S.D. Codified Laws § 54-3-15 — SD Code / Title 54 / Chapter 3 / Section 54-3-15
Exemption from federal preemption of state usury laws
Status: in_force

The provisions of 12 U.S.C. 1735f-7, 12 U.S.C. 86a and 15 U.S.C. 687 in effect on December 31, 1980, which preempt state usury laws, do not apply to loans made in the state of South Dakota.

Source: SL 1981, ch 351.
S.D. Codified Laws § 54-14-12.1 — SD Code / Title 54 / Chapter 14 / Section 54-14-12.1
Loan processor or underwriter defined
Status: in_force

For the purposes of this chapter, the term, loan processor or underwriter, means any individual who performs clerical or support duties as an employee at the direction of and subject to the supervision and instruction of a person licensed according to this chapter, or a person exempt according to this chapter. Clerical or support duties subsequent to the receipt of an application include the receipt, collection, distribution, and analysis of information common for the processing or underwriting of a mortgage loan; and communicating with a consumer to obtain the information necessary for the processing or underwriting of a loan, to the extent that the communication does not include offering or negotiating loan rates or terms, or counseling consumers about mortgage loan rates or terms.

No individual engaging solely in loan processor or underwriter activities may represent to the public, through advertising or other means of communicating or providing information including the use of business cards, stationery, brochures, signs, rate lists, or other promotional items, that the individual can or will perform any of the activities of a mortgage loan originator.

Source: SL 2009, ch 251, § 2.
S.D. Codified Laws § 54-3A-8.1 — SD Code / Title 54 / Chapter 3A / Section 54-3A-8.1
Restriction on use of rule
Status: in_force

The Rule of 78 as defined in § 54-3A-8 may not be used in any consumer installment sales contract. The Rule of 78 may, however, be used to compute the unearned premium on insurance.

Source: SL 1984, ch 320, § 1.
S.D. Codified Laws § 54-8A-10 — SD Code / Title 54 / Chapter 8A / Section 54-8A-10
Supplementary provisions
Status: in_force

Unless displaced by the provisions of this chapter, the principles of law and equity, including the law merchant and the law relating to principal and agent, estoppel, laches, fraud, misrepresentation, duress, coercion, mistake, insolvency, or other validating or invalidating cause, supplement its provisions.

Source: SL 1987, ch 365, § 10.
S.D. Codified Laws § 54-8A-9 — SD Code / Title 54 / Chapter 8A / Section 54-8A-9
Extinguishment of cause of action
Status: in_force

A cause of action with respect to a fraudulent transfer or obligation under this chapter is extinguished unless action is brought:

(a) Under subsection 54-8A-4(a)(1) within four years after the transfer was made or the obligation was incurred or, if later, within one year after the transfer or obligation was or could reasonably have been discovered by the claimant;

(b) Under subsection 54-8A-4(a)(2) or subdivision 54-8A-5(a) within four years after the transfer was made or the obligation was incurred; or

(c) Under subdivision 54-8A-5(b) within one year after the transfer was made or the obligation was incurred.

Source: SL 1987, ch 365, § 9.
S.D. Codified Laws § 54-15-10 — SD Code / Title 54 / Chapter 15 / Section 54-15-10
Disclosure of process for placing and temporarily lifting security freeze or allowing limited access to information
Status: in_force

If a consumer requests a security freeze, the consumer reporting agency shall disclose the process of placing and temporarily lifting a freeze, and the process for allowing access to information from the consumer's credit report for a specific party or period of time while the freeze is in place.

Source: SL 2006, ch 246, § 10.
S.D. Codified Laws § 54-4-81 — SD Code / Title 54 / Chapter 4 / Section 54-4-81
Attorney's fees recoverable if provided for in evidence of debt
Status: in_force

Notwithstanding § 15-17-39 , any person licensed pursuant to this chapter may recover reasonable attorney's fees in the case of default of payment if provided for in a note, bond, or other evidence of debt.

Source: SL 2018, ch 272, § 2.
S.D. Codified Laws § 54-11-5 — SD Code / Title 54 / Chapter 11 / Section 54-11-5
"Revolving charge account" and "consumer goods and services" defined
Status: in_force

For the purpose of this chapter, "revolving charge account" shall mean an arrangement prescribing terms of transactions which may be made thereunder from time to time pursuant to which a retail seller or person who offers and provides any services gives to a purchaser or user of services the privilege of using a credit card or other means of credit confirmation or identification primarily for the purpose of purchasing consumer goods or services, as that term is hereafter defined, from any person, which may include the retail seller or provider of services, and under which an interest charge may be periodically imposed.

For the purpose of §§ 54-11-5 to 54-11-8 , inclusive, "consumer goods and services" mean all goods and services provided to the public by sellers or providers of personal services.

Source: SL 1974, ch 306, § 1; SL 1975, ch 301.
S.D. Codified Laws § 54-8A-2 — SD Code / Title 54 / Chapter 8A / Section 54-8A-2
Insolvency
Status: in_force

(a) A debtor is insolvent if the sum of the debtor's debts is greater than all of the debtor's assets at a fair valuation.

(b) A debtor who is generally not paying his debts as they become due is presumed to be insolvent.

(c) A partnership is insolvent under subsection (a) if the sum of the partnership's debts is greater than the aggregate, at a fair valuation, of all of the partnership's assets and the sum of the excess of the value of each general partner's nonpartnership assets over the partner's nonpartnership debts.

(d) Assets under this section do not include property that has been transferred, concealed or removed with intent to hinder, delay or defraud creditors or that has been transferred in a manner making the transfer voidable under this chapter.

(e) Debts under this section do not include an obligation to the extent it is secured by a valid lien on property of the debtor not included as an asset.

Source: SL 1987, ch 365, § 2.
S.D. Codified Laws § 54-10-13 — SD Code / Title 54 / Chapter 10 / Section 54-10-13
Uniformity of interpretation of chapter
Status: in_force

This chapter shall be so interpreted and construed as to effectuate its general purpose to make uniform the law of those states which enact it.

Source: SL 1941, ch 162, § 9; SDC Supp 1960, § 37.26A08.
S.D. Codified Laws § 54-9-18 — SD Code / Title 54 / Chapter 9 / Section 54-9-18
Removal of assignee by circuit court--Discharge on full accounting and surrender of property to new assignee
Status: in_force

Whenever any assignee so removed shall have fully accounted for and turned over to the assignee or assignees appointed by the judge all the trust estate and made a full report of all his doings, and complied with all orders of the judge touching such estate, he may by order of the judge be fully discharged from all further duties, liabilities, and responsibilities connected with the trust.

Source: SL 1887, ch 8, § 1; SL 1887, ch 9, § 1; CL 1887, § 4675; RCivC 1903, § 2387; RC 1919, § 2060; SDC 1939 & Supp 1960, § 37.5110.
S.D. Codified Laws § 54-8-3 — SD Code / Title 54 / Chapter 8 / Section 54-8-3
Avoidance of act or obligation of debtor for fraud--Obstruction of legal process
Status: in_force

A creditor can avoid the act or obligation of his debtor for fraud, only where the fraud obstructs the enforcement, by legal process, of his right to take the property affected by the transfer or obligation.

Source: CivC 1877, § 2025; CL 1887, § 4658; RCivC 1903, § 2370; RC 1919, § 2043; SDC 1939, § 23.0107.
S.D. Codified Laws § 54-13-15 — SD Code / Title 54 / Chapter 13 / Section 54-13-15
Continuation of mediation--Expiration of mediation period--Agreement between borrower and creditors
Status: in_force

If the borrower and the initiating creditor consent, mediation may continue beyond the forty - two day mediation period with the same force and effect as though held within the forty - two day period. If no meeting is held within the forty - two day mediation period, absent a waiver thereof, extension, or further agreement between borrower and creditor, the expiration of the mediation period shall conclusively constitute a mediation release. The director of the agriculture mediation program shall so inform the borrower and creditors and certify accordingly.

Any agreement reached between borrower and creditors as a result of mediation shall be drafted into a written agreement. If signed by borrower and creditors, the agreement shall constitute a mediation release, and the mediator shall so certify on the agreement.

Source: SL 1988, ch 384, § 15; SL 1991, ch 394, § 11; SL 2001, ch 259, § 12.
S.D. Codified Laws § 54-4-51 — SD Code / Title 54 / Chapter 4 / Section 54-4-51
Court-appointed receivership
Status: in_force

In addition to any other means provided by law for the enforcement of a restraining order or injunction, the court, in which the action is brought, may impound, and appoint a receiver for, the property and business of the defendant, including books, papers, documents, and records, as the court may deem reasonably necessary to prevent violations of this chapter. The receiver, when so appointed and qualified, shall control the custody, collection, administration, and liquidation of the property and business.

Source: SL 1998, ch 280, § 16; SL 2006, ch 245, § 7.
S.D. Codified Laws § 54-15-6 — SD Code / Title 54 / Chapter 15 / Section 54-15-6
Request for temporary lifting of security freeze
Status: in_force

If any consumer wishes to allow the consumer's credit report to be accessed for a specific period of time while a freeze is in place, the consumer shall contact the consumer reporting agency at a point of contact designated by the agency to receive such requests, request that the freeze be temporarily lifted, and provide the following:

(1) Proper identification, which means that information generally deemed sufficient to identify a consumer. Only if the consumer is unable to sufficiently identify himself or herself, may a consumer reporting agency require additional information concerning the consumer's employment and personal or family history in order to verify the consumer's identity;

(2) The unique personal identification number or password provided by the credit reporting agency pursuant to § 54-15-5 ; and

(3) The proper information regarding the time period for which the report is available to users of the credit report.

Any consumer reporting agency that receives a request to temporarily lift a freeze on a credit report pursuant to this section shall comply with the request no later than three business days after receiving the request.

Source: SL 2006, ch 246, § 6.
S.D. Codified Laws § 54-16-4 — SD Code / Title 54 / Chapter 16 / Section 54-16-4
Time for placing security freeze
Status: in_force

Within thirty days after receiving a request that meets the requirements of this chapter, a consumer reporting agency shall place a security freeze for the protected consumer.

Source: SL 2016, ch 230, § 4.
S.D. Codified Laws § 54-4-65 — SD Code / Title 54 / Chapter 4 / Section 54-4-65
Limitation on renewal, rollover, or flip of short-term consumer loan--Fee
Status: in_force

No licensee may renew, rollover, or flip a short- term consumer loan more than four times. No renewal, rollover, or flip is valid unless, at the time of the renewal, rollover, or flip, the debtor pays the outstanding fee and reduces the principal amount of the loan as provided in this section. Upon the first renewal, rollover, or flip and each subsequent renewal, rollover, or flip, the debtor shall reduce the principal amount of the loan by not less than ten percent of the original amount of the loan.

Source: SL 2002, ch 223, § 1; SL 2004, ch 291, § 2; SL 2006, ch 245, § 3.
S.D. Codified Laws § 54-16-9 — SD Code / Title 54 / Chapter 16 / Section 54-16-9
Fees of consumer reporting agency
Status: in_force

A consumer reporting agency may charge a reasonable fee, not exceeding five dollars, for each placement or removal of a security freeze for a protected consumer. However, no consumer reporting agency may charge a fee under this section if the protected consumer's representative provides a police report or affidavit of alleged identity fraud against the protected consumer to the consumer reporting agency, or a request for the placement or removal of a security freeze is for a protected consumer who is under the age of sixteen years at the time of the request, and the agency has a consumer report pertaining to the protected consumer. No consumer reporting agency may charge a fee for any other service performed under this chapter.

Source: SL 2016, ch 230, § 9.
S.D. Codified Laws § 54-3-1 — SD Code / Title 54 / Chapter 3 / Section 54-3-1
Interest defined
Status: in_force

Interest is the compensation allowed by law for the use, or forbearance, or detention of money or its equivalent, including without limitation, points, loan origination fees, credit service or carrying charges, charges for unanticipated late payments, and any other charges, direct or indirect, as an incident to or as a condition of the extension of credit. These charges do not include charges made by a third party.

Source: CivC 1877, § 1095; CL 1887, § 3718; RCivC 1903, § 1414; RC 1919, § 1037; SDC 1939, § 38.0103; SL 1987, ch 360, § 3.
S.D. Codified Laws § 54-14-21 — SD Code / Title 54 / Chapter 14 / Section 54-14-21
Exemption of certain entities from licensing requirements
Status: in_force

The following entities are exempt from the requirement of a mortgage lender, mortgage brokerage, or mortgage broker license as required by this chapter:

(1) Any state bank and its subsidiary;

(2) Any national bank and its subsidiary;

(3) Any bank holding company and its subsidiary;

(4) Any other federally insured financial institution, and its holding company and subsidiary; and

(5) Any South Dakota chartered trust company.

Any registered mortgage loan originator, if acting for a depository institution, is exempt from the provisions of this chapter.

Source: SL 2007, ch 279, § 10; SL 2009, ch 251, § 12.
S.D. Codified Laws § 54-9-21 — SD Code / Title 54 / Chapter 9 / Section 54-9-21
Hearing upon application of assignee for discharge--Order requiring the performance of acts not completed--Order of discharge, granting, effect
Status: in_force

If, upon the hearing, the judge shall be satisfied that the assignee is entitled to be discharged, he shall make an order accordingly; or if, in the opinion of the judge, anything remains to be done by such assignee, he may require the performance thereof before making such order. Such order shall have the effect of discharging the assignee and his sureties from all further responsibility in respect to the trust, and such order shall not be refused on account of any failure on the part of the assignee to comply with any formal provision of law, where no loss or damage to anyone shall have occurred through such failure.

Source: SL 1887, ch 8, § 1; SL 1887, ch 9, § 1; CL 1887, § 4675; RCivC 1903, § 2387; RC 1919, § 2060; SDC 1939 & Supp 1960, § 37.5110.
S.D. Codified Laws § 54-8-23 — SD Code / Title 54 / Chapter 8 / Section 54-8-23
Fraud in bankruptcy proceedings--Misdemeanor
Status: in_force

Every person who, upon making or prosecuting any application for a discharge as an insolvent debtor, under the provisions of any law now in force, or that may hereafter be enacted:

(1) Fraudulently presents or authorizes to be presented on his behalf such application, in a case in which it is not authorized by law;

(2) Makes or presents to any court or officer, in support of such application, any petition, schedule, book, account, voucher, or other paper or document, knowing the same to contain any false statement;

(3) Fraudulently makes and exhibits, or alters, obliterates, or destroys any account or voucher relating to the condition of his affairs, or any entry or statement in such account or voucher;

(4) Practices any fraud upon any creditor, with intent to induce him to petition for or consent to such discharge; or

(5) Conspires with or induces any person fraudulently to unite as creditor in any petition for such discharge, or to practice any fraud in aid thereof;

Source: PenC 1877, § 638; CL 1887, § 6840; RPenC 1903, § 669; RC 1919, § 4280; SDC 1939, § 13.4304; SL 1980, ch 24, § 108.
S.D. Codified Laws § 54-3A-6 — SD Code / Title 54 / Chapter 3A / Section 54-3A-6
Commencement of term of obligation--Down payments
Status: in_force

The term of a consumer obligation under this chapter, commences with the date the credit is granted unless goods are delivered or services are performed ten days or more after the date credit is granted, in which case the term commences with the date of delivery or performance. Nothing in this section shall prohibit a down payment.

