S T A T E O F N E W Y O R K
________________________________________________________________________
6475
2019-2020 Regular Sessions
I N A S S E M B L Y
March 7, 2019
___________
Introduced by M. of A. WRIGHT -- read once and referred to the Committee
on Banks
AN ACT to amend the banking law, in relation to full disclosure of
interest rate on unsolicited mail-loan checks
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision 2 of section 9-t of the banking law, as added
by chapter 309 of the laws of 2002, is amended to read as follows:
2. Any lending institution which issues mail-loan checks shall:
(a) include on the face of each check issued to a non-customer a writ-
ten statement, in legible type reading "ONE FORM OF VALID PHOTOGRAPHIC
ID NEEDED TO CASH OR DEPOSIT"; provided, however, that any entity cash-
ing or accepting a mail-loan check for deposit may require more than one
form of identification;
(b) make no reference on the outside of the envelope containing a
mail-loan check that indicates that a check is enclosed within such
envelope;
(c) provide that all mail-loan checks shall be non-transferable; [and]
(d) include an expiration date of not more than six months on the
mail-loan check; AND
(E) PROVIDE IN LEGIBLE TYPE ON THE FRONT PAGE OF THE SOLICITATION
LETTER, THE INTEREST RATE OR RATES TO BE APPLIED TO SUCH LOAN, AND
PROVIDE A TABLE DEMONSTRATING THE TOTAL COST OF SUCH LOAN AT INCREMENTAL
DOLLAR AMOUNTS, AT THE OFFERED INTEREST RATE, OVER INCREMENTAL PERIODS
OF TIME OF SIX MONTHS, ONE YEAR, AND THREE YEARS.
§ 2. This act shall take effect on the sixtieth day after it shall
have become a law.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD09683-01-9