Florida Senate - 2024                                     SB 146
       
       
        
       By Senator Berman
       
       
       
       
       
       26-00107-24                                            2024146__
    1                        A bill to be entitled                      
    2         An act relating to consumer finance loans; creating s.
    3         516.181, F.S.; prohibiting persons from engaging in
    4         actions to evade the requirements of ch. 516, F.S.;
    5         providing that consumer finance loans made in
    6         violation of such prohibitions are void and
    7         uncollectible; providing construction relating to when
    8         a person is deemed to be a lender subject to such
    9         prohibitions; providing an effective date.
   10          
   11  Be It Enacted by the Legislature of the State of Florida:
   12  
   13         Section 1. Section 516.181, Florida Statutes, is created to
   14  read:
   15         516.181 Predatory loan prevention.—
   16         (1) A person may not engage in any device, subterfuge, or
   17  pretense to evade the requirements of this chapter, including,
   18  but not limited to:
   19         (a) Making, offering, or assisting, or arranging for, a
   20  borrower to obtain a consumer finance loan with a higher rate or
   21  amount of interest, consideration, charge, or other payment
   22  received incident to the loan than is authorized by this chapter
   23  through any method, including mail, telephone, the Internet, or
   24  any electronic means, regardless of whether the person has a
   25  physical location in this state; or
   26         (b) Receiving interest, fees, charges, or other payments in
   27  excess of those authorized by this chapter, regardless of
   28  whether the payment purports to be voluntary.
   29         (2) A consumer finance loan made in violation of this
   30  section is void and uncollectible as to any principal, fee,
   31  interest, charge, or payment.
   32         (3) If the consumer finance loan exceeds the rate
   33  authorized by s. 516.031, a person is deemed a lender subject to
   34  this section, regardless of whether the person purports to act
   35  as an agent or a service provider or in another capacity for
   36  another entity that is exempt from this chapter, if any of the
   37  following applies:
   38         (a) The person holds, acquires, or maintains, directly or
   39  indirectly, the predominant economic interest, risk, or reward
   40  in the loan.
   41         (b) The person:
   42         1. Markets, solicits, brokers, arranges, facilitates, or
   43  services loans; and
   44         2. Holds or has the right, requirement, or first right of
   45  refusal to acquire the loans, a share of receivables, or another
   46  direct or indirect interest in the loans or loan program.
   47         (c) The totality of the circumstances indicates that the
   48  person is the lender and that the transaction is structured to
   49  evade the requirements of this chapter. Circumstances that weigh
   50  in favor of a person being a lender subject to this section
   51  include, without limitation, whether the person:
   52         1. Indemnifies, insures, or protects an exempt entity from
   53  any costs or risks related to the loan;
   54         2. Predominantly designs, controls, or operates the loan
   55  program;
   56         3. Holds the trademark or intellectual property rights in
   57  the brand, underwriting system, or other core aspects of the
   58  loan program; or
   59         4. Purports to act as an agent or a service provider or in
   60  another capacity for an exempt entity while acting directly as a
   61  lender in other states.
   62         Section 2. This act shall take effect July 1, 2024.