* § 748. Penalties. 1. Any person, including any member, officer,
director or employee of a buy-now-pay-later lender, who violates or
participates in the violation of section seven hundred thirty-seven of
this article, or who knowingly makes any incorrect statement of a
material fact in any application, report or statement filed pursuant to
this article, or who knowingly omits to state any material fact
necessary to give the superintendent any information lawfully required
by the superintendent or refuses to permit any lawful investigation or
examination, shall be guilty of a misdemeanor and, upon conviction,
shall be fined not more than five hundred dollars or imprisoned for not
more than six months or both, in the discretion of the court.

2. (a) Without limiting any power granted to the superintendent under
any other provision of this chapter, the superintendent may, in a
proceeding after notice and a hearing require a buy-now-pay-later
lender, whether or not a licensee, to pay to the people of this state a
penalty for any violation of this chapter, any rule or regulation
promulgated thereunder, any final or temporary order issued pursuant to
section thirty-nine of this chapter, any condition imposed in writing by
the superintendent in connection with the grant of any application or
request, or any written agreement entered into with the superintendent,
and for knowingly making any incorrect statement of a material fact in
any application, report or statement filed pursuant to this article, or
knowingly omitting to state any material fact necessary to give the
superintendent any information lawfully required by the superintendent
or refusing to permit any lawful investigation or examination.

(b) The superintendent shall not impose or collect any penalty for an
act or omission constituting a violation of this article if the
superintendent imposes or collects any penalty pursuant to another
provision of this chapter for the same act or omission.

(c) The superintendent shall not impose or collect a penalty for an
act or omission constituting a violation of this article by a
buy-now-pay-later lender more than once for the same act or omission,
where the entity extending credit directly to a consumer is different
from the entity operating a platform, software, or system with which the
consumer interacts, unless both entities are found to have knowingly
committed the same act or omission.

(d) As to any buy-now-pay-later lender that is not a licensee or an
authorized buy-now-pay-later lender, the superintendent is authorized to
impose a penalty in the same amount authorized in section forty-four of
this chapter for a violation of this chapter by any person licensed,
certified, registered, authorized, chartered, accredited, incorporated
or otherwise approved by the superintendent under this chapter.

3. No person except a buy-now-pay-later lender licensed under this
article shall make, directly or indirectly, orally or in writing, or by
any method, practice or device, a representation that such person is
licensed under this article.

* NB Effective upon the one hundred eightieth day after the
promulgation of rules and/or regulations by the department of financial
services to effectuate certain provisions (see Ch. 58 of 2025, Part Y, §
13)