Source: SL 1974, ch 305, § 7.
S.D. Codified Laws § 54-13-2 — SD Code / Title 54 / Chapter 13 / Section 54-13-2
Agricultural mediation program--Purposes--Administration
Status: in_force

The Department of Agriculture and Natural Resources shall administer an agricultural mediation program to:

(1) Provide mediation to borrowers and creditors seeking to resolve credit disputes;

(2) Provide federal land mediation to individuals or organizations seeking to mediate disputes with federal land management agencies concerning decisions made by those federal agencies; and

(3) Provide oil and gas mediation to individuals or organizations seeking to mediate disputes over surface damages related to oil or gas development.

The secretary of the Department of Agriculture and Natural Resources shall promulgate rules, pursuant to chapter 1-26 , necessary for mediation, federal land mediation, and oil and gas mediation including the establishment of fees, training requirements for mediators and ag finance counselors and their certification, mediation request forms, and any other mediation procedures as may be necessary for the prompt and expeditious mediation of agriculture related disputes, including the receipt of funds pursuant to the Agricultural Credit Act of 1987, as of January 1, 2015.

The agricultural mediation program may not, as a condition to mediation, require that any party waive any respective legal or equitable remedies or rights.

Source: SL 1988, ch 384, § 2; SL 1991, ch 394, § 3; SL 2001, ch 259, § 2; SL 2012, ch 236, § 1; SL 2013, ch 241, § 2; SL 2015, ch 203, § 27; SL 2021, ch 1 (Ex. Ord. 21-3 ), § 51, eff. Apr. 19, 2021.
S.D. Codified Laws § 54-6A-4 — SD Code / Title 54 / Chapter 6A / Section 54-6A-4
Disclosure of information
Status: in_force

The lessor shall disclose to the consumer the information required by this chapter. In a transaction involving more than one lessor, only one lessor need make the disclosures, but all lessors shall be bound by such disclosures. The disclosures shall be made at or before consummation of the lease - purchase agreement. The disclosures shall be made clearly and conspicuously in writing and a copy of the lease - purchase agreement provided to the consumer. The disclosures required under § 54-6A-5 shall be made on the face of the contract above the line for the consumer's signature.

If a disclosure becomes inaccurate as the result of any act, occurrence, or agreement by the consumer after delivery of the required disclosures, the resulting inaccuracy is not a violation of this chapter.

Source: SL 1991, ch 393, § 4.
S.D. Codified Laws § 54-4-42 — SD Code / Title 54 / Chapter 4 / Section 54-4-42
Bond to be filed with application
Status: in_force

The applicant shall submit with the application for a license a bond in an amount not to exceed the total of ten thousand dollars for the first license and two thousand five hundred dollars for each additional license. The bond shall be satisfactory to the director and issued by a surety company qualified to do business as a surety in this state. The bond shall be in favor of this state for the use of this state and any person who has a cause of action under this chapter against the licensee. The bond shall be conditioned on:

(1) The licensee's faithful performance under this chapter and any rules adopted pursuant to this chapter; and

(2) The payment of any amounts that are due to the state or another person during the calendar year for which the bond is given.

The aggregate liability of a surety to all persons damaged by a licensee's violation of this chapter may not exceed the amount of the bond.

Source: SL 1998, ch 280, § 7; SL 2005, ch 258, § 2; SL 2006, ch 245, § 5.
S.D. Codified Laws § 54-14-13.4 — SD Code / Title 54 / Chapter 14 / Section 54-14-13.4
License required for loan processor or underwriter--Identification through nationwide mortgage licensing system and registry
Status: in_force

No loan processor or underwriter who is an independent contractor may engage in the activities of a loan processor or underwriter unless the loan processor or underwriter obtains and maintains a license under this chapter. Each loan processor or underwriter who is an independent contractor licensed as a mortgage loan originator shall have and maintain a valid unique identifier issued by the nationwide mortgage licensing system and registry.

Source: SL 2009, ch 251, § 13.
S.D. Codified Laws § 54-10-10 — SD Code / Title 54 / Chapter 10 / Section 54-10-10
Value of security, determination by liquidator's sale of assets--Order of sale, requirements
Status: in_force

Under the circumstances described by § 54-10-7 , the court may order the value of the security determined by liquidator's sale of the assets which, when completed and approved by the court, shall pass to the purchaser good title, free and clear of all liens of the secured creditor, such liens to be transferred to the proceeds of the sale. The order of sale may be either

(1) Conditional, requiring the sale to be made by the liquidator only if the secured creditor does not complete a determination by collection or creditor's sale as set forth in §§ 54-10-5 and 54-10-6 within a time fixed by the court; or

(2) Absolute, requiring the sale to be made by the liquidator within a time fixed by the court.

Source: SL 1941, ch 162, § 6; SDC Supp 1960, § 37.26A06 (3).
S.D. Codified Laws § 54-10-4 — SD Code / Title 54 / Chapter 10 / Section 54-10-4
Dividends to secured creditors--Computation
Status: in_force

Dividends paid to secured creditors shall be computed only upon the balance due after the value of all security not exempt from the claims of unsecured creditors and not released or surrendered to the liquidator, is determined and credited upon the claim secured by it.

Source: SL 1941, ch 162, § 4; SDC Supp 1960, § 37.26A04.
S.D. Codified Laws § 54-9-13.8 — SD Code / Title 54 / Chapter 9 / Section 54-9-13.8
Sale or compromise of claims or property of estate--Liability of assignee
Status: in_force

The judge may, upon the application of the assignee and for good and sufficient cause shown, and upon such terms as he may direct, authorize the assignee to sell, compromise or compound any claim or debt belonging to the estate of the debtor. But such authority shall not prevent any party interested in the trust estate from showing upon the final accounting of such assignee that such debt or claim was fraudulently or negligently sold, compounded or compromised. The sale of any debt or claim heretofore made in good faith by any assignee shall be valid, subject, however, to the approval of the judge, and the assignee shall be charged with and be liable for, as part of the trust fund, any sum which might or ought to have been collected by him.

Source: SDC Supp 1960, ch 37.51 as added by SL 1969, ch 162, § 6.
S.D. Codified Laws § 54-9-19 — SD Code / Title 54 / Chapter 9 / Section 54-9-19
Discharge of assignee upon full compliance with trust
Status: in_force

Whenever an assignee has fully complied with his trust, he may by order of the judge be fully discharged from all further duties, liabilities, and responsibilities connected with the trust.

Source: SL 1887, ch 8, § 1; SL 1887, ch 9, § 1; CL 1887, § 4675; RCivC 1903, § 2387; RC 1919, § 2060; SDC 1939 & Supp 1960, § 37.5110.
S.D. Codified Laws § 54-10-14 — SD Code / Title 54 / Chapter 10 / Section 54-10-14
Citation of chapter
Status: in_force

This chapter may be cited as the Uniform Act Governing Secured Creditors' Dividends in Liquidation Proceedings.

Source: SL 1941, ch 162, § 10; SDC Supp 1960, § 37.26A09.
S.D. Codified Laws § 54-14-39 — SD Code / Title 54 / Chapter 14 / Section 54-14-39
Conduct not constituting improper influence on real estate appraisals
Status: in_force

No person violates § 54-14-38 solely by asking a real estate appraiser to consider additional, appropriate property information, or to provide further detail, substantiation, or explanation for the appraiser's value conclusion, or to correct errors in the appraisal report, or by withholding payment of an appraisal fee based on a bona fide dispute regarding the appraiser's compliance with the appraisal standards adopted by the Department of Labor and Regulation pursuant to this chapter. A person does not violate § 54-14-38 solely by retaining a real estate appraiser from panels or lists on a rotating basis, or by supplying an appraiser with information the appraiser is required to analyze under the appraisal standards adopted by the department, such as agreements of sale, options, or listings of the property to be valued.

Source: SL 2009, ch 192, § 4; SL 2011, ch 1 (Ex. Ord. 11-1 ), § 162, eff. Apr. 12, 2011.
S.D. Codified Laws § 54-14-25 — SD Code / Title 54 / Chapter 14 / Section 54-14-25
Violation of license or registration requirements--Misdemeanor
Status: in_force

Any person, who without first obtaining a license or registration under this chapter, engages in the business or occupation of, or advertises or holds the person out as, or claims to be, or temporarily acts as, a mortgage broker, mortgage brokerage, mortgage lender, or mortgage loan originator in this state is guilty of a Class 2 misdemeanor and may be held responsible for all costs of prosecution, including restitution.

Source: SL 2007, ch 279, § 14; SL 2009, ch 251, § 26.
S.D. Codified Laws § 54-9-13.3 — SD Code / Title 54 / Chapter 9 / Section 54-9-13.3
Duties of assignee
Status: in_force

It shall be the duty of the assignee to collect and reduce to money the property of the estate, under the direction of the court; to report promptly to the court any claims presented to him which are not provable, or are incorrect or false and shall also report promptly for allowance all claims presented to him which are not disputed; close up the estate as expeditiously as possible; furnish such information concerning the estate as may be requested by parties in interest; keep regular accounts; pay dividends as often as is compatible with the best interest of the estate; make appraisals or in his discretion employ an appraiser or appraisers; and designate and employ auctioneers.

Source: SDC Supp 1960, ch 37.51 as added by SL 1969, ch 162, § 4.
S.D. Codified Laws § 54-1-2 — SD Code / Title 54 / Chapter 1 / Section 54-1-2
Loan of money defined
Status: in_force

A loan of money is a contract by which one delivers a sum of money to another, and the latter agrees to return at a future time a sum equivalent to that which he borrowed.

Source: CivC 1877, § 1092; CL 1887, § 3715; RCivC 1903, § 1411; RC 1919, § 1034; SDC 1939, § 38.0101.
S.D. Codified Laws § 54-4-61 — SD Code / Title 54 / Chapter 4 / Section 54-4-61
Copy provided to debtor
Status: in_force

The debtor may request a copy of any transaction pertaining to the debtor's installment loan contract. The licensee shall provide such copies upon request.

Source: SL 1998, ch 280, § 26.
S.D. Codified Laws § 54-1-3 — SD Code / Title 54 / Chapter 1 / Section 54-1-3
Debtor's contract valid in the absence of fraud
Status: in_force

In the absence of fraud every contract of a debtor is valid against all his creditors, existing or subsequent, who have not acquired a lien on the property affected by such contract.

Source: CivC 1877, § 2020; CL 1887, § 4653; RCivC 1903, § 2365; RC 1919, § 2038; SDC 1939, § 23.0102.
S.D. Codified Laws § 54-6A-10 — SD Code / Title 54 / Chapter 6A / Section 54-6A-10
Advertisement of lease-purchase agreement
Status: in_force

If an advertisement for a lease - purchase agreement refers to or states the dollar amount of any payment and the right to acquire ownership of any one specific item, the advertisement shall also clearly and conspicuously state the following items, as applicable:

(1) That the transaction advertised is a lease - purchase agreement;

(2) The total of payments necessary to acquire ownership; and

(3) That the consumer acquires no ownership rights if the total amount necessary to acquire ownership is not paid.

Any owner or personnel of any medium in which an advertisement appears or through which it is disseminated is not liable under this section.

The provisions of this section do not apply to an advertisement which does not refer to or state the amount of any payment, or which is published in the yellow pages of a telephone directory or in any similar directory of business.

Source: SL 1991, ch 393, § 10.
S.D. Codified Laws § 54-14-20 — SD Code / Title 54 / Chapter 14 / Section 54-14-20
Exemption of certain entities from chapter
Status: in_force

The State of South Dakota, any political subdivision of the state, and any quasi-governmental organization created by an executive order of the State of South Dakota and any subsidiary of such organization; any nonprofit corporation formed pursuant to chapter 47-22 ; any nonprofit United States Treasury Community Development Financial Institution, Small Business Administration Certified Development Company, or Regional Revolving Loan Fund; or any commercial club, chamber of commerce, or industrial development corporation formed pursuant to § 9-12-11 or 9-27-37 is exempt from the requirements of this chapter.

Source: SL 2007, ch 279, § 9; SL 2008, ch 256, § 1; SL 2009, ch 251, § 24.
S.D. Codified Laws § 54-15-8 — SD Code / Title 54 / Chapter 15 / Section 54-15-8
Conditions for removing or temporarily lifting security freeze
Status: in_force

A consumer reporting agency shall remove or temporarily lift a freeze placed on a consumer's credit report only in the following cases:

(1) Upon a consumer's request pursuant to § 54-15-6 or 54-15-11 ; or

(2) When the consumer's credit report was frozen due to a material misrepresentation of fact by the consumer. When a consumer reporting agency intends to remove a freeze upon a consumer's credit report under this subdivision, the consumer reporting agency shall notify the consumer in writing prior to removing the freeze on the consumer's credit report.

Source: SL 2006, ch 246, § 8.
S.D. Codified Laws § 54-16-3 — SD Code / Title 54 / Chapter 16 / Section 54-16-3
Application of chapter
Status: in_force

This chapter does not apply to the use of a protected consumer's credit report or record by:

(1) A person administering a credit file monitoring subscription service to which the protected consumer has subscribed or the representative of the protected consumer has subscribed on behalf of the protected consumer;

(2) A person providing the protected consumer or the protected consumer's representative with a copy of the protected consumer's credit report on request of the protected consumer or the protected consumer's representative; or

(3) A check services or fraud prevention services company that issues reports on incidents of fraud or authorizations for the purpose of approving or processing negotiable instruments, electronic funds transfers, or similar payment methods;

(4) A deposit account information service company that issues reports regarding account closures due to fraud, substantial overdrafts, automated teller machine abuse, or similar negative information regarding a consumer to inquiring financial institutions for use only in reviewing a consumer request for a deposit account at the inquiring financial institution;

(5) An insurance company for the purpose of conducting its ordinary business;

(6) A consumer reporting agency that acts only to resell credit information by assembling and merging information contained in a database of one or more consumer reporting agencies and does not maintain a permanent database of credit information from which new credit reports are produced; and

(7) A consumer reporting agency's database that consists of information used for criminal record information, fraud prevention or detection, personal loss history information, or employment, tenant, or individual background screening, but not for credit granting services.

