Florida Senate - 2018                          SENATOR AMENDMENT
       Bill No. CS for CS for CS for SB 920
       
       
       
       
       
       
                                Ì864952>Î864952                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
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                Floor: 1/AD/2R         .                                
             03/02/2018 05:05 PM       .                                
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       Senator Bradley moved the following:
       
    1         Senate Amendment 
    2  
    3         Delete lines 135 - 393
    4  and insert:
    5  requirements of 12 C.F.R. part 1026 226, relating to the federal
    6  Truth-in-Lending Act, and Regulation Z of the Bureau of Consumer
    7  Financial Protection Board of Governors of the Federal Reserve
    8  Board. A copy of the disclosure must be provided to the drawer
    9  at the time the deferred presentment transaction is initiated.
   10         (14) A deferred presentment provider or its affiliate may
   11  not accept or hold an undated check or a check dated on a date
   12  other than the date on which the deferred presentment provider
   13  agreed to hold the check and signed the deferred presentment
   14  transaction agreement, except when a customer provides a new
   15  payment instrument reflecting the new outstanding transaction
   16  balance and anticipated fees upon making a payment on a deferred
   17  presentment installment transaction.
   18         (19) A deferred presentment provider may not enter into a
   19  deferred presentment transaction with a drawer who has an
   20  outstanding deferred presentment transaction with that provider
   21  or with any other deferred presentment provider, or with a
   22  person whose previous deferred presentment transaction with that
   23  provider or with any other provider has been terminated for less
   24  than 24 hours. The deferred presentment provider must verify
   25  such information as follows:
   26         (a) The deferred presentment provider must shall maintain a
   27  common database and shall verify whether the provider or an
   28  affiliate has an outstanding deferred presentment transaction
   29  with a particular person or has terminated a transaction with
   30  that person within the previous 24 hours. If a provider has not
   31  established a database, the provider may rely upon the written
   32  verification of the drawer as provided in subsection (20).
   33         (b) The deferred presentment provider must shall access the
   34  office’s database established pursuant to subsection (24) (23)
   35  and shall verify whether any other deferred presentment provider
   36  has an outstanding deferred presentment transaction with a
   37  particular person or has terminated a transaction with that
   38  person within the previous 24 hours. Before the office has
   39  implemented a database to include deferred presentment
   40  installment transactions If a provider has not established a
   41  database, the deferred presentment provider must access the
   42  office’s current database pursuant to this paragraph and may
   43  rely upon the written verification of the drawer as provided in
   44  subsection (20).
   45         (20) A deferred presentment provider must shall provide the
   46  following notice in a prominent place on each deferred
   47  presentment agreement in at least 14-point type in substantially
   48  the following form and must obtain the signature of the drawer
   49  where indicated:
