
12 TERMINATED A DEFERRED PRESENTMENT AGREEMENT
13 WITHIN THE PAST 24 HOURS.
14 (Signature of Drawer)
15
16 2. YOU CANNOT BE PROSECUTED IN CRIMINAL COURT
17 FOR A CHECK WRITTEN UNDER THIS AGREEMENT, BUT
18 ALL LEGALLY AVAILABLE CIVIL MEANS TO ENFORCE
19 THE DEBT MAY BE PURSUED AGAINST YOU.
20
21 3. STATE LAW PROHIBITS A DEFERRED PRESENTMENT
22 PROVIDER (THIS BUSINESS) FROM ALLOWING YOU TO
23 "ROLL OVER" YOUR DEFERRED PRESENTMENT
24 TRANSACTION. THIS MEANS THAT YOU CANNOT BE
25 ASKED OR REQUIRED TO PAY AN ADDITIONAL FEE IN
26 ORDER TO FURTHER DELAY THE DEPOSIT OR
27 PRESENTMENT OF YOUR CHECK FOR PAYMENT. IF YOU
28 INFORM THE PROVIDER IN PERSON THAT YOU CANNOT
29 COVER THE CHECK OR PAY IN FULL THE AMOUNT OWING
30 AT THE END OF THE TERM OF THIS AGREEMENT, YOU
31 WILL RECEIVE A GRACE PERIOD EXTENDING THE TERM
19
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 OF THE AGREEMENT FOR AN ADDITIONAL 60 DAYS
2 AFTER THE ORIGINAL TERMINATION DATE, WITHOUT
3 ANY ADDITIONAL CHARGE. THE DEFERRED PRESENTMENT
4 PROVIDER SHALL REQUIRE THAT YOU, AS A CONDITION
5 OF OBTAINING THE GRACE PERIOD, COMPLETE
6 CONSUMER CREDIT COUNSELING PROVIDED BY AN
7 AGENCY INCLUDED ON THE LIST THAT WILL BE
8 PROVIDED TO YOU BY THIS PROVIDER. YOU MAY ALSO
9 AGREE TO COMPLY WITH AND ADHERE TO A REPAYMENT
10 PLAN APPROVED BY THAT AGENCY. IF YOU DO NOT
11 COMPLY WITH AND ADHERE TO A REPAYMENT PLAN
12 APPROVED BY THAT AGENCY, WE MAY DEPOSIT OR
13 PRESENT YOUR CHECK FOR PAYMENT AND PURSUE ALL
14 LEGALLY AVAILABLE CIVIL MEANS TO ENFORCE THE
15 DEBT AT THE END OF THE 60-DAY GRACE PERIOD.
16
17 (21) The deferred presentment provider may not deposit
18 or present the drawer's check if the drawer informs the
19 provider in person that the drawer cannot redeem or pay in
20 full in cash the amount due and owing the deferred presentment
21 provider. No additional fees or penalties may be imposed on
22 the drawer by virtue of any misrepresentation made by the
23 drawer as to the sufficiency of funds in the drawer's account.
24 In no event shall any additional fees be added to the amounts
25 due and owing to the deferred presentment provider.
26 (22)(a) If, by the end of the deferment period, the
27 drawer informs the deferred presentment provider in person
28 that the drawer cannot redeem or pay in full in cash the
29 amount due and owing the deferred presentment provider, the
30 deferred presentment provider shall provide a grace period
31 extending the term of the agreement for an additional 60 days
20
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 after the original termination date, without any additional
2 charge. The provider shall require that as a condition of
3 providing this grace period, that within the first 7 days of
4 the grace period the drawer make an appointment with a
5 consumer credit counseling agency within 7 days after the end
6 of the deferment period and complete the counseling by the end
7 of the grace period. The drawer may agree to, comply with, and
8 adhere to a repayment plan approved by the counseling agency.
9 If the drawer agrees to comply with and adhere to a repayment
10 plan approved by the counseling agency, the provider is also
11 required to comply with and adhere to that repayment plan. The
12 deferred presentment provider may not deposit or present the
13 drawer's check for payment before the end of the 60-day grace
14 period unless the drawer fails to comply with such conditions
15 or the drawer fails to notify the provider of such compliance.