Source: SL 2016, ch 230, § 3.
S.D. Codified Laws § 54-14-29 — SD Code / Title 54 / Chapter 14 / Section 54-14-29
Procedure for contesting suspension or revocation
Status: in_force

Any licensee whose license or registration is subject to suspension or revocation by the director, may contest such suspension or revocation in accordance with the provisions of chapter 1-26 .

Source: SL 2007, ch 279, § 18.
S.D. Codified Laws § 54-13-13 — SD Code / Title 54 / Chapter 13 / Section 54-13-13
Mediation of indebtedness requested by borrower--Procedure--Attendance at meetings not required
Status: in_force

A borrower may request mediation of any type or amount of indebtedness by applying to the director of the agricultural mediation program. The director of the agricultural mediation program may make the appropriate mediation request forms available for such purpose. The director of the agricultural mediation program may follow the same procedure as for mandatory mediation. Neither the borrower nor the creditor may be required to attend any mediation meetings under this section. Failure to attend mediation meetings or to participate in mediation under this section does not affect the rights of a borrower or a creditor in any manner. Participation in mediation under this section is not a prerequisite to or a bar to the commencement of an action of legal proceedings by the borrower or the creditor. No mediation release may be issued unless the borrower and creditor agree in writing.

Source: SL 1988, ch 384, § 13; SL 1991, ch 394, § 10; SL 2001, ch 259, § 11; SL 2015, ch 203, § 35.
S.D. Codified Laws § 54-15-3 — SD Code / Title 54 / Chapter 15 / Section 54-15-3
Request to consumer reporting agency for security freeze
Status: in_force

A person may place a security freeze on that person's credit report by making a request to a consumer reporting agency in a manner designated by the consumer reporting agency to receive a request for a security freeze. This section does not prevent a consumer reporting agency from advising a third party that a security freeze is in effect with respect to the consumer's credit report.

Source: SL 2006, ch 246, § 3; SL 2018, ch 273, § 1.
S.D. Codified Laws § 54-4-60 — SD Code / Title 54 / Chapter 4 / Section 54-4-60
Purchase of insurance not condition to receive loan
Status: in_force

A licensee may sell insurance to anyone with whom the licensee has a lending relationship. However, the licensee may not require the debtor to purchase the insurance from the licensee or any affiliate as a condition of the loan. The licensee may not require a borrower to purchase credit life insurance or any other life or health insurance as a condition of receiving the loan or as additional security.

Source: SL 1998, ch 280, § 25.
S.D. Codified Laws § 54-15-13 — SD Code / Title 54 / Chapter 15 / Section 54-15-13
Written confirmation of changes to report while security freeze in place
Status: in_force

If a security freeze is in place, a consumer reporting agency may not change any name, date of birth, social security number, or address in a consumer credit report without sending a written confirmation of the change to the consumer within thirty days of the change being posted to the consumer's file. Written confirmation is not required for technical modifications of a consumer's official information, including name and street abbreviations, complete spellings, or transposition of numbers or letters. In the case of an address change, the written confirmation shall be sent to both the new address and to the former address.

Source: SL 2006, ch 246, § 13.
S.D. Codified Laws § 54-4-74 — SD Code / Title 54 / Chapter 4 / Section 54-4-74
Debt suspension contract defined
Status: in_force

For the purposes of this chapter, the term, debt suspension contract, means a term of an extension of credit or contractual arrangement modifying terms of an extension of credit under which a licensee agrees to suspend all or part of a customer's obligation to repay an extension of credit from the licensee upon the occurrence of a specified event. The contract may be separate from or a part of other extension of credit documents. The term does not include installment payment deferral arrangements in which the triggering event is the customer's unilateral election to defer repayment, or the licensee's unilateral decision to allow a deferral of repayment.

Source: SL 2012, ch 235, § 3.
S.D. Codified Laws § 54-8A-5 — SD Code / Title 54 / Chapter 8A / Section 54-8A-5
Transfers fraudulent as to present creditors
Status: in_force

(a) A transfer made or obligation incurred by a debtor is fraudulent as to a creditor whose claim arose before the transfer was made or the obligation was incurred if the debtor made the transfer or incurred the obligation without receiving a reasonably equivalent value in exchange for the transfer or obligation and the debtor was insolvent at that time or the debtor became insolvent as a result of the transfer or obligation.

(b) A transfer made by a debtor is fraudulent as to a creditor whose claim arose before the transfer was made if the transfer was made to an insider for an antecedent debt, the debtor was insolvent at that time, and the insider had reasonable cause to believe that the debtor was insolvent.

Source: SL 1987, ch 365, § 5.
S.D. Codified Laws § 54-3A-5 — SD Code / Title 54 / Chapter 3A / Section 54-3A-5
Additional charges allowed--Disclosure and explanation to consumer--Separate agreement
Status: in_force

In addition to the finance charge, a creditor may contract for, and receive the following additional charges in connection with an installment sales contract if such charges are itemized and disclosed to the buyer:

(1) Official fees and taxes;

(2) Charges for guaranteed asset protection waivers, or credit life, accident, health, loss of income, property, or liability insurance. However any insurance is optional, and the consumer shall be informed, in writing, that any insurance is optional; and

(3) Charges for debt cancellation contracts and debt suspension contracts, as defined in §§ 51A-1-2 , 54-4-73 , and 54-4-74 , if the debt cancellation contract or debt suspension contract is a contract of a depository institution or a licensee pursuant to chapter 54-4 authorized to provide such coverage, and the contract is sold directly by the authorized depository institution or licensee pursuant to chapter 54-4 , or by a retailer acting as an agent for the authorized depository institution or licensee pursuant to chapter 54-4 . However, any debt cancellation contract or debt suspension contract is optional, and the consumer shall be informed, in writing, that any such contract is optional.

Any such charges shall be disclosed and explained to the consumer prior to signing any agreement to repay a consumer credit obligation. Any such charges shall be separately agreed to in writing and separately signed by the consumer.

Source: SL 1974, ch 305, § 5; SL 2005, ch 256, § 1; SL 2006, ch 244, § 1; SL 2012, ch 235, § 1.
S.D. Codified Laws § 54-16-5 — SD Code / Title 54 / Chapter 16 / Section 54-16-5
Release of report or information prohibited
Status: in_force

Unless a security freeze for a protected consumer is removed in accordance with § 54-16-7 or 54-16-10 , a consumer reporting agency may not release the protected consumer's credit report, any information derived from the protected consumer's credit report, or any record created for the protected consumer.

Source: SL 2016, ch 230, § 5.
S.D. Codified Laws § 54-14-12.4 — SD Code / Title 54 / Chapter 14 / Section 54-14-12.4
Registered mortgage loan originator defined
Status: in_force

For the purposes of this chapter, the term, registered mortgage loan originator, means any individual who:

(1) Meets the definition of mortgage loan originator and is an employee of:

(a) A depository institution;

(b) A subsidiary that is owned and controlled by a depository institution and regulated by a federal banking agency; or

(c) An institution regulated by the Farm Credit Administration; and

(2) Is registered with, and maintains a unique identifier through, the nationwide mortgage licensing system and registry.

Source: SL 2009, ch 251, § 5.
S.D. Codified Laws § 54-4-76 — SD Code / Title 54 / Chapter 4 / Section 54-4-76
Loans by unlicensed lenders uncollectible except for principal
Status: in_force

Any loan made in South Dakota after June 30, 2015, to a resident of South Dakota, by an entity organized to engage in the business of lending money not licensed or exempt from licensure pursuant to this chapter is unenforceable and uncollectible except as to any principal extended by the entity to the borrower.

Source: SL 2015, ch 242, § 5.
S.D. Codified Laws § 54-4-37.1 — SD Code / Title 54 / Chapter 4 / Section 54-4-37.1
Exemption for originating, selling, servicing, or acquiring five or fewer loans in twelve-month period where total of outstanding loans under certain amount--Annual report
Status: in_force

Any person who, on, before, or after July 1, 2017, originates, sells, services, or acquires five or fewer loans in a twelve-month period is exempt from this chapter, except for the provisions of chapter 10-43 as referenced in § 54-4-54 , as long as the total amount of the loans outstanding does not exceed four million dollars. The exemption under this section applies jointly to every entity in which a person has an equity interest, whether the loan or loans are made by that person or through an entity in which the person holds an equity interest.

Any person exempted by the provisions of this section shall report to the division annually, no later than December thirty-first of 2017, and every subsequent year for any year in which loans are originated, sold, serviced, or acquired. The annual report shall contain the name and address of the person who originated, sold, serviced, or acquired loans, the number of loans originated, sold, serviced, or acquired in the preceding calendar year, and the total balance of all loans originated, sold, serviced, or acquired.

Source: SL 2017, ch 207, § 3.
S.D. Codified Laws § 54-14-12.3 — SD Code / Title 54 / Chapter 14 / Section 54-14-12.3
Real estate brokerage activity defined
Status: in_force

For the purposes of this chapter, the term, real estate brokerage activity, means any activity that involves offering or providing real estate brokerage services to the public, including:

(1) Acting as a real estate agent or real estate broker for a buyer, seller, lessor, or lessee of real property;

(2) Bringing together parties interested in the sale, purchase, lease, rental, or exchange of real property;

(3) Negotiating, on behalf of any party, any portion of a contract relating to the sale, purchase, lease, rental, or exchange of real property (other than in connection with providing financing with respect to any such transaction);

(4) Engaging in any activity for which a person engaged in the activity is required to be registered or licensed as a real estate agent or real estate broker under any applicable law;

(5) Offering to engage in any activity, or act in any capacity, described in this section.

Source: SL 2009, ch 251, § 4.
S.D. Codified Laws § 54-3-3 — SD Code / Title 54 / Chapter 3 / Section 54-3-3
Annual rate of interest where not specified
Status: in_force

When a rate of interest is prescribed by a law or contract, without specifying the period of time by which such rate is to be calculated, it is to be deemed an annual rate.

Source: CivC 1877, § 1096; CL 1887, § 3719; RCivC 1903, § 1415; RC 1919, § 1038; SDC 1939, § 38.0107.
S.D. Codified Laws § 54-14-12 — SD Code / Title 54 / Chapter 14 / Section 54-14-12
Definitions
Status: in_force

Terms used in this chapter mean:

(1) "Depository institution," the same meaning as provided in 12 U.S.C. § 1813(c) as of January 1, 2009, and includes any credit union;

(2) "Director," the director of the Division of Banking of the Department of Labor and Regulation;

(3) "Division," the Division of Banking of the Department of Labor and Regulation;

(4) "Federal banking agencies," the Board of Governors of the Federal Reserve System, the Comptroller of the Currency, the director of the Office of Thrift Supervision, the National Credit Union Administration, and the Federal Deposit Insurance Corporation;

(5) "Immediate family member," a spouse, child, sibling, parent, grandparent, grandchild, stepparent, stepchildren, stepsibling, and adoptive relationship;

(6) "Individual," a natural person;

(7) "Licensee," the person holding a license provided by this chapter;

(8) "Mortgage lender," any person who, for valuable consideration, originates, sells, or services mortgages, or holds himself, herself, or itself out as a person who, for valuable consideration, originates, sells, or services mortgages, other than those exempt pursuant to § 54-14-21 ;

(9) "Mortgage broker," any person who acts as a mortgage loan originator and has not less than a ten percent interest in a mortgage brokerage;

(10) "Mortgage brokerage," any person engaged in placing mortgage loans with investors for a fee, but does not service such loans;

(11) "Mortgage lending activities," for compensation, either directly or indirectly, accepting or offering to accept applications for making mortgage loans;

(12) "Nationwide mortgage licensing system and registry," a mortgage licensing system developed and maintained by the Conference of State Bank Supervisors and the American Association of Residential Mortgage Regulators for the licensing and registration of licensed mortgage loan originators;

(13) "Regional revolving loan fund," any regional revolving loan fund with a service area of at least five South Dakota counties, a designated staff for loan processing and servicing, a loan portfolio of at least one million dollars, and which is governed by a board of directors that meets at least quarterly;

(14) "Residential mortgage loan," any loan primarily for personal, family, or household use that is secured by a mortgage, deed of trust, or other equivalent consensual security interest on a dwelling, as defined in 12 C.F.R. § 226.2(19), or residential real estate upon which is constructed or intended to be constructed a dwelling;

(15) "Unique identifier," a number or other identifier assigned by protocols established by the nationwide mortgage licensing system and registry.

Source: SL 2007, ch 279, § 1; SL 2008, ch 255, § 1; SL 2009, ch 251, § 1; SL 2011, ch 1 (Ex. Ord. 11-1 ), § 36, eff. Apr. 12, 2011.
S.D. Codified Laws § 54-10-9 — SD Code / Title 54 / Chapter 10 / Section 54-10-9
Value of security, determination by litigation--Redemption of assets by liquidator
Status: in_force

Under the circumstances described by § 54-10-7 , the court may order the value of the security determined by litigation, through proceedings in the liquidation proceeding. The liquidator may redeem such assets by paying the value so determined, if authorized by the court.

Source: SL 1941, ch 162, § 6; SDC Supp 1960, § 37.26A06 (2).
S.D. Codified Laws § 54-15-9 — SD Code / Title 54 / Chapter 15 / Section 54-15-9
Treatment of credit or other application as incomplete for denial of limited access to credit information
Status: in_force

If a third party requests access to a consumer credit report on which a security freeze is in effect, and this request is in connection with an application for credit or any other use, and the consumer does not allow the consumer's credit report to be accessed for that specific party or period of time, the third party may treat the application as incomplete.

Source: SL 2006, ch 246, § 9.
S.D. Codified Laws § 54-13-10 — SD Code / Title 54 / Chapter 13 / Section 54-13-10
Mandatory mediation--Requirements--Voluntary mediation
Status: in_force

A creditor desiring to commence an action or a proceeding in this state to enforce a debt totaling fifty thousand dollars or greater against agricultural land or agricultural property of the borrower or to foreclose a contract to sell agricultural land or agricultural property or to enforce a secured interest in agricultural land or agricultural property or pursue any other action, proceeding or remedy relating to agricultural land or agricultural property of the borrower shall file a request for mandatory mediation with the director of the agricultural mediation program. No creditor may commence any such action or proceeding until the creditor receives a mediation release as described in this chapter, or the debtor waives mediation or until a court determines after notice and hearing, that the time delay required for mediation would cause the creditor to suffer irreparable harm because there are reasonable grounds to believe that the borrower may waste, dissipate, or divert agricultural property or that the agricultural property is in imminent danger of deterioration. Dismissal of a bankruptcy proceeding, abandonment by a bankruptcy trustee, release or relief from a bankruptcy stay, or release or termination of a receivership proceeding shall have the effect of a mediation release. Any debt that is less than fifty thousand dollars may be mediated through a voluntary mediation if a request is made and accepted by both borrower and creditor.