   50  
   51                               NOTICE                              
   52  
   53         1. STATE LAW PROHIBITS YOU FROM HAVING MORE THAN ONE
   54         DEFERRED PRESENTMENT AGREEMENT AT ANY ONE TIME. STATE
   55         LAW ALSO PROHIBITS YOU FROM ENTERING INTO A DEFERRED
   56         PRESENTMENT AGREEMENT WITHIN 24 HOURS AFTER
   57         TERMINATING ANY PREVIOUS DEFERRED PRESENTMENT
   58         AGREEMENT. FAILURE TO OBEY THIS LAW COULD CREATE
   59         SEVERE FINANCIAL HARDSHIP FOR YOU AND YOUR FAMILY.
   60  
   61         YOU MUST SIGN THE FOLLOWING STATEMENT:
   62  
   63         I DO NOT HAVE AN OUTSTANDING DEFERRED PRESENTMENT
   64         AGREEMENT WITH ANY DEFERRED PRESENTMENT PROVIDER AT
   65         THIS TIME. I HAVE NOT TERMINATED A DEFERRED
   66         PRESENTMENT AGREEMENT WITHIN THE PAST 24 HOURS.
   67         (Signature of Drawer)
   68  
   69         2. YOU CANNOT BE PROSECUTED IN CRIMINAL COURT FOR A
   70         CHECK WRITTEN UNDER THIS AGREEMENT, BUT ALL LEGALLY
   71         AVAILABLE CIVIL MEANS TO ENFORCE THE DEBT MAY BE
   72         PURSUED AGAINST YOU.
   73  
   74         3. STATE LAW PROHIBITS A DEFERRED PRESENTMENT PROVIDER
   75         (THIS BUSINESS) FROM ALLOWING YOU TO “ROLL OVER” YOUR
   76         DEFERRED PRESENTMENT TRANSACTION. THIS MEANS THAT YOU
   77         CANNOT BE ASKED OR REQUIRED TO PAY AN ADDITIONAL FEE
   78         IN ORDER TO FURTHER DELAY THE DEPOSIT OR PRESENTMENT
   79         OF YOUR CHECK FOR PAYMENT.
   80  
   81         4.FOR DEFERRED PRESENTMENT TRANSACTIONS NOT REPAYABLE
   82         IN INSTALLMENTS: IF YOU INFORM THE PROVIDER IN PERSON
   83         THAT YOU CANNOT COVER THE CHECK OR PAY IN FULL THE
   84         AMOUNT OWING AT THE END OF THE TERM OF THIS AGREEMENT,
   85         YOU WILL RECEIVE A GRACE PERIOD EXTENDING THE TERM OF
   86         THE AGREEMENT FOR AN ADDITIONAL 60 DAYS AFTER THE
   87         ORIGINAL TERMINATION DATE, WITHOUT ANY ADDITIONAL
   88         CHARGE. THE DEFERRED PRESENTMENT PROVIDER MUST SHALL
   89         REQUIRE THAT YOU, AS A CONDITION OF OBTAINING THE
   90         GRACE PERIOD, COMPLETE CONSUMER CREDIT COUNSELING
   91         PROVIDED BY AN AGENCY INCLUDED ON THE LIST THAT WILL
   92         BE PROVIDED TO YOU BY THIS PROVIDER. YOU MAY ALSO
   93         AGREE TO COMPLY WITH AND ADHERE TO A REPAYMENT PLAN
   94         APPROVED BY THAT AGENCY. IF YOU DO NOT COMPLY WITH AND
   95         ADHERE TO A REPAYMENT PLAN APPROVED BY THAT AGENCY, WE
   96         MAY DEPOSIT OR PRESENT YOUR CHECK FOR PAYMENT AND
   97         PURSUE ALL LEGALLY AVAILABLE CIVIL MEANS TO ENFORCE
   98         THE DEBT AT THE END OF THE 60-DAY GRACE PERIOD.
   99  
  100         5.FOR DEFERRED PRESENTMENT INSTALLMENT TRANSACTIONS:
  101         IF YOU INFORM THE PROVIDER IN WRITING OR IN PERSON BY
  102         NOON [TIME ZONE] OF THE BUSINESS DAY BEFORE A
  103         SCHEDULED PAYMENT THAT YOU CANNOT PAY IN FULL THE
  104         SCHEDULED AMOUNT DUE AND OWING, YOU MAY DEFER THE
  105         SCHEDULED PAYMENT, WITHOUT ANY ADDITIONAL FEES OR
  106         CHARGES, AND THE PROVIDER MAY NOT DEFAULT THE ACCOUNT
  107         AND ACCELERATE THE FULL BALANCE. YOU MAY REQUEST ONLY
  108         ONE DEFERRED PAYMENT PER LOAN. THE DEFERRED PAYMENT
  109         WILL BE ADDED AFTER THE LAST SCHEDULED PAYMENT AND IS
  110         DUE AT AN INTERVAL NO SHORTER THAN THE INTERVALS
  111         BETWEEN THE ORIGINALLY SCHEDULED PAYMENTS.
  112  
  113         (21) The deferred presentment provider may not deposit or
  114  present the drawer’s check if the drawer informs the provider in
  115  writing or in person that the drawer cannot redeem or pay in
  116  full in cash the amount due and owing the deferred presentment
  117  provider, unless the drawer fails to comply with subsection (22)
  118  or subsection (23), as applicable. No additional fees or
  119  penalties may be imposed on the drawer by virtue of any
  120  misrepresentation made by the drawer as to the sufficiency of
  121  funds in the drawer’s account. Additional fees may not be added
  122  to the amounts due and owing to the deferred presentment
  123  provider.