16 Before each deferred presentment transaction, the provider may
17 verbally advise the drawer of the availability of the grace
18 period consistent with the provisions of the written notice in
19 subsection (20), and shall not discourage the drawer from
20 using the grace period.
21 (b) At the commencement of the grace period, the
22 deferred presentment provider shall provide the drawer:
23 1. Verbal notice of the availability of the grace
24 period consistent with the written notice in subsection (20).
25 2. A list of approved consumer credit counseling
26 agencies prepared by the department. The department shall
27 prepare the list by October 1, 2001. The department list shall
28 include nonprofit consumer credit counseling agencies
29 affiliated with the National Foundation for Credit Counseling
30 which provide credit counseling services to Florida residents
31 in person, by telephone, or through the internet. The
21
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 department list must include phone numbers for the agencies,
2 the counties served by the agencies, and indicate the agencies
3 that provide telephone counseling and those that provide
4 internet counseling. The department shall update the list at
5 least once each year.
6 3. The following notice in at least 14-point type in
7 substantially the following form:
8
9 AS A CONDITION OF OBTAINING A GRACE PERIOD
10 EXTENDING THE TERM OF YOUR DEFERRED PRESENTMENT
11 AGREEMENT FOR AN ADDITIONAL 60 DAYS, UNTIL
12 [date], WITHOUT ANY ADDITIONAL FEES, YOU MUST
13 COMPLETE CONSUMER CREDIT COUNSELING PROVIDED BY
14 AN AGENCY INCLUDED ON THE LIST THAT WILL BE
15 PROVIDED TO YOU BY THIS PROVIDER. YOU MAY ALSO
16 AGREE TO COMPLY WITH AND ADHERE TO A REPAYMENT
17 PLAN APPROVED BY THE AGENCY. THE COUNSELING MAY
18 BE IN-PERSON, BY TELEPHONE, OR THROUGH THE
19 INTERNET. YOU MUST NOTIFY US WITHIN SEVEN (7)
20 DAYS, BY [DATE], THAT YOU HAVE MADE AN
21 APPOINTMENT WITH SUCH A CONSUMER CREDIT
22 COUNSELING AGENCY. YOU MUST ALSO NOTIFY US
23 WITHIN SIXTY (60) DAYS, BY [DATE], THAT YOU
24 HAVE COMPLETED THE CONSUMER CREDIT COUNSELING.
25 WE MAY VERIFY THIS INFORMATION WITH THE AGENCY.
26 IF YOU FAIL TO PROVIDE EITHER THE 7-DAY OR
27 60-DAY NOTICE, OR IF YOU HAVE NOT MADE THE
28 APPOINTMENT OR COMPLETED THE COUNSELING WITHIN
29 THE TIME REQUIRED, WE MAY DEPOSIT OR PRESENT
30 YOUR CHECK FOR PAYMENT AND PURSUE ALL LEGALLY
31 AVAILABLE CIVIL MEANS TO ENFORCE THE DEBT.
22
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1
2 (c) If a drawer completes an approved payment plan,
3 the deferred presentment provider shall pay one-half of the
4 drawer's fee for the deferred presentment agreement to the
5 consumer credit counseling agency.
6 (23) On or before March 1, 2002, the department shall
7 implement a common database with real-time access through an
8 internet connection for deferred presentment providers, as
9 provided in this subsection. The database must be accessible
10 to the department and the deferred presentment providers to
11 verify whether any deferred presentment transactions are
12 outstanding for a particular person. Deferred presentment
13 providers shall submit such data before entering into each
14 deferred presentment transaction in such format as the
15 department shall require by rule, including the drawer's name,
16 social security number or employment authorization alien
17 number, address, driver's license number, amount of the
18 transaction, date of transaction, the date that the
19 transaction is closed, and such additional information as is
20 required by the department. The department may impose a fee
21 not to exceed $1 per transaction for data required to be
22 submitted by a deferred presentment provider. A deferred
23 presentment provider may rely on the information contained in
24 the database as accurate and is not subject to any
25 administrative penalty or civil liability as a result of
26 relying on inaccurate information contained in the database.