Source: SL 1988, ch 384, § 10; SL 1991, ch 394, § 8; SL 2001, ch 259, § 8; SL 2015, ch 203, § 32.
S.D. Codified Laws § 54-16-1 — SD Code / Title 54 / Chapter 16 / Section 54-16-1
Definitions
Status: in_force

Terms used in this chapter mean:

(1) "Protected consumer," a person who is under the age of sixteen years at the time a request for the placement of a security freeze is made or an incapacitated person or a protected person for whom a guardian or conservator has been appointed;

(2) "Record," a compilation of information that is created by a consumer reporting agency solely for the purpose of complying with this section, identifies a protected consumer, and may not be used to consider the protected consumer's credit worthiness, credit standing, credit capacity, character, general reputation, personal characteristics, or mode of living;

(3) "Representative," a person who provides to a consumer reporting agency sufficient proof of authority to act on behalf of a protected consumer;

(4) "Security freeze," a notice placed on a consumer's credit report that prohibits a consumer reporting agency from releasing the consumer's credit report relating to the extension of credit involving that consumer's report, without the express authorization of the protected person's representative;

(5) "Sufficient proof of authority," documentation that shows a representative has authority to act on behalf of a protected consumer and includes an order issued by a court of law, a lawfully executed and valid power of attorney, or a notarized statement signed by a representative that expressly describes the authority of the representative to act on behalf of a protected consumer;

(6) "Sufficient proof of identification," information or documentation that identifies a protected consumer or a representative of a protected consumer and includes a social security number or a copy of a social security card issued by the social security administration, a certified or official copy of a birth certificate, or a copy of a driver license, an identification card issued by the motor vehicle administration, or any other government issued identification.

Source: SL 2016, ch 230, § 1.
S.D. Codified Laws § 54-3A-25 — SD Code / Title 54 / Chapter 3A / Section 54-3A-25
Severability of provisions
Status: in_force

If any part of this chapter is invalid, all valid parts that are severable from the invalid part shall remain in effect. If any part of this chapter is invalid in one or more of its applications, the parts that are severable from the invalid applications shall remain in effect in all valid applications.

Source: SL 1974, ch 305, § 19.
S.D. Codified Laws § 54-14-38 — SD Code / Title 54 / Chapter 14 / Section 54-14-38
Improper influence on real estate appraisals prohibited--Grounds for discipline
Status: in_force

No mortgage lender, mortgage broker, or mortgage loan originator, required to be licensed or registered by this chapter, with an interest in a real estate transaction or the financing of any loan secured by real estate involving an appraisal assignment may improperly influence or attempt to improperly influence the development, reporting, result, or review of a real estate appraisal by:

(1) Coercion, extortion, or bribery;

(2) Withholding or threatened withholding of payment for an appraisal fee;

(3) Conditioning of the payment of an appraisal fee upon the opinion, conclusion, or valuation to be reached;

(4) Requesting that the appraiser report a predetermined opinion, conclusion, or valuation or the desired valuation of any person; or

(5) Any other act or practice that impairs or attempts to impair an appraiser's independence, objectivity, and impartiality.

A violation of this section may constitute grounds for discipline against a mortgage lender, mortgage broker, or mortgage loan originator who is licensed or registered pursuant to this chapter.

Source: SL 2009, ch 192, § 3.
S.D. Codified Laws § 54-14-20.1 — SD Code / Title 54 / Chapter 14 / Section 54-14-20.1
Exemption of certain persons from mortgage loan originator license requirement
Status: in_force

The following are exempt from the requirement of obtaining a mortgage loan originator license:

(1) Any individual who offers or negotiates terms of a mortgage loan with or on behalf of an immediate family member of the individual;

(2) Any individual who offers or negotiates terms of a residential mortgage loan secured by a dwelling that served as the individual's residence; or

(3) Any individual who, on, before, or after July 1, 2017, offers or negotiates terms of five or fewer nonresidential mortgage loans in a twelve-month period as long as the total amount of the loans outstanding does not exceed four million dollars.

Source: SL 2009, ch 251, § 23; SL 2012, ch 237, § 1; SL 2017, ch 207, § 2.
S.D. Codified Laws § 54-15-7 — SD Code / Title 54 / Chapter 15 / Section 54-15-7
Expedited procedures for temporary lifting of security freeze
Status: in_force

A consumer reporting agency may develop procedures involving the use of telephone, fax, the internet, or other electronic media to receive and process a request from a consumer to temporarily lift a freeze on that consumer's credit report in an expedited manner.

Source: SL 2006, ch 246, § 7.
S.D. Codified Laws § 54-11-6.1 — SD Code / Title 54 / Chapter 11 / Section 54-11-6.1
Credit service charge permitted on revolving charge account
Status: in_force

A person may collect a credit service charge on any revolving charge account made pursuant to § 54-11-5 , subject to §§ 54-11-6.2 to 54-11-6.4 , inclusive.

Source: SL 1979, ch 335, § 3.
S.D. Codified Laws § 54-16-6 — SD Code / Title 54 / Chapter 16 / Section 54-16-6
Duration of security freeze
Status: in_force

A security freeze for a protected consumer placed under § 54-16-4 shall remain in effect until:

(1) The protected consumer or the protected consumer's representative requests the consumer reporting agency to remove the security freeze in accordance with § 54-16-7 ; or

(2) The security freeze is removed in accordance with § 54-16-10 .

Source: SL 2016, ch 230, § 6.
S.D. Codified Laws § 54-14-15 — SD Code / Title 54 / Chapter 14 / Section 54-14-15
Information to be furnished to nationwide mortgage licensing system and registry--Distribution of information--Criminal background check
Status: in_force

In connection with an application for licensing as a mortgage lender, mortgage broker, or mortgage loan originator, the applicant shall furnish to the nationwide mortgage licensing system and registry information concerning the applicant's identity, including:

(1) Fingerprints for submission to the Federal Bureau of Investigation, and any governmental agency or entity authorized to receive such information, for a state, national, and international criminal history background check; and

(2) Personal history and experience in a form prescribed by the nationwide mortgage licensing system and registry, including the submission of authorization for the nationwide mortgage licensing system and registry and the director to obtain:

(a) An independent credit report from a consumer reporting agency described in 15 U.S.C. § 1681(a) as of January 1, 2009; and

(b) Information related to any administrative, civil, or criminal findings by any governmental jurisdiction.

The Division of Banking may require a state and federal criminal background check for any licensee who is the subject of a disciplinary investigation by the division. Failure to submit or cooperate with the criminal background investigation is grounds for denial of an application or may result in revocation of a license. The applicant shall pay for any fees charged for the cost of fingerprinting or the criminal background investigation.

The director may use the nationwide mortgage licensing system and registry as a channeling agent for requesting information from and distributing information to the United States Department of Justice or any governmental agency. The director may use the nationwide mortgage licensing system and registry as a channeling agent for requesting and distributing information to and from any source so directed by the director.

Source: SL 2007, ch 279, § 4; SL 2009, ch 251, § 8.
S.D. Codified Laws § 54-3A-7 — SD Code / Title 54 / Chapter 3A / Section 54-3A-7
Modification of agreement to increase outstanding obligation prohibited--Exception
Status: in_force

Except as provided in this section, no creditor shall modify the terms of any agreement with a consumer with respect to any outstanding obligation of the consumer, which results in an increase of the rate of the finance or other charges or an increase in the amount of an installment or periodic payment due, or which otherwise adversely affects the interest of the consumer. A modification agreed to by the parties which applies to obligations incurred by the consumer after the agreement for modification is permissible.

Source: SL 1974, ch 305, § 6.
S.D. Codified Laws § 54-14-12.2 — SD Code / Title 54 / Chapter 14 / Section 54-14-12.2
Mortgage loan originator defined
Status: in_force

For the purposes of this chapter, the term, mortgage loan originator, means an individual who for compensation or gain or in the expectation of compensation or gain takes a mortgage loan application or offers or negotiates terms of a mortgage loan.

A mortgage loan originator does not include:

(1) An individual engaged solely as a loan processor or underwriter except as otherwise provided in § 54-14-12.1

(2) An individual or entity that performs only real estate brokerage activities and is licensed or registered in accordance with applicable South Dakota law, unless the individual or entity is compensated by a lender, a mortgage broker, or other mortgage loan originator or by any agent of such lender, mortgage broker, or other mortgage loan originator; or

(3) Any individual or entity solely involved in extensions of credit relating to timeshare plans, as that term is defined in 11 U.S.C. § 101(53D) as of January 1, 2009.

Source: SL 2009, ch 251, § 3.
S.D. Codified Laws § 54-8A-7 — SD Code / Title 54 / Chapter 8A / Section 54-8A-7
Remedies of creditors
Status: in_force

(a) In an action for relief against a transfer or obligation under this chapter, a creditor, subject to the limitations in § 54-8A-8 , may obtain:

(1) Avoidance of the transfer or obligation to the extent necessary to satisfy the creditor's claim;

(2) An attachment or other provisional remedy against the asset transferred or other property of the transferee;

(3) Subject to applicable principles of equity and in accordance with applicable rules of civil procedure,

(i) An injunction against further disposition by the debtor or a transferee, or both, of the asset transferred or of other property;

(ii) Appointment of a receiver to take charge of the asset transferred or of other property of the transferee; or

(iii) Any other relief the circumstances may require.

(b) If a creditor has obtained a judgment on a claim against the debtor, the creditor, if the court so orders, may levy execution on the asset transferred or its proceeds.

Source: SL 1987, ch 365, § 7.
S.D. Codified Laws § 54-4-62 — SD Code / Title 54 / Chapter 4 / Section 54-4-62
Satisfaction of loan--Release of assignments
Status: in_force

When the payment of a loan is satisfied, the licensee shall release any liens against any property used as security, cancel any note, and release all assignments associated with the contract. The licensee shall send the note stamped paid in full and release any liens or assignments to the debtor within sixty days of receiving payment in full.

Source: SL 1998, ch 280, § 27.
S.D. Codified Laws § 54-3-5.1 — SD Code / Title 54 / Chapter 3 / Section 54-3-5.1
Interest on judgments, statutory liens and inverse condemnations
Status: in_force

Interest is payable on all judgments and statutory liens, exclusive of real estate mortgages and security agreements under Title 57A, and exclusive of support debts or judgments under § 25-7A-14 , at the Category B rate of interest as established in § 54-3-16 from and after the date of judgment and date of filing statutory lien. On all judgments arising from inverse condemnation actions, interest is payable at the Category A rate of interest as established by § 54-3-16 .

Source: SL 1981, ch 349, §§ 1, 3; SL 1982, ch 341, § 3; SL 1983, ch 361; SL 1984, ch 319, § 31; SL 1986, ch 218, § 69; SL 2003, ch 242, § 1.
S.D. Codified Laws § 54-4-52 — SD Code / Title 54 / Chapter 4 / Section 54-4-52
License required
Status: in_force

No person may engage in the business of lending money without a license. A violation of this section is a Class 1 misdemeanor.

Source: SL 1998, ch 280, § 17.
S.D. Codified Laws § 54-13-9 — SD Code / Title 54 / Chapter 13 / Section 54-13-9
Notice to borrower and creditor of availability of financial preparation assistance
Status: in_force

Upon receipt of a mediation request, the director of the agricultural mediation program shall notify the borrower and creditor as to whether financial preparation assistance resources are available and shall provide any other information available regarding assistance programs to borrowers.

Source: SL 1988, ch 384, § 9; SL 1991, ch 394, § 7; SL 2001, ch 259, § 7; SL 2015, ch 203, § 31.
S.D. Codified Laws § 54-9-7 — SD Code / Title 54 / Chapter 9 / Section 54-9-7
Inventory required of assignor--Contents--Verification
Status: in_force

Within twenty days after an assignment is made for the benefit of creditors, the assignor must make and file in the manner prescribed by § 54-9-8 , a full and true inventory, showing:

(1) All the creditors of the assignor;

(2) The place of residence of each creditor, if known to the assignor, or if not known, that fact must be stated;

(3) The sum owing to each creditor, and the nature of each debt or liability, whether arising on written security, account, or otherwise;

(4) The true consideration of the liability in each case, and the place where it arose;

(5) Every existing judgment, mortgage, or other security for the payment of any debt or liability of the assignor;

(6) All property of the assignor at the date of the assignment which is exempt by law from execution;

(7) All the assignor's property at the date of the assignment, both real and personal, of every kind not so exempt, and the encumbrances existing thereon, and all vouchers and securities relating thereto, and the value of such property according to the best knowledge of the assignor.

An affidavit must be made by every person executing an assignment for the benefit of creditors, to be annexed to and filed with the inventory, to the effect that the same is in all respects just and true, according to the best of such assignor's knowledge and belief.

Source: CivC 1877, §§ 2034, 2035; CL 1887, §§ 4667, 4668; RCivC 1903, §§ 2379, 2380; RC 1919, §§ 2052, 2053; Supreme Court Rule 618, 1939; SDC 1939 & Supp 1960, § 37.5106.
S.D. Codified Laws § 54-9-13.1 — SD Code / Title 54 / Chapter 9 / Section 54-9-13.1
Action by assignee against person receiving property of debtor in fraud of creditors
Status: in_force

In addition to those otherwise provided in this chapter, the court shall have power to authorize an assignee to bring an action or special proceeding, which he is hereby empowered to maintain, against any person who has received, taken or in any manner interfered with the estate, property or effects of the debtor in fraud of his creditors and which might have been avoided by a creditor of the assignor and the assignee may recover the property so transferred or its value.

Source: SDC Supp 1960, ch 37.51 as added by SL 1969, ch 162, § 3.
S.D. Codified Laws § 54-12-22 — SD Code / Title 54 / Chapter 12 / Section 54-12-22
Reverse mortgage loan payment--Undisbursed reverse mortgage funds
Status: in_force

A reverse mortgage loan payment made to a borrower is treated as proceeds from a loan and not as income for the purpose of determining eligibility and benefits under means - tested programs of aid to individuals. Undisbursed reverse mortgage funds shall be treated as equity in a borrower's home and not as proceeds from a loan, resources, or assets for the purpose of determining eligibility and benefits under means - tested programs of aid to individuals. This section applies to any law or program relating to payments, allowances, benefits, or services provided on a means - tested basis by this state, including supplemental security income, low - income energy assistance, property tax relief, medical assistance, and general assistance.