  124         (22) For deferred presentment transactions not repayable in
  125  installments, if, by the end of the deferment period, the drawer
  126  informs the deferred presentment provider in writing or in
  127  person that the drawer cannot redeem or pay in full in cash the
  128  amount due and owing the deferred presentment provider, the
  129  deferred presentment provider must shall provide a grace period
  130  extending the term of the agreement for an additional 60 days
  131  after the original termination date, without any additional
  132  charge.
  133         (a) The provider must shall require, that as a condition of
  134  providing a grace period, that the drawer make an appointment
  135  with a consumer credit counseling agency within 7 days after the
  136  end of the deferment period and complete the counseling by the
  137  end of the grace period. The drawer may agree to, comply with,
  138  and adhere to a repayment plan approved by the counseling
  139  agency. If the drawer agrees to comply with and adhere to a
  140  repayment plan approved by the counseling agency, the provider
  141  must also comply with and adhere to that repayment plan. The
  142  deferred presentment provider may not deposit or present the
  143  drawer’s check for payment before the end of the 60-day grace
  144  period unless the drawer fails to comply with such conditions or
  145  the drawer fails to notify the provider of such compliance.
  146  Before each deferred presentment transaction, the provider may
  147  verbally advise the drawer of the availability of the grace
  148  period consistent with the written notice in subsection (20),
  149  and may not discourage the drawer from using the grace period.
  150         (b) At the commencement of the grace period, the deferred
  151  presentment provider must shall provide the drawer:
  152         1. Verbal notice of the availability of the grace period
  153  consistent with the written notice in subsection (20).
  154         2. A list of approved consumer credit counseling agencies
  155  prepared by the office. The office list must shall include
  156  nonprofit consumer credit counseling agencies affiliated with
  157  the National Foundation for Credit Counseling which provide
  158  credit counseling services to state residents in person, by
  159  telephone, or through the Internet. The office list must include
  160  phone numbers for the agencies, the counties served by the
  161  agencies, and indicate the agencies that provide telephone
  162  counseling and those that provide Internet counseling. The
  163  office must shall update the list at least once each year.
  164         3. The following notice in at least 14-point type in
  165  substantially the following form:
  166  
  167         AS A CONDITION OF OBTAINING A GRACE PERIOD EXTENDING
  168         THE TERM OF YOUR DEFERRED PRESENTMENT AGREEMENT FOR AN
  169         ADDITIONAL 60 DAYS, UNTIL [DATE], WITHOUT ANY
  170         ADDITIONAL FEES, YOU MUST COMPLETE CONSUMER CREDIT
  171         COUNSELING PROVIDED BY AN AGENCY INCLUDED ON THE LIST
  172         THAT WILL BE PROVIDED TO YOU BY THIS PROVIDER. YOU MAY
  173         ALSO AGREE TO COMPLY WITH AND ADHERE TO A REPAYMENT
  174         PLAN APPROVED BY THE AGENCY. THE COUNSELING MAY BE IN
  175         PERSON, BY TELEPHONE, OR THROUGH THE INTERNET. YOU
  176         MUST NOTIFY US WITHIN 7 DAYS, BY [DATE], THAT YOU HAVE
  177         MADE AN APPOINTMENT WITH A CONSUMER CREDIT COUNSELING
  178         AGENCY. YOU MUST ALSO NOTIFY US WITHIN 60 DAYS, BY
  179         [DATE], THAT YOU HAVE COMPLETED THE CONSUMER CREDIT
  180         COUNSELING. WE MAY VERIFY THIS INFORMATION WITH THE
  181         AGENCY. IF YOU FAIL TO PROVIDE THE 7-DAY OR 60-DAY
  182         NOTICE, OR IF YOU HAVE NOT MADE THE APPOINTMENT OR
  183         COMPLETED THE COUNSELING WITHIN THE TIME REQUIRED, WE
  184         MAY DEPOSIT OR PRESENT YOUR CHECK FOR PAYMENT AND
  185         PURSUE ALL LEGALLY AVAILABLE CIVIL MEANS TO ENFORCE
  186         THE DEBT.
  187  
  188         (c) If a drawer completes an approved payment plan, the
  189  deferred presentment provider must shall pay one-half of the
  190  drawer’s fee for the deferred presentment agreement to the
  191  consumer credit counseling agency.