27 The department may adopt rules to administer and enforce the
28 provisions of this section and to assure that the database is
29 used by deferred presentment providers in accordance with this
30 section.
31 560.405 Deposit; redemption.--
23
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 (1) The deferred presentment provider or its affiliate
2 shall not present the drawer's check prior to the agreed-upon
3 date of presentment, as reflected in the deferred presentment
4 transaction agreement.
5 (2) Before a deferred presentment provider presents
6 the drawer's check, the check shall be endorsed with the
7 actual name under which the deferred presentment provider is
8 doing business.
9 (3) Notwithstanding the provisions of subsection (1),
10 in lieu of presentment, a deferred presentment provider may
11 allow the check to be redeemed at any time upon payment to the
12 deferred presentment provider in the amount of the face amount
13 of the drawer's check. However, payment may not be made in the
14 form of a personal check. Upon redemption, the deferred
15 presentment provider shall return the drawer's check that was
16 being held and provide a signed, dated receipt showing that
17 the drawer's check has been redeemed.
18 (4) No drawer can be required to redeem his or her
19 check prior to the agreed-upon date; however, the drawer may
20 choose to redeem the check before the agreed-upon presentment
21 date.
22 560.406 Worthless checks.--If a check is returned to a
23 deferred presentment provider from a payor financial
24 institution due to lack of funds, a closed account, or a
25 stop-payment order, the deferred presentment provider may seek
26 collection pursuant to s. 68.065, except a deferred
27 presentment provider shall not be entitled to collect treble
28 damages pursuant s. 68.065. The notice sent by a deferred
29 deposit provider pursuant to s. 68.065 shall not include any
30 references to treble damages and must clearly state that the
31 deferred presentment provider is not entitled to recover such
24
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 damages. Except as otherwise provided in this part, an
2 individual who issues a personal check to a deferred
3 presentment provider under a deferred presentment agreement is
4 not subject to criminal penalty. If a check is returned to a
5 deferred presentment provider from a payor financial
6 institution due to insufficient funds, a closed account, or a
7 stop-payment order, the deferred presentment provider may
8 pursue all legally available civil remedies to collect the
9 check, including, but not limited to, the imposition of all
10 charges imposed on the deferred presentment provider by any
11 financial institution. In its collection practices, a deferred
12 presentment provider shall comply with the prohibitions
13 against harassment or abuse, false or misleading
14 representations, and unfair practices which are contained in
15 ss. 806, 807, and 808 of the Fair Debt Collections Practices
16 Act, 15 U.S.C. ss. 1692d, 1692e, 1692f. A violation of this
17 act is a deceptive and unfair trade practice and constitutes a
18 violation of the Deceptive and Unfair Trade Practices Act,
19 part II, of chapter 501. In addition, a deferred presentment
20 provider shall comply with the applicable provisions of part
21 VI of chapter 559, the Consumer Collection Practices Act,
22 including, but not limited to, the provisions of s. 559.77.
23 560.407 Records.--
24 (1) Each registrant under this part must maintain all
25 books, accounts, records, and documents necessary to determine
26 the registrant's compliance with the provisions of the code.
27 Such books, accounts, records, and documents shall be retained
28 for a period of at least 3 years unless a longer period is
29 expressly required by the department, the laws of this state,
30 or any federal law.
31 (2) The records required to be maintained by the code
25
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 or any rule adopted pursuant thereto may be maintained by the
2 registrant at any location within this state, provided that
3 the registrant notifies the department, in writing, of the
4 location of the records in its application or otherwise.
5 (3) A registrant shall make records available to the
6 department for examination and investigation in this state, as
7 permitted by the code, within 7 days after receipt of a
8 written request.
9 (4) The original of any record of a registrant
10 includes the data or other information comprising a record
11 stored or transmitted in or by means of any electronic,
12 computerized, mechanized, or other information storage or
13 retrieval or transmission system or device that can upon
14 request generate, regenerate, or transmit the precise data or
15 other information comprising the record. An original also
16 includes the visible data or other information so generated,
17 regenerated, or transmitted if it is legible or can be made
18 legible by enlargement or other process.