Source: SL 1997, ch 276, § 3.
S.D. Codified Laws § 54-4-45 — SD Code / Title 54 / Chapter 4 / Section 54-4-45
Duration of license--Renewal
Status: in_force

A license expires on December thirty-first. To renew a license, the licensee shall file for renewal by December first. The renewal application shall include a renewal fee not to exceed one thousand dollars, as set by rules of the commission promulgated pursuant to chapter 1-26 , proof of surety bond, and any other information as required by the director, by rule or order. Any licensee that files for renewal after December first and before January first of the next calendar year shall pay a late fee in addition to the renewal fee. The late fee shall equal twenty-five percent of the renewal fee. After December thirty-first, no license may be issued unless an application is filed pursuant to § 54-4-40 .

Any money lending license issued pursuant to chapter 54-4 that is set to expire on July 1, 2015, is extended until December 31, 2015.

Source: SL 1998, ch 280, § 10; SL 2004, ch 293, § 2, eff. Feb. 25, 2004; SL 2005, ch 258, § 4; SL 2015, ch 242, § 3.
S.D. Codified Laws § 54-2-2 — SD Code / Title 54 / Chapter 2 / Section 54-2-2
Repayment of loan in current funds
Status: in_force

A borrower of money must pay the amount due in such money as is current at the time when the loan becomes due, whether such money is worth more or less than the actual money lent.

Source: CivC 1877, § 1093; CL 1887, § 3716; RCivC 1903, § 1412; RC 1919, § 1035; SDC 1939, § 38.0102.
S.D. Codified Laws § 54-6A-7 — SD Code / Title 54 / Chapter 6A / Section 54-6A-7
Reinstatement of agreement--Repossession
Status: in_force

A consumer who fails to make a timely rental payment may reinstate the agreement, without losing any rights or options which exist under the agreement, by the payment of:

(1) All past due rental charges;

(2) If the property has been picked up, the reasonable costs of pickup and redelivery; and

(3) Any applicable late fee, within five days of the renewal date if the consumer pays monthly, or within two days of the renewal date if the consumer pays more frequently than monthly.

In the case of a consumer who has paid less than two - thirds of the total of payments necessary to acquire ownership and if the consumer has returned or voluntarily surrendered the property, other than through judicial process, during the applicable reinstatement period set forth in this section, the consumer may reinstate the agreement during a period of not less than twenty - one days after the date of the return of the property.

In the case of a consumer who has paid two - thirds or more of the total of payments necessary to acquire ownership, and if the consumer has returned or voluntarily surrendered the property, other than through judicial process, during the applicable period set forth in this section, the consumer may reinstate the agreement during a period of not less than forty - five days after the date of the return of the property.

Nothing in this section prevents a lessor from attempting to repossess property during the reinstatement period, but such a repossession does not affect the consumer's right to reinstate. Upon reinstatement, the lessor shall provide the consumer with the same property or substitute property of comparable quality and condition.

Source: SL 1991, ch 393, § 7.
S.D. Codified Laws § 54-8A-8 — SD Code / Title 54 / Chapter 8A / Section 54-8A-8
Defenses, liability and protection of transferee
Status: in_force

(a) A transfer or obligation is not voidable under subsection 54-8A-4(a)(1) against a person who took in good faith and for a reasonably equivalent value or against any subsequent transferee or obligee.

(b) Except as otherwise provided in this section, to the extent a transfer is voidable in an action by a creditor under subsection 54-8A-7(a)(1) the creditor may recover judgment for the value of the asset transferred, as adjusted under subsection (c) of this section, or the amount necessary to satisfy the creditor's claim, whichever is less. The judgment may be entered against:

(1) The first transferee of the asset or the person for whose benefit the transfer was made; or

(2) Any subsequent transferee other than a good faith transferee who took for value or from any subsequent transferee.

(c) If the judgment under subsection (b) of this section is based upon the value of the asset transferred, the judgment shall be for an amount equal to the value of the asset at the time of the transfer, subject to adjustment as the equities may require.

(d) Notwithstanding voidability of a transfer or an obligation under this chapter, a good - faith transferee or obligee is entitled, to the extent of the value given the debtor for the transfer or obligation, to:

(1) A lien on or a right to retain any interest in the asset transferred;

(2) Enforcement of any obligation incurred; or

(3) A reduction in the amount of the liability on the judgment.

(e) A transfer is not voidable under subsection 54-8A-4(a)(2) or § 54-8A-5 if the transfer results from:

(1) Termination of a lease upon default by the debtor when the termination is pursuant to the lease and applicable law; or

(2) Enforcement of a security interest in compliance with chapter 57A-9 .

(f) A transfer is not voidable under subdivision 54-8A-5(b):

(1) To the extent the insider gave new value to or for the benefit of the debtor after the transfer was made unless the new value was secured by a valid lien;

(2) If made in the ordinary course of business or financial affairs of the debtor and the insider; or

(3) If made pursuant to a good - faith effort to rehabilitate the debtor and the transfer secured present value given for that purpose as well as an antecedent debt of the debtor.

Source: SL 1987, ch 365, § 8.
S.D. Codified Laws § 54-9-13 — SD Code / Title 54 / Chapter 9 / Section 54-9-13
Assignee takes subject to rights of third parties--Nonliability for acts done in good faith under void assignment
Status: in_force

An assignee for the benefit of creditors is not to be regarded as a purchaser for value, and has no greater right than his assignor had, in respect to things in action transferred by the assignment. He is not to be held liable for his acts done in good faith in the execution of the trust, merely for the reason that the assignment is afterward adjudged void.

Source: CivC 1877, §§ 2033, 2045; CL 1887, §§ 4666, 4679; RCivC 1903, §§ 2378, 2391; RC 1919, §§ 2051, 2064; SDC 1939 & Supp 1960, § 37.5105.
S.D. Codified Laws § 54-9-1 — SD Code / Title 54 / Chapter 9 / Section 54-9-1
Execution of assignment by insolvent debtor
Status: in_force

An insolvent debtor, as defined by the statutes of fraudulent conveyance, may, in good faith, execute an assignment of property to one or more assignees, in trust towards the satisfaction of his creditors, in conformity to the provisions of this chapter, subject, however, to the provisions of the statutes relative to trusts and to fraudulent transfers, and to the restrictions imposed by law upon assignments by special partnerships, by corporations or by other specified classes of persons.

Source: CivC 1877, § 2027; CL 1887, § 4660; RCivC 1903, § 2372; RC 1919, § 2045; SDC 1939 & Supp 1960, § 37.5101.
S.D. Codified Laws § 54-10-3 — SD Code / Title 54 / Chapter 10 / Section 54-10-3
Failure of secured creditor to disclose existence of security--Effect of concealment
Status: in_force

Any secured creditor who with intent to evade the provisions of this chapter fails to disclose the existence of the security shall not be entitled to receive or retain dividends out of the general assets, unless he thereafter releases or surrenders to the liquidator the security which he has failed to disclose, or unless he procures such release or surrender if the security is in the possession of an endorser, surety, or other person secondarily liable for the insolvent debtor.

Source: SL 1941, ch 162, § 3; SDC Supp 1960, § 37.26A03.
S.D. Codified Laws § 54-14-13.1 — SD Code / Title 54 / Chapter 14 / Section 54-14-13.1
(See §54-14-13.3for effective dates) Mortgage loan originator license--Required findings
Status: in_force

The director may not issue a mortgage loan originator license unless the director makes the following findings:

(1) The applicant has never had a mortgage loan originator license revoked in any governmental jurisdiction. No revocation for which there has been a subsequent formal vacation of the revocation may be considered by the director;

(2) The applicant has not been convicted of, or pled guilty or nolo contendere to, a felony in a domestic, foreign, or military court:

(a) During the seven year period preceding the date of the application for licensing and registration; or

(b) At any time preceding the date of application, if the felony involved an act of fraud, dishonesty, breach of trust, or money laundering.

No pardon of a conviction may be considered a conviction for purposes of this subdivision;

(3) The applicant has demonstrated financial responsibility, character, and general fitness such as to command the confidence of the community and to warrant a determination that the mortgage loan originator will operate honestly, fairly, and efficiently within the purposes of this chapter. For purposes of this subdivision, an applicant shows a lack of financial responsibility if the applicant has shown a disregard in the management of his or her own financial affairs. Factors to be considered may include current outstanding judgments, except judgments solely as a result of medical expenses; current outstanding tax liens or other governmental liens and filings; foreclosures within the past three years; or a pattern of seriously delinquent accounts within the past three years;

(4) The applicant has completed the pre-licensing education requirement provided for by rule pursuant to § 54-14-31 ;

(5) The applicant has passed a written test that meets the test requirement provided for by rule pursuant to § 54-14-31 ; and

(6) The applicant has met the surety bond requirement as required by § 54-14-24 and provided for by rule pursuant to § 54-14-24 .

Source: SL 2009, ch 251, § 7.
S.D. Codified Laws § 54-4-37 — SD Code / Title 54 / Chapter 4 / Section 54-4-37
Entities exempt from chapter provisions
Status: in_force

The following entities are exempt from the provisions of this chapter:

(1) Any state bank and its subsidiary;

(2) Any national bank and its subsidiary;

(3) Any bank holding company and its subsidiary;

(4) Any other federally insured financial institution, its holding company and subsidiary; and

(5) Any South Dakota chartered trust company.

Source: SL 1998, ch 280, § 2; SL 1999, ch 239, § 1; SL 2004, ch 292, § 1.
S.D. Codified Laws § 54-4-71 — SD Code / Title 54 / Chapter 4 / Section 54-4-71
Term of title loan--Renewal--Payment amounts--Deferred principal amount
Status: in_force

Any title loan shall be for an initial term of no more than one month but may be renewed for additional one-month periods. No title loan may be renewed more than four times except as provided in this section. Upon the fifth renewal of a title loan, and through the eighth renewal, the debtor shall make payment of at least ten percent of the original principal amount of the title loan, in addition to any finance charges that are due. If at any renewal requiring a principal reduction, the debtor has not made previous principal reductions adequate to satisfy the current required principal reduction, and the debtor does not pay at least ten percent of the original loan amount, the title lender may either declare the debtor in default or renew the title loan and defer the required principal payment for an additional period. However, no further finance charges may accrue or be earned against the principal amount so deferred. For purposes of this section, a renewal is any extension or continuation of a title loan for an additional period without any change to the title loan or its terms other than a reduction in principal. After the eighth renewal the title loan is due in full and no further finance charges or fees may accrue or be earned.

Source: SL 2006, ch 245, § 13.
S.D. Codified Laws § 54-3A-23 — SD Code / Title 54 / Chapter 3A / Section 54-3A-23
Proof of unintentional error
Status: in_force

The creditor shall have the burden of establishing by a preponderance of the evidence that the excess amount or other violation occurred as a result of an unintentional or bona fide error of computation.

Source: SL 1974, ch 305, § 16.
S.D. Codified Laws § 54-1-5 — SD Code / Title 54 / Chapter 1 / Section 54-1-5
Marshaling of funds--Rights of creditor
Status: in_force

Where a creditor is entitled to resort to each of several funds for the satisfaction of his claim, and another person has an interest in or is entitled as a creditor to resort to some but not all of them, the latter may require the former to seek satisfaction from those funds to which the latter has no such claim so far as it can be done without impairing the right of the former to complete satisfaction, and without doing injustice to third persons.

Source: CivC 1877, § 2022; CL 1887, § 4655; RCivC 1903, § 2367; RC 1919, § 2040; SDC 1939, § 23.0104.
S.D. Codified Laws § 54-4-68 — SD Code / Title 54 / Chapter 4 / Section 54-4-68
Appointment of resident agent for service of process--Notice
Status: in_force

A person licensed pursuant to chapter 54-4 shall appoint a resident agent for service of process and provide notice of such appointment to the director.

Source: SL 2005, ch 258, § 10.
S.D. Codified Laws § 54-3A-12 — SD Code / Title 54 / Chapter 3A / Section 54-3A-12
Imposition and collection of delinquency charge
Status: in_force

The holder of a contract authorized by this chapter may, if the contract so provides, collect a delinquency and collection charge on each installment in arrears for a period of not less than ten days in an amount not in excess of five percent of each installment or five dollars, whichever is greater.

Any delinquency or collection charge may be collected only once on any one installment however long the installment remains delinquent.

Source: SL 1974, ch 305, § 9; SL 1975, ch 299, § 4; SL 1986, ch 405, § 6; SL 1990, ch 384, § 1; SL 1999, ch 238, § 1.
S.D. Codified Laws § 54-9-20 — SD Code / Title 54 / Chapter 9 / Section 54-9-20
Application of assignee for discharge--Notice by publication
Status: in_force

In either of the cases mentioned in §§ 54-9-18 and 54-9-19 the assignee shall give notice by publication in some newspaper of the county, if there be one printed and published therein, if not, in a newspaper published at the capital of the state, once in each week, for at least three weeks, that he will apply to the judge of the circuit court for such discharge, at a time and place to be stated in such notice, which time shall not be more than three weeks after the last publication of the notice.

Source: SL 1887, ch 8, § 1; SL 1887, ch 9, § 1; CL 1887, § 4675; RCivC 1903, § 2387; RC 1919, § 2060; SDC 1939 & Supp 1960, § 37.5110.
S.D. Codified Laws § 54-16-2 — SD Code / Title 54 / Chapter 16 / Section 54-16-2
Security freeze for protected consumer upon request to consumer reporting agency by protected consumer's representative
Status: in_force

A consumer reporting agency shall place a security freeze for a protected consumer if the agency receives a request from the protected consumer's representative for the placement of the security freeze under this section and the protected consumer's representative:

(1) Submits the request to the agency in the manner specified by the agency;

(2) Provides to the agency sufficient proof of identification of the protected consumer and the representative;

(3) Provides to the agency sufficient proof of authority to act on behalf of the protected consumer; and

(4) Pays to the agency a fee as provided in § 54-16-9 .

If a consumer reporting agency does not have a file pertaining to a protected consumer when the consumer reporting agency receives a request under this section, the consumer reporting agency shall create a record for the protected consumer.

Source: SL 2016, ch 230, § 2.
S.D. Codified Laws § 54-4-46 — SD Code / Title 54 / Chapter 4 / Section 54-4-46
Transfer of license--Approval required for name change
Status: in_force

The licensee may not transfer or assign the license. The licensee may only transact business under a name shown on the license. Any name change is subject to prior approval by the director.

Source: SL 1998, ch 280, § 11.
S.D. Codified Laws § 54-2-1 — SD Code / Title 54 / Chapter 2 / Section 54-2-1
Payment defined
Status: in_force

Performance of an obligation for the delivery of money only, is called payment.

Source: CivC 1877, § 832; CL 1887, § 3456; RCivC 1903, § 1149; RC 1919, § 756; SDC 1939, § 47.0206.
S.D. Codified Laws § 54-3A-21 — SD Code / Title 54 / Chapter 3A / Section 54-3A-21
Limitation on action for excessive charges
Status: in_force

With respect to excess charges arising from an installment sales contract, no action pursuant to § 54-3A-20 may be brought more than three years after the due date of the last scheduled payment of the contract on which the charge was made.