  192         (23)For deferred presentment installment transactions, if
  193  a drawer informs the deferred presentment provider in writing or
  194  in person by noon of the business day before a scheduled payment
  195  that the drawer cannot pay in full the scheduled payment amount
  196  due and owing the provider, the deferred presentment provider
  197  must provide the drawer the opportunity to defer the scheduled
  198  payment, at no additional fee or charge, until after the last
  199  scheduled payment. The phrase “by noon” means 12:00 p.m. of the
  200  same time zone in which the deferred presentment agreement was
  201  entered into. Only one deferred payment is permitted for each
  202  deferred presentment installment transaction. The deferred
  203  payment must be due at an interval after the last scheduled
  204  payment which is no shorter than the intervals between the
  205  originally scheduled payments.
  206         (24)(a)(23) The office must shall implement a common
  207  database with real-time access through an Internet connection
  208  for deferred presentment providers, as provided in this
  209  subsection. The database must be accessible to the office and
  210  the deferred presentment providers in order to verify whether
  211  any deferred presentment transactions are outstanding for a
  212  particular person. Deferred presentment providers must shall
  213  submit such data before entering into each deferred presentment
  214  transaction in such format as required by rule, including the
  215  drawer’s name, social security number or employment
  216  authorization alien number, address, driver license number,
  217  amount of the transaction, date of transaction, the date that
  218  the transaction is closed, and such additional information as is
  219  required by rule.
  220         (b)For data that must be submitted by a deferred
  221  presentment provider, the commission may by rule impose a fee of
  222  up to $1 per transaction for deferred presentment transactions
  223  not repayable in installments, and the commission may impose a
  224  fee of up to $1 for each full or partial 30-day period that a
  225  balance is scheduled to be outstanding for a deferred
  226  presentment installment transaction for data that must be
  227  submitted by a deferred presentment provider.
  228         (c) A deferred presentment provider may rely on the
  229  information contained in the database as accurate and is not
  230  subject to any administrative penalty or civil liability due to
  231  relying on inaccurate information contained in the database.
  232         (d) A deferred presentment provider must notify the office,
  233  in a manner as prescribed by rule, within 15 business days after
  234  ceasing operations or no longer holding a license under part II
  235  or part III of this chapter. Such notification must include a
  236  reconciliation of all open transactions. If the provider fails
  237  to provide notice, the office must shall take action to
  238  administratively release all open and pending transactions in
  239  the database after the office becomes aware of the closure.
  240         (e) This section does not affect the rights of the provider
  241  to enforce the contractual provisions of the deferred
  242  presentment agreements through any civil action allowed by law.
  243         (f) The commission may adopt rules to administer this
  244  subsection and to ensure that the database is used by deferred
  245  presentment providers in accordance with this section.
  246         (25)(24) A deferred presentment provider may not accept
  247  more than one check or authorization to initiate more than one
  248  automated clearinghouse transaction to collect on a deferred
  249  presentment transaction for a single deferred presentment
  250  transaction, except for deferred presentment installment
  251  transactions in which such checks or authorizations represent
  252  multiple scheduled payments.
  253         (26)A deferred presentment installment transaction must be
  254  fully amortizing and repayable in consecutive installments as
  255  nearly equal as mathematically practicable according to a
  256  payment schedule agreed upon by the parties with no fewer than
  257  13 days and not more than 1 calendar month between payments,
  258  except that the first installment period may be longer than the
  259  remaining installment periods by not more than 15 days, and the
  260  first installment payment may be larger than the remaining
  261  installment payments by the amount of charges applicable to the
  262  extra days. In calculating charges under this subsection, when
  263  the first installment period is longer than the remaining
  264  installment periods, the