19 560.408 Legislative intent; report.--
20 (1) It is the intent of the Legislature to provide for
21 the regulation of deferred presentment transactions. It is
22 further the intent of the Legislature to prevent fraud, abuse,
23 and other unlawful activity associated with deferred
24 presentment transactions in part by:
25 (a) Providing for sufficient regulatory authority and
26 resources to monitor deferred presentment transactions.
27 (b) Preventing rollovers.
28 (c) Regulating the allowable fees charged in
29 connection with a deferred presentment transaction.
30 (2) The Comptroller shall submit a report to the
31 President of the Senate and the Speaker of the House of
26
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 Representatives on January 1, 2003, and January 1, 2004,
2 containing findings and conclusions concerning the
3 effectiveness of this act in preventing fraud, abuse, and
4 other unlawful activity associated with deferred presentment
5 transactions. The report may contain legislative
6 recommendations addressing the prevention of fraud, abuse, and
7 other unlawful activity associated with deferred presentment
8 transactions. Prior to filing the report, the Comptroller
9 shall consult with the Attorney General for the purpose of
10 including any recommendations or concerns expressed by the
11 Attorney General.
12 Section 14. This act shall take effect October 1,
13 2001.
14
15
16 ================ T I T L E A M E N D M E N T ===============
17 And the title is amended as follows:
18 On page 26, line 22, through page 28, line 10,
19 remove from the title of the bill: all of said lines,
20
21 and insert in lieu thereof:
22 An act relating to the Money Transmitter's
23 Code; amending s. 560.103, F.S.; revising
24 definitions; amending s. 560.111, F.S.;
25 providing penalties for specified violations of
26 the deferred presentment act; amending s.
27 560.114, F.S.; providing additional grounds for
28 disciplinary action; providing for continuation
29 of certain administrative proceedings under
30 certain circumstances; amending s. 560.118,
31 F.S.; eliminating the authority to assess
27
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 examination fees; amending s. 560.119, F.S.;
2 revising the deposit of fees and assessments;
3 amending s. 560.204, F.S.; clarifying exemption
4 from registration fees under part III of ch.
5 560, F.S.; amending s. 560.205, F.S.; adding a
6 fee for authorized vendor or branch locations;
7 amending s. 560.206, F.S.; amending the
8 registration period; amending s. 560.207, F.S.;
9 conforming and clarifying the fee for late
10 renewals; amending the renewal application fee;
11 amending s. 560.208, F.S.; requiring
12 notification of vendor or branch locations;
13 requiring a nonrefundable fee and financial
14 statement; amending s. 560.307, F.S.; applying
15 the application fee to check cashers and
16 foreign currency exchanges and adding a fee for
17 authorized vendors or branch locations;
18 requiring notification of vendor or branch
19 locations; amending s. 560.308, F.S.;
20 increasing the registration and renewal fee for
21 each registrant; clarifying the fee to be
22 charged for late renewal; creating part IV, ch.
23 560, F.S., consisting of ss. 560.401, 560.402,
24 560.403, 560.404, 560.405, 560.406, 560.407,
25 and 560.408, F.S.; providing a short title;
26 providing definitions; providing registration
27 requirements for deferred presentment
28 transactions; providing for filing fees;
29 providing limitations; specifying requirements
30 and limitations for engaging in deferred
31 presentment transactions; providing
28
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HOUSE AMENDMENT
Bill No. HB 213
Amendment No. ___ (for drafter's use only)
1 prohibitions; providing for fees; providing
2 limitations; requiring certain notice;
3 specifying criteria and requirements for
4 deposit and redemption of a drawer's check;
5 providing procedures for recovering damages for
6 worthless checks; requiring maintenance of
7 records for a time certain; providing
8 legislative intent; requiring the Comptroller
9 to submit a report to the President of the
10 Senate and the Speaker of the House of
11 Representatives concerning the effectiveness of
12 this act; providing an effective date.
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