Source: SL 1974, ch 305, § 17.
S.D. Codified Laws § 54-3A-20 — SD Code / Title 54 / Chapter 3A / Section 54-3A-20
Debt forfeited for excessive charges--Costs and attorney fees
Status: in_force

If any amount in excess of the charges permitted by this chapter is contracted for or received, or if any other provision of this chapter is violated, other than as a result of an unintentional or bona fide error of computation, the consumer shall not be liable for any part of the principal, interest or any other charges whatsoever, and shall be allowed to recover costs and reasonable attorney's fees.

Source: SL 1974, ch 305, § 16.
S.D. Codified Laws § 54-3-5 — SD Code / Title 54 / Chapter 3 / Section 54-3-5
Interest on moneys after they become due--Exception for express contracts or interest rate on bill, statement, or invoice--Limitation on interest rate
Status: in_force

Unless there is an express contract in writing fixing a different rate or the interest rate clearly appears on the bill, statement, or invoice, interest is payable on all moneys at the Category F rate of interest as established in § 54-3-16 after they become due on any instrument of writing, and on moneys lent, or due on any settlement of accounts, from the day on which the balance is ascertained, and on moneys received to the use of another and detained from that other. Any interest rate appearing on a bill, statement, or invoice may not exceed eighteen percent.

Source: SDC 1939, § 38.0109; SL 1972, ch 257; SL 1975, ch 297; SL 1980, ch 336, § 2; SL 1981, ch 348; SL 1984, ch 319, § 35; SL 1994, ch 366, § 2; SL 2005, ch 255, § 1.
S.D. Codified Laws § 54-14-26 — SD Code / Title 54 / Chapter 14 / Section 54-14-26
Examination and investigation by director
Status: in_force

Any licensee or registrant is subject to examination and investigation by the director. The director shall promulgate rules pursuant to chapter 1-26 that specify the process by which examinations and investigations will be performed.

Source: SL 2007, ch 279, § 15.
S.D. Codified Laws § 54-15-16 — SD Code / Title 54 / Chapter 15 / Section 54-15-16
Furnishing of information to governmental agency when security freeze in place
Status: in_force

A consumer reporting agency may furnish to a governmental agency a consumer's name, address, former address, places of employment, or former places of employment even if a security freeze is in place.

Source: SL 2006, ch 246, § 16.
S.D. Codified Laws § 54-10-5 — SD Code / Title 54 / Chapter 10 / Section 54-10-5
Obligation for payment of money as security--Determination of value
Status: in_force

When the asset constituting the security is an obligation for the payment of money, the secured creditor may determine its value by collection or by exhausting his remedies thereon and then surrendering the obligation to the liquidator.

Source: SL 1941, ch 162, § 5; SDC Supp 1960, § 37.26A05 (1).
S.D. Codified Laws § 54-6A-6 — SD Code / Title 54 / Chapter 6A / Section 54-6A-6
Provisions prohibited in agreements
Status: in_force

A lease - purchase agreement may not contain:

(1) A confession of judgment;

(2) A negotiable instrument;

(3) A security interest or any other claim of a property interest in any goods except those goods delivered by the lessor pursuant to the lease - purchase agreement;

(4) A wage assignment;

(5) A waiver by the consumer of claims or defenses; or

(6) A provision authorizing the lessor or a person acting on the lessor's behalf to enter upon the consumer's premises or to commit any breach of the peace in the repossession of goods.

Source: SL 1991, ch 393, § 6.
S.D. Codified Laws § 54-1-1 — SD Code / Title 54 / Chapter 1 / Section 54-1-1
Definition of terms--Debtor--Creditor
Status: in_force

Terms used in this chapter and chapter 54-8 are defined as follows, unless the context otherwise plainly requires:

(1) "Creditor," is one in whose favor an obligation exists by reason of which he is, or may become, entitled to the payment of money;

(2) "Debtor," one who, by reason of an existing obligation is, or may become liable to pay money to another, whether such liability is certain or contingent.

Source: CivC 1877, §§ 2018, 2019; CL 1887, §§ 4651, 4652; RCivC 1903, §§ 2363, 2364; RC 1919, §§ 2036, 2037; SDC 1939, § 23.0101.
S.D. Codified Laws § 54-6A-9 — SD Code / Title 54 / Chapter 6A / Section 54-6A-9
Renegotiation for new agreement--Extensions
Status: in_force

A renegotiation shall occur when an existing lease - purchase agreement is satisfied and replaced by a new agreement undertaken by the same lessor and consumer. A renegotiation shall be considered a new agreement requiring new disclosures. However, the following events may not be treated as renegotiations:

(1) The addition or return of property in a multiple - item agreement or in the substitution of the lease property, if in either case the average payment allocable to a payment period is not changed by more than twenty - five percent;

(2) A deferral or extension of one or more periodic payments, or portions of a periodic payment;

(3) A reduction in charges in the lease or agreement; and

(4) A lease or agreement involved in a court proceeding.

No disclosures are required for any extension of a lease - purchase agreement.

Source: SL 1991, ch 393, § 9.
S.D. Codified Laws § 54-13-11 — SD Code / Title 54 / Chapter 13 / Section 54-13-11
Notice of initial mediation meeting--Exempt creditors--Waiver of right to mediate--Debt collection limitations
Status: in_force

Unless the borrower waives mediation, the director of the agricultural mediation program shall promptly send a mediation meeting notice to the borrower and to all creditors as defined in subdivision 54-13-1(5), setting a time and place for an initial mediation meeting between the borrower, the creditor or creditors, and a mediator. An initial mediation meeting shall be held within twenty-one days of the issuance of the mediation meeting notice. Any creditors of the borrower who are not included in the definition of creditor under subdivision 54-13-1(5) are exempt from the requirements of this section. Any borrower's failure to furnish timely information requested by the director of the agricultural mediation program constitutes a waiver of the right to mediate under this chapter. Also, the failure of the borrower and the borrower's spouse, unless excused by the initiating creditor, to attend all mediation meetings constitutes a waiver of the right to mediate under this chapter.

Any creditor subject to mandatory mediation under this chapter who receives notice pursuant to this section and who participates in all mediation sessions shall be treated as an initiating creditor and be subject to the same debt collection limitations as provided in § 54-13-10 .

Source: SL 1988, ch 384, § 11; SL 1991, ch 394, § 9; SL 2001, ch 259, § 9; SL 2015, ch 203, § 33.
S.D. Codified Laws § 54-9-13.7 — SD Code / Title 54 / Chapter 9 / Section 54-9-13.7
Wages and commissions as preferred claims--Limitation on amount--"Traveling or city salesmen" defined
Status: in_force

In all distributions of assets under all assignments made in pursuance of this chapter, the wages and commissions, not to exceed six hundred dollars to each claimant, which have been earned within three months before the date of the commencement of the proceedings, due to workmen, servants, clerks, or traveling or city salesmen on salary or commission basis, whole or part time, whether or not selling exclusively for the assignor; and for the purposes of this claim, the term "traveling or city salesmen" shall include all salesmen, whether or not they are independent contractors selling the products or service of the assignor on a commission basis, with or without a drawing account or formal contract, shall be preferred before any other debt, except debts due to the United States having a priority under federal law; and should the assets of the assignor or assignors not be sufficient to pay in full all the claims preferred, pursuant to this section, they shall be applied to the payment of the same pro rata to the amount of each such claim.

Source: SDC Supp 1960, ch 37.51 as added by SL 1969, ch 162, § 8.
S.D. Codified Laws § 54-13-6 — SD Code / Title 54 / Chapter 13 / Section 54-13-6
Contracts with state agencies, nonprofit corporations, or individuals
Status: in_force

The Department of Agriculture and Natural Resources, in the administration of this chapter, may contract with one or more established agencies of state government, nonprofit corporations, or individuals to provide mediation services for borrowers and creditors and to provide financial preparation assistance for borrowers involved in mediation. Any contract executed under this section is exempt from chapters 5-18A and 5-18D . The contract may include terms and conditions as the Department of Agriculture and Natural Resources deems appropriate.

Source: SL 1988, ch 384, § 6; SL 1991, ch 394, § 4; SL 2001, ch 259, § 6; SL 2011, ch 2, § 152; SL 2017, ch 181, § 7; SL 2021, ch 1 (Ex. Ord. 21-3 ), § 51, eff. Apr. 19, 2021.
S.D. Codified Laws § 54-10-7 — SD Code / Title 54 / Chapter 10 / Section 54-10-7
Statutory provisions for determination of value of obligations impracticable or resulting in undue delay--Alternative method for determination of value
Status: in_force

Where valuation under the provisions of §§ 54-10-5 and 54-10-6 is impracticable or would cause undue delay, the court, upon petition by either the secured creditor or the liquidator, may order the value of the security determined by any of the methods provided by §§ 54-10-8 to 54-10-10 , inclusive.

Source: SL 1941, ch 162, § 6; SDC Supp 1960, § 37.26A06.
S.D. Codified Laws § 54-8-1 — SD Code / Title 54 / Chapter 8 / Section 54-8-1
Transfer with intent to delay or defraud creditors void
Status: in_force

Every transfer of property or charge made thereon, every obligation incurred, and every judicial proceeding taken, with intent to delay or defraud any creditor or other person of his demands is void against all creditors of the debtor and their successors in interest and against any persons upon whom the estate of the debtor devolves in trust for the benefit of others than the debtor.

Source: CivC 1877, § 2023; CL 1887, § 4656; RCivC 1903, § 2368; RC 1919, § 2041; SDC 1939, § 23.0105.
S.D. Codified Laws § 54-4-64 — SD Code / Title 54 / Chapter 4 / Section 54-4-64
Application of chapter
Status: in_force

The provisions of this chapter do not apply to any person selling goods or services and providing financing for such goods or services.

Source: SL 1998, ch 280, § 35; SL 2006, ch 245, § 11.
S.D. Codified Laws § 54-14-33 — SD Code / Title 54 / Chapter 14 / Section 54-14-33
Contracts with nationwide mortgage licensing system
Status: in_force

The director may establish relationships or contracts with the nationwide mortgage licensing system and registry or other entities designated by the nationwide mortgage licensing system and registry to collect and maintain records and process transaction fees or other fees related to licensees or other persons subject to this chapter.

Source: SL 2009, ch 251, § 18.
S.D. Codified Laws § 54-3A-16 — SD Code / Title 54 / Chapter 3A / Section 54-3A-16
Deferral charge not collected on refinancing
Status: in_force

A charge may not be collected for the deferral of an installment payment or any part thereof if the unpaid balance is refinanced.

Source: SL 1974, ch 305, § 12.
S.D. Codified Laws § 54-4-58 — SD Code / Title 54 / Chapter 4 / Section 54-4-58
Information required in contract
Status: in_force

The licensee shall disclose in any loan contract the following:

(1) The amount and date of the loan;

(2) The amount of the down payment, if any;

(3) The dates any payments are due and the amount of payments;

(4) A list of any property used to secure the loan;

(5) Any liens or title filings required;

(6) The method used to compute the charges;

(7) An explanation of any fee or charge, including the cost of the loan as an annual percentage rate (APR);

(8) Any fee or charge that may be applied for delinquency;

(9) The conditions for an extension of payment or maturity of the loan;

(10) Refinancing requirements, including any fee or charge; and

(11) The address and telephone number of the Division of Banking and that any improprieties in making the loan or in loan practices may be referred to the division.

The licensee shall provide a copy of the loan contract to the debtor. A violation of this section is a Class 2 misdemeanor.

Source: SL 1998, ch 280, § 23; SL 2006, ch 245, § 2.
S.D. Codified Laws § 54-14-23 — SD Code / Title 54 / Chapter 14 / Section 54-14-23
Mortgage broker or lender permitted to use services of mortgage loan originator
Status: in_force

Any mortgage broker or mortgage lender licensed to practice in the State of South Dakota may use the services of a mortgage loan originator that operates under direct control and supervision of the mortgage broker or mortgage lender. The mortgage loan originator shall be registered by the director and while registered and employed by a mortgage broker or mortgage lender may not be deemed to be operating as a mortgage broker or mortgage lender.

Source: SL 2007, ch 279, § 12.
S.D. Codified Laws § 54-16-8 — SD Code / Title 54 / Chapter 16 / Section 54-16-8
Time for removal of security freeze upon request
Status: in_force

Within thirty days after receiving a request that meets the requirements of § 54-16-7 , the consumer reporting agency shall remove the security freeze for the protected consumer.

Source: SL 2016, ch 230, § 8.
S.D. Codified Laws § 54-4-44.1 — SD Code / Title 54 / Chapter 4 / Section 54-4-44.1
Device, subterfuge, or pretense to evade maximum finance charge prohibited--Penalties
Status: in_force

No person may engage in any device, subterfuge, or pretense to evade the requirements of § 54-4-44 , including, but not limited to, making loans disguised as a personal property sale and leaseback transaction; disguising loan proceeds as a cash rebate for the pretextual installment sale of goods or services; or making, offering, assisting, or arranging a debtor to obtain a loan with a greater rate of interest, consideration, or charge than is permitted by this chapter through any method including mail, telephone, internet, or any electronic means regardless of whether the person has a physical location in the state. Notwithstanding any other provision of this chapter, a violation of this section is subject to the penalties in § 54-4-44 .

Source: SL 2017, ch 221 (Initiated Measure 21), § 3, eff. Nov. 16, 2016.
S.D. Codified Laws § 54-14-13 — SD Code / Title 54 / Chapter 14 / Section 54-14-13
License required for mortgage lenders, brokerage, brokers, and loan originators--Identification through nationwide mortgage licensing system and registry--Exemption
Status: in_force

No person may act as a mortgage lender, mortgage brokerage, mortgage broker, or mortgage loan originator in this state or use the title, mortgage lender, mortgage brokerage, mortgage broker, or mortgage loan originator with respect to any property located in South Dakota without first obtaining and maintaining a license according to the requirements of this chapter. Each person shall be licensed or registered, and maintain a unique identifier through the nationwide mortgage licensing system and registry.

The requirements of this chapter, except for the provisions of chapter 10-43 as referenced in § 54-14-30 , do not apply to any person who, on, before, or after July 1, 2017, originates, sells, or services five or fewer nonresidential mortgage loans in a twelve-month period as long as the total amount of the loans outstanding does not exceed four million dollars. The exemption under this section applies jointly to every entity in which a person has an equity interest, whether the loan or loans are made by that person or through an entity in which the person holds an equity interest.

Any person exempted by the provisions of this section shall report to the division annually, no later than December thirty-first of 2017, and every subsequent year for any year in which nonresidential mortgage loans are originated, sold, or serviced. The annual report shall contain the name and address of the person who originated, sold, or serviced nonresidential mortgage loans, the number of nonresidential mortgage loans originated, sold, or serviced in the preceding calendar year, and the total balance of all nonresidential mortgage loans originated, sold, or serviced.

Source: SL 2007, ch 279, § 2; SL 2009, ch 251, § 6; SL 2017, ch 207, § 1.
S.D. Codified Laws § 54-10-11 — SD Code / Title 54 / Chapter 10 / Section 54-10-11
Value of exempt security not credited upon claim
Status: in_force

When any creditor has legal or equitable security upon assets which are exempt from process for the satisfaction of unsecured debts and are duly claimed as exempt by the insolvent debtor, the value of such security shall not be credited upon the claim. Amounts realized by the creditor from such security after liquidation proceedings are begun shall be disregarded in computing dividends, unless the dividend so computed exceeds the sum actually owing upon the claim, in which event only the amount owing shall be paid.

Source: SL 1941, ch 162, § 7; SDC Supp 1960, § 37.26A07.
S.D. Codified Laws § 54-3-2 — SD Code / Title 54 / Chapter 3 / Section 54-3-2
Loan of money--Presumption as to interest
Status: in_force

Whenever a loan of money is made it is presumed to be made upon interest, unless it is otherwise expressly stipulated at the time in writing.

Source: CivC 1877, § 1094; CL 1887, § 3717; RCivC 1903, § 1413; RC 1919, § 1036; SDC 1939, § 38.0104.
S.D. Codified Laws § 54-15-11 — SD Code / Title 54 / Chapter 15 / Section 54-15-11
Removal of security freeze--Request for removal
Status: in_force

A security freeze under § 54-15-4 shall remain in place until the consumer reporting agency receives a request from the consumer to remove the freeze. A consumer reporting agency shall remove a security freeze within three business days of receiving a request for removal from the consumer. If making a request under this section, a consumer shall provide to the consumer reporting agency:

(1) Proper identification, as defined in subdivision 54-15-6(1); and

(2) The unique personal identification number or password provided by the consumer reporting agency pursuant to § 54-15-5 .

Any request for removal under this section shall be made to a point of contact designated by the consumer reporting agency to receive the request.

Source: SL 2006, ch 246, § 11; SL 2018, ch 274, § 1.
S.D. Codified Laws § 54-3-6 — SD Code / Title 54 / Chapter 3 / Section 54-3-6
Legal rate of interest stipulated by contract after breach
Status: in_force

Any legal rate of interest, stipulated by a contract, remains chargeable after a breach thereof, as before, until the contract is superseded by a verdict or other new obligation.

Source: CivC 1877, § 1102; CL 1887, § 3725; RCivC 1903, § 1421; RC 1919, § 1045; SDC 1939, § 38.0106.
S.D. Codified Laws § 54-1-9 — SD Code / Title 54 / Chapter 1 / Section 54-1-9
"Securitization" defined
Status: in_force

For purposes of §§ 54-1-9 and 54-1-10 , a securitization is the pooling and repackaging by a special purpose entity of assets or other credit exposures that can be sold to investors. Securitization includes transactions that create stratified credit risk positions whose performance is dependent upon an underlying pool of credit exposures, including loans and commitments.

Source: SL 2003, ch 241, § 1.
S.D. Codified Laws § 54-4-78 — SD Code / Title 54 / Chapter 4 / Section 54-4-78
Use of nationwide mortgage licensing system and registry for requesting and distributing information
Status: in_force

The director may use the nationwide mortgage licensing system and registry as a channeling agent for requesting and distributing information to and from other state and federal regulatory officials or agencies with money lending industry oversight authority, as deemed necessary by the director to carry out the responsibilities of this chapter.

Source: SL 2015, ch 242, § 7.
S.D. Codified Laws § 54-13-7 — SD Code / Title 54 / Chapter 13 / Section 54-13-7
Assistance to borrower or creditor
Status: in_force

Any borrower or creditor involved in mediation may be provided resources to assist in the analysis of the borrower's business and personal financial situation, which analysis shall be conducted in a manner that assists the borrower, the borrower's family, and the creditor to prepare for mediation.

Source: SL 1988, ch 384, § 7; SL 1991, ch 394, § 5; SL 2015, ch 203, § 30.
S.D. Codified Laws § 54-8-2 — SD Code / Title 54 / Chapter 8 / Section 54-8-2
Transfer of personal property--Constructive notice or actual delivery of possession--Rights of creditors
Status: in_force

Every transfer of personal property other than a thing in action, which is not evidenced by a bill of sale filed in the office of the register of deeds of the county wherein such property is situated or of the county to which such county is attached for judicial purposes, and every lien thereon, other than a mortgage, when allowed by law is conclusively presumed, if made by a person having at the time the possession or control of the property and not accompanied by an immediate delivery and followed by an actual and continued change of possession of the thing transferred, to be fraudulent and therefore void against those who are his creditors while he remains in possession, and the successors in interest of such creditors, and against any person on whom his estate devolves in trust for the benefit of others than himself and against purchasers and encumbrancers in good faith subsequent to the transfer.

Source: CivC 1877, § 2024; CL 1887, § 4657; RCivC 1903, § 2369; RC 1919, § 2042; SDC 1939, § 23.0106.
S.D. Codified Laws § 54-4-80 — SD Code / Title 54 / Chapter 4 / Section 54-4-80
Sharing of information collected by director
Status: in_force

The following provisions apply to the sharing of information collected and retained by the director during the administration of this chapter:

(1) The provisions of § 51A-2-35 regarding privacy or confidentiality apply to any information or material provided to the nationwide mortgage licensing system and registry, and any privilege arising under federal or state law, including a rule of any federal or state court, with respect to the information or material, continue to apply to the information or material after the information or material has been disclosed to the nationwide mortgage licensing system and registry. The information and material may be shared with all state and federal regulatory officials with money lending industry oversight authority without the loss of privilege or the loss of confidentiality protections pursuant to the provisions of federal law or § 51A-2-35 ;

(2) No information or material that is subject to a privilege or confidentiality pursuant to this section is subject to:

(a) Disclosure under any federal or state law governing the disclosure to the public of information held by an officer or an agency of the federal government or the respective state; or

(b) Subpoena or discovery, or admission into evidence, in any private civil action or administrative process, unless with respect to any privilege held by the nationwide mortgage licensing system and registry regarding the information or material is waived, in whole or in part, by the person to whom the information or material pertains.

This section does not apply with respect to the information or material relating to the employment history of, and publicly adjudicated disciplinary and enforcement actions against, any licensee that is included in the nationwide mortgage licensing system and registry for access by the public.

Source: SL 2015, ch 242, § 9.
S.D. Codified Laws § 54-3A-12.1 — SD Code / Title 54 / Chapter 3A / Section 54-3A-12.1
Imposition and collection of returned check charge--Maximum
Status: in_force

The holder of a contract authorized by this chapter may, if the contract so provides, collect a charge not to exceed thirty dollars for each check, draft, order of withdrawal, or similar payment device that is received by the holder in connection with the contract and that is returned for nonpayment for any reason.

Source: SL 2000, ch 228, § 1.
S.D. Codified Laws § 54-14-35 — SD Code / Title 54 / Chapter 14 / Section 54-14-35
Sharing of information
Status: in_force

The following provisions apply to the sharing of information collected and retained by the director during the administration of this chapter:

(1) Except as otherwise provided in 12 U.S.C. § 5111 as of January 1, 2009, the requirements under any federal law or § 51A-2-35 regarding privacy or confidentiality of any information or material provided to the nationwide mortgage licensing system and registry, and any privilege arising under federal or state law (including the rules of any federal or state court) with respect to the information or material, continue to apply to the information or material after the information or material has been disclosed to the nationwide mortgage licensing system and registry. The information and material may be shared with all state and federal regulatory officials with mortgage industry oversight authority without the loss of privilege or the loss of confidentiality protections by federal law or § 51A-2-35 ;

(2) No information or material that is subject to a privilege or confidentiality under this section is subject to:

(a) Disclosure under any federal or state law governing the disclosure to the public of information held by an officer or an agency of the federal government or the respective state; or

(b) Subpoena or discovery, or admission into evidence, in any private civil action or administrative process, unless with respect to any privilege held by the nationwide mortgage licensing system and registry with respect to the information or material, the person to whom the information or material pertains waives, in whole or in part, in the discretion of the person, that privilege.

This section does not apply with respect to the information or material relating to the employment history of, and publicly adjudicated disciplinary and enforcement actions against, mortgage loan originators that is included in the nationwide mortgage licensing system and registry for access by the public.

Source: SL 2009, ch 251, § 20.
S.D. Codified Laws § 54-3A-24 — SD Code / Title 54 / Chapter 3A / Section 54-3A-24
Promulgation of rules
Status: in_force

The Department of Labor and Regulation may promulgate rules and regulations to carry out the provisions of this chapter. Such rules and regulations shall be promulgated in accordance with chapter 1-26 .

Source: SL 1974, ch 305, § 18; SL 2004, ch 17, § 304; SL 2011, ch 1 (Ex. Ord. 11-1 ), § 162, eff. Apr. 12, 2011.
S.D. Codified Laws § 54-13-12 — SD Code / Title 54 / Chapter 13 / Section 54-13-12
Length of mediation period--Notice to borrower--Additional meetings
Status: in_force

The total mediation period for borrower and creditor mediations shall be for a term of forty-two days after the date the director of the agricultural mediation program issues the notice to the borrower. The director of the agricultural mediation program must issue a notice to the borrower within three business days following receipt of the request for mediation from the creditor. The mediator may, after the initial meeting, schedule additional mediation meetings during the mediation period.

Source: SL 1988, ch 384, § 12; SL 2001, ch 259, § 10; SL 2015, ch 203, § 34.
S.D. Codified Laws § 54-14-30 — SD Code / Title 54 / Chapter 14 / Section 54-14-30
Annual tax upon net income--Exemptions
Status: in_force

Any licensee under this chapter, in addition to the license and other fees provided by this chapter, shall pay the annual tax provided in chapter 10-43 , upon the net income of the licensee measured by the net income assignable to the licensee's business in South Dakota. The State of South Dakota, any political subdivision of the state, and any quasi-governmental organization created by an executive order of the State of South Dakota and any subsidiary of such organization; any nonprofit United States Treasury Community Development Financial Institution, Small Business Administration Certified Development Company, or Regional Revolving Loan Fund; or any commercial club, chamber of commerce, or industrial development corporation formed pursuant to § 9-12-11 or 9-27-37 is exempt from the payment of this tax.

Source: SL 2007, ch 279, § 19.
S.D. Codified Laws § 54-11-6.3 — SD Code / Title 54 / Chapter 11 / Section 54-11-6.3
Maximum service charge
Status: in_force

The charge shall be at a rate or amount agreed upon by the parties involved. If the billing cycle is not monthly, the maximum charge is that percentage which bears the same relation to the agreed upon rate as the number of days in the billing cycle bears to thirty. For the purposes of this section, a variation of not more than four days from month to month is approximately the same day of the billing cycle.

Source: SL 1979, ch 335, § 5; SL 1980, ch 337, § 1A; SL 1982, ch 346, § 1; SL 1987, ch 360, § 5.
S.D. Codified Laws § 54-14-27 — SD Code / Title 54 / Chapter 14 / Section 54-14-27
Conditioning, denial, nonrenewal, suspension, or revocation of license
Status: in_force

The director may condition, deny, decline to renew, suspend for a period not to exceed six months, or revoke a license if the director finds:

(1) Any fact or condition exists that, if it had existed at the time the licensee applied for its license, would have been grounds for denying the application;

(2) The licensee violated any provisions of this chapter or any rule or order promulgated by the director;

(3) The licensee refuses to permit the director to make any examination authorized by this chapter or rule promulgated pursuant to this chapter, or any federal statute, rule, or regulation pertaining to mortgage lending;

(4) The licensee willfully fails to make any report required of this chapter;

(5) The competence, experience, character, or general fitness of the licensee indicates that it is not in the public interest to permit the licensee to continue to conduct business;

(6) The bond of the licensee has been revoked or cancelled by the surety;

(7) The licensee or any partner, officer, director, manager, or employee of the licensee has been convicted of a felony or a misdemeanor involving any aspect of the financial services business;

(8) The licensee or any partner, officer, director, manager, or employee of the licensee has had a license substantially equivalent to a license under this chapter, and issued by another state, denied, revoked or suspended under the laws of that state;

(9) The licensee has filed an application for a license which as of the date the license was issued, or as of the date of an order denying, suspending, or revoking a license, was incomplete in any material respect or contained any statement that was, in light of the circumstances under which it was made, false or misleading with respect to any material fact.

The director may revoke a license for good cause pursuant to chapter 1-26 . If the licensee is the holder of more than one license, the director may revoke any or all of the licenses.

Source: SL 2007, ch 279, § 16; SL 2009, ch 251, § 16.
S.D. Codified Laws § 54-14-20.2 — SD Code / Title 54 / Chapter 14 / Section 54-14-20.2
Exemption of attorneys from mortgage loan originator license requirement
Status: in_force

Any attorney licensed in this state performing activities that come within the definition of a mortgage loan originator, is not required to be licensed as a mortgage loan originator if such activities are:

(1) Considered by the South Dakota Supreme Court to be part of the authorized practice of law in South Dakota;

(2) Carried out within an attorney-client relationship; and

(3) Accomplished by the attorney in compliance with all applicable laws, rules, and standards of professional conduct.

Source: SL 2012, ch 237, § 2.
S.D. Codified Laws § 54-14-32 — SD Code / Title 54 / Chapter 14 / Section 54-14-32
Disposition of fees
Status: in_force

Fees collected pursuant to this chapter shall be deposited with the state treasurer in the banking special revenue fund created in § 51A-2-30 . Expenditures from the fund shall be appropriated through the normal budget process.

Source: SL 2007, ch 279, § 22.
S.D. Codified Laws § 54-4-70 — SD Code / Title 54 / Chapter 4 / Section 54-4-70
Title loans to be evidenced by written agreement--Possession of certification of title--Application of statutes on secured transactions
Status: in_force

A title loan shall be evidenced by a written agreement in which a title lender agrees to make a title loan to a debtor and the debtor agrees to give the title lender a security interest in a motor vehicle owned by the debtor. The debtor shall give the title lender possession of the certificate of title to such motor vehicle. Except as otherwise provided in this chapter, the provisions of chapter 57A-9 apply to title loans and to persons engaged in the business of making title loans.

Source: SL 2006, ch 245, § 12.
S.D. Codified Laws § 54-16-10 — SD Code / Title 54 / Chapter 16 / Section 54-16-10
Removal of security freeze based on material misrepresentation
Status: in_force

A consumer reporting agency may remove a security freeze for a protected consumer or delete a record of a protected consumer if the security freeze was placed or the record was created based on a material misrepresentation of fact by the protected consumer or the protected consumer's representative.

Source: SL 2016, ch 230, § 10.
S.D. Codified Laws § 54-15-17 — SD Code / Title 54 / Chapter 15 / Section 54-15-17
Fee for placement or removal of security freeze prohibited
Status: in_force

A consumer reporting agency is prohibited from charging a fee for a placement or removal of a security freeze under this chapter.

Source: SL 2018, ch 273, § 2.
S.D. Codified Laws § 54-3A-9 — SD Code / Title 54 / Chapter 3A / Section 54-3A-9
Rebate of portion of finance charge on prepayment or refinancing--Exceptions
Status: in_force

Upon prepayment in full of the unpaid balance of an installment sales contract, or upon a refinancing or a consolidation thereof, an amount equal to the total finance charge contracted for, less the finance charge earned, shall be rebated to the buyer. If the total of all rebates, refunds and credits to be paid to the buyer under this chapter is less than one dollar, no rebate need be made.

Source: SL 1974, ch 305, § 3; SL 1984, ch 320, § 2.
S.D. Codified Laws § 54-8A-11 — SD Code / Title 54 / Chapter 8A / Section 54-8A-11
Uniform application and construction
Status: in_force

This chapter shall be applied and construed to effectuate its general purpose to make uniform the law with respect to the subject of this chapter among states enacting it.

Source: SL 1987, ch 365, § 11.
S.D. Codified Laws § 54-4-66 — SD Code / Title 54 / Chapter 4 / Section 54-4-66
Maximum amount of payday loan--Violation as misdemeanor
Status: in_force

The maximum principal amount of any payday loan, or the total outstanding principal balances of all payday loans made by a licensee to a single borrower, may not exceed five hundred dollars at any time. A violation of this section is a Class 1 misdemeanor.

Source: SL 2002, ch 223, § 2; SL 2004, ch 291, § 3; SL 2007, ch 278, § 1.
S.D. Codified Laws § 54-15-15 — SD Code / Title 54 / Chapter 15 / Section 54-15-15
Certain entities not required to place security freeze
Status: in_force

The following entities are not required to place a security freeze in a consumer credit report pursuant to this chapter:

(1) A check services or fraud prevention services company, which issues reports on incidents of fraud or authorizations for the purpose of approving or processing negotiable instruments, electronic funds transfers, or similar methods of payments; and

(2) A deposit account information service company, which issues reports regarding account closures due to fraud, substantial overdrafts, ATM abuse, or similar negative information regarding a consumer, to inquiring banks or other financial institutions for use only in reviewing a consumer request for a deposit account at the inquiring bank or financial institution.

Source: SL 2006, ch 246, § 15.
S.D. Codified Laws § 54-9-12 — SD Code / Title 54 / Chapter 9 / Section 54-9-12
Disposal or conversion of estate--Authority of assignee
Status: in_force

Until the inventory and affidavit have been made, and the assignment has been duly recorded and the inventory filed, and the assignee has given a bond, an assignee for the benefit of creditors has no authority to dispose of the estate or convert it for the purposes of the trust.

Source: CivC 1877, § 2041; CL 1887, § 4674; RCivC 1903, § 2386; RC 1919, § 2059; SDC 1939 & Supp 1960, § 37.5108.
S.D. Codified Laws § 54-13-19 — SD Code / Title 54 / Chapter 13 / Section 54-13-19
Other rights and duties, penalties, and actions not affected
Status: in_force

This chapter does not affect rights and duties that matured, penalties that were incurred, and actions or proceedings that were begun before the effective date of this chapter, and any actions or proceedings which have been filed shall be exempt from any requirements of this chapter.

Source: SL 1988, ch 384, § 18.
S.D. Codified Laws § 54-4-43 — SD Code / Title 54 / Chapter 4 / Section 54-4-43
Investigation of facts concerning license application--Requirements for grant of license
Status: in_force

The director shall investigate the facts concerning the application. The director may review and consider the relevant business records of the applicant and the competence, experience, integrity, and financial ability of any person who is a member, partner, director, officer, or twenty-five percent or more shareholder of the business. If the director finds that the financial responsibility, financial condition, business experience, character, and general fitness of the applicant reasonably warrant the belief that the business will be conducted lawfully and fairly, the director may grant a license based on the findings.

Source: SL 1998, ch 280, § 8; SL 2005, ch 258, § 3.
S.D. Codified Laws § 54-14-34 — SD Code / Title 54 / Chapter 14 / Section 54-14-34
Promulgation of rules for challenging information entered in nationwide mortgage licensing system
Status: in_force

The director shall establish a process through rules promulgated pursuant to chapter 1-26 to allow mortgage loan originators and mortgage brokers to challenge information entered into the nationwide mortgage licensing system and registry by the director.

Source: SL 2009, ch 251, § 19.
S.D. Codified Laws § 54-9-13.9 — SD Code / Title 54 / Chapter 9 / Section 54-9-13.9
Sales at public auction--Procedure for private sales and sales of perishable property
Status: in_force

All sales as provided in § 54-9-13.8 shall be had at public auction unless otherwise ordered by the judge. Upon application to the judge, and for good cause shown, the assignee may be authorized to sell any portion of the estate at private sale; in which case he shall keep an accurate record of each article sold, and the price received therefor, and to whom sold; which account he shall file at once. Upon application by the assignee or a creditor setting forth that a part or the whole of the estate is perishable, the nature and location of such perishable property, and that there will be loss if the same is not sold immediately, the judge, if satisfied of the facts stated and that the sale is required in the interest of the estate, may order the same to be sold with or without notice to creditors.

Source: SDC Supp 1960, ch 37.51 as added by SL 1969, ch 162, § 6.
S.D. Codified Laws § 54-3A-15 — SD Code / Title 54 / Chapter 3A / Section 54-3A-15
Deferral agreement requirements
Status: in_force

A deferral agreement shall:

(1) Be in writing and be signed by the parties;

(2) Incorporate by reference the transaction to which the deferral agreement applies;

(3) State the number of installments or partial installments to be deferred, the amounts thereof, the date or dates originally payable and the date or dates to which payment is being deferred; and

(4) If there is a deferral charge, state the amount to be paid by the buyer for the privilege of deferring the installment or installments.

Source: SL 1974, ch 305, § 11.
S.D. Codified Laws § 54-13-5 — SD Code / Title 54 / Chapter 13 / Section 54-13-5
Responsibility for fees--Agricultural mediation operating fund created--Appropriation--Annual review--Disbursements
Status: in_force

Any fees provided under this chapter and by rule shall be borne equally between the parties. The fees and any funds received pursuant to the Agricultural Credit Act of 1987, as of January 1, 2015, shall be deposited in the agricultural mediation operating fund which is hereby created. All money in the agricultural mediation operating fund created by this section is continuously appropriated for the purposes of administering the agricultural mediation program. All funds received by the agricultural mediation program shall be set forth in an informational budget as described in § 4-7-7.2 and be annually reviewed by the Legislature. Any disbursements from the agricultural mediation operating fund shall be by authorization of the secretary of agriculture and natural resources.

Source: SL 1988, ch 384, § 5; SL 2001, ch 259, § 5; SL 2015, ch 203, § 29; SL 2021, ch 1 (Ex. Ord. 21-3 ), § 51, eff. Apr. 19, 2021.
S.D. Codified Laws § 54-14-37 — SD Code / Title 54 / Chapter 14 / Section 54-14-37
Reports of violations and enforcement
Status: in_force

The director shall report on a regular basis violations of this chapter, as well as enforcement actions and other relevant information, to the nationwide mortgage licensing system and registry subject to the provisions contained in § 54-14-35 .

Source: SL 2009, ch 251, § 22.
S.D. Codified Laws § 54-4-49 — SD Code / Title 54 / Chapter 4 / Section 54-4-49
Conditions, denial, nonrenewal, suspension, or revocation of license
Status: in_force

The director may condition, deny, decline to renew, suspend for a period not to exceed six months, or revoke a license for good cause pursuant to chapters 1-26 and 1-26D . If the licensee is the holder of more than one license, the director may condition, deny, decline to renew, suspend for a period not to exceed six months, or revoke any or all of the licenses. For purposes of this section, good cause includes any of the following:

(1) Violation of any statute, rule, order, or written condition of the commission or any federal statute, rule, or regulation pertaining to consumer credit;

(2) Engaging in harassment or abuse, the making of false or misleading representations, or engaging in unfair practices involving lending activity;

(3) Performing an act of commission or omission or practice that is a breach of trust or a breach of fiduciary duty;

(4) Refusing to permit the director to make any examination authorized by this chapter or rule promulgated pursuant to this chapter, or any federal statute, rule, or regulation pertaining to money lending;

(5) The licensee or any partner, officer, director, manager, or employee of the licensee has been convicted of a felony or a misdemeanor involving fraud, dishonesty, or breach of trust;

(6) The licensee or any partner, officer, director, manager, or employee of the licensee has had a license substantially equivalent to a license under this chapter, and issued by another state or jurisdiction, denied, revoked, or suspended under the laws of that state or jurisdiction; or

(7) The licensee has filed an application for a license which, as of the date the license was issued, or as of the date of an order denying, suspending, or revoking a license, was incomplete in any material respect or contained any statement that was, in light of the circumstances under which it was made, false or misleading with respect to any material fact.

Source: SL 1998, ch 280, § 14; SL 2005, ch 258, § 6; SL 2015, ch 242, § 4.
S.D. Codified Laws § 54-15-14 — SD Code / Title 54 / Chapter 15 / Section 54-15-14
Resellers of credit information not required to place security freeze
Status: in_force

No consumer reporting agency is required to place a security freeze in a consumer credit report if the consumer reporting agency acts only as a reseller of credit information by assembling and merging information contained in the data base of another consumer reporting agency or multiple consumer reporting agencies, and does not maintain a permanent data base of credit information from which new consumer credit reports are produced. However, a consumer reporting agency shall honor any security freeze placed on a consumer credit report by another consumer reporting agency.

Source: SL 2006, ch 246, § 14.
S.D. Codified Laws § 54-4-47 — SD Code / Title 54 / Chapter 4 / Section 54-4-47
Location to be licensed--Change of location
Status: in_force

Each licensee's business location shall be licensed. The director shall approve or deny any change of location. The director shall amend the license to show the new location upon granting approval.

Source: SL 1998, ch 280, § 12.
S.D. Codified Laws § 54-9-5 — SD Code / Title 54 / Chapter 9 / Section 54-9-5
Assignment invalid against creditor of assignor not assenting thereto
Status: in_force

An assignment for the benefit of creditors is void against any creditor of the assignor not assenting thereto, in the following cases:

(1) If it provides preference or priority to any creditor over any other creditor except as provided in this chapter;

(2) If it provides for the payment of any claim known to the assignor to be false or fraudulent; or for the payment of more upon any claim than is known to be justly due from the assignor;

(3) If it reserves any interest in the assigned property, or in any part thereof, to the assignor or for his benefit, before all his existing debts are paid, other than property exempt by law from execution;

(4) If it confers upon the assignee any power which, if exercised, might prevent or delay the immediate conversion of the assigned property to the purposes of the trust;

(5) If it exempts him from liability for neglect of duty or misconduct.

Source: CivC 1877, § 2030; CL 1887, § 4663; RCivC 1903, § 2375; RC 1919, § 2048; SDC 1939 & Supp 1960, § 37.5103; SL 1969, ch 162, § 1.
S.D. Codified Laws § 54-16-7 — SD Code / Title 54 / Chapter 16 / Section 54-16-7
Request for removal of security freeze
Status: in_force

If a protected consumer or a protected consumer's representative wishes to remove a security freeze for the protected consumer, the protected consumer or the protected consumer's representative shall submit a request for the removal of the security freeze to the consumer reporting agency in the manner specified by the agency. If the request is made by the protected consumer, the requestor shall provide to the consumer reporting agency proof that the authority for the protected consumer's representative is no longer valid and sufficient proof of the identification of the protected consumer. If the request is made by the protected consumer's representative, the requestor shall provide to the consumer reporting agency sufficient proof of identification of the protected consumer and the representative, and sufficient proof of authority to act on behalf of the protected consumer.

The requestor shall pay to the consumer reporting agency a fee as provided in § 54-16-9 .

Source: SL 2016, ch 230, § 7.
S.D. Codified Laws § 54-4-77 — SD Code / Title 54 / Chapter 4 / Section 54-4-77
Debt collection--Prohibitions
Status: in_force

No person employed by a licensee to collect or attempt to collect any debt owed or due or asserted to be owed or due may:

(1) Harass, oppress, or abuse a borrower by:

(a) Using any threat of violence or harm;

(b) Publishing a list of names of borrowers who refuse to pay their debts absent providing such information to credit reporting companies;

(c) Using obscene or profane language; or

(d) Repeatedly using the phone with the intent to annoy borrowers;

(2) Use any false statement when attempting to collect a debt by falsely:

(a) Claiming to be an attorney or government representative;

(b) Claiming that the borrower has committed a crime;

(c) Representing that the licensee operates or any person employed by the licensee works for a credit reporting company;

(d) Representing the amount the borrower owes;

(e) Representing the nature and character of any forms sent to the borrower in order to collect a debt;

(f) Indicating that the borrower will be arrested if the debt isn't paid;

(g) Using a company name;

(h) Indicating that the licensee will seize, garnish, attach, or sell a borrower's property or wages unless the licensee is permitted by law to take the action and the licensee intends to do so;

(i) Indicating that legal action will be taken against the borrower, if doing so would be illegal or if the licensee does not intend to take the action;

(3) Give false credit information about the borrower to anyone, including a credit reporting company;

(4) Attempt to collect any interest, fee, or other charge on top of the amount a borrower owes unless the contract that created the debt or state law allows the charge;

(5) Deposit a post-dated check early;

(6) Take or threaten to take the borrower's property unless it can be done legally; or

(7) Cause misleading information to be transmitted to users of caller identification technologies or otherwise block or misrepresent the identity of the caller or entity as described in subdivision 37-24-6 (16).

Source: SL 2015, ch 242, § 6; SL 2020, ch 171, § 5.
S.D. Codified Laws § 54-9-10 — SD Code / Title 54 / Chapter 9 / Section 54-9-10
Assent of creditors necessary to modification of assignment
Status: in_force

An assignment for the benefit of creditors, which has been executed and recorded so as to transfer the property to the assignee, cannot afterward be canceled or modified by the parties thereto, without the consent of every creditor affected thereby.

Source: CivC 1877, § 2046; CL 1887, § 4680; RCivC 1903, § 2392; RC 1919, § 2065; SDC 