ENROLLED
       2018 Legislature                                   CS for SB 386
       
       
       
       
       
       
                                                              2018386er
    1  
    2         An act relating to consumer finance; amending s.
    3         516.031, F.S.; revising a provision relating to the
    4         maximum delinquency charge that may be charged for
    5         consumer finance loans; amending s. 516.36, F.S.;
    6         revising a requirement relating to installment
    7         repayments for consumer finance loans; providing an
    8         effective date.
    9          
   10  Be It Enacted by the Legislature of the State of Florida:
   11  
   12         Section 1. Paragraph (a) of subsection (3) of section
   13  516.031, Florida Statutes, is amended to read:
   14         516.031 Finance charge; maximum rates.—
   15         (3) OTHER CHARGES.—
   16         (a) In addition to the interest, delinquency, and insurance
   17  charges provided in this section, further or other charges or
   18  amount for any examination, service, commission, or other thing
   19  or otherwise may not be directly or indirectly charged,
   20  contracted for, or received as a condition to the grant of a
   21  loan, except:
   22         1. An amount of up to $25 to reimburse a portion of the
   23  costs for investigating the character and credit of the person
   24  applying for the loan;
   25         2. An annual fee of $25 on the anniversary date of each
   26  line-of-credit account;
   27         3. Charges paid for the brokerage fee on a loan or line of
   28  credit of more than $10,000, title insurance, and the appraisal
   29  of real property offered as security if paid to a third party
   30  and supported by an actual expenditure;
   31         4. Intangible personal property tax on the loan note or
   32  obligation if secured by a lien on real property;
   33         5. The documentary excise tax and lawful fees, if any,
   34  actually and necessarily paid out by the licensee to any public
   35  officer for filing, recording, or releasing in any public office
   36  any instrument securing the loan, which may be collected when
   37  the loan is made or at any time thereafter;
   38         6. The premium payable for any insurance in lieu of
   39  perfecting any security interest otherwise required by the
   40  licensee in connection with the loan if the premium does not
   41  exceed the fees which would otherwise be payable, which may be
   42  collected when the loan is made or at any time thereafter;
   43         7. Actual and reasonable attorney fees and court costs as
   44  determined by the court in which suit is filed;
   45         8. Actual and commercially reasonable expenses for
   46  repossession, storing, repairing and placing in condition for
   47  sale, and selling of any property pledged as security; or
   48         9. A delinquency charge of up to $15 for each payment in
   49  default for at least 10 days if the charge is agreed upon, in
   50  writing, between the parties before imposing the charge.
   51  Delinquency charges may be imposed as follows:
   52         a. For payments due monthly, the delinquency charge for a
   53  payment in default may not exceed $15.
   54         b. For payments due semimonthly, the delinquency charge for
   55  a payment in default may not exceed $7.50.
   56         c. For payments due every 2 weeks, the delinquency charge
   57  for a payment in default may not exceed $7.50 if two payments
   58  are due within the same calendar month, and may not exceed $5 if
   59  three payments are due within the same calendar month.
   60  
   61  Any charges, including interest, in excess of the combined total
   62  of all charges authorized and permitted by this chapter
   63  constitute a violation of chapter 687 governing interest and
   64  usury, and the penalties of that chapter apply. In the event of
   65  a bona fide error, the licensee shall refund or credit the
   66  borrower with the amount of the overcharge immediately but
   67  within 20 days after the discovery of such error.
   68         Section 2. Section 516.36, Florida Statutes, is amended to
   69  read:
   70         516.36 Monthly Installment requirement.—Every loan made
   71  pursuant to this chapter must shall be repaid in periodic
   72  monthly installments as nearly equal as mathematically
   73  practicable, except that the final payment may be less than the
   74  amount of the prior installments. Installments may be due every
   75  2 weeks, semimonthly, or monthly. This section does shall not
   76  apply to lines of credit.
   77         Section 3. This act shall take effect July 1, 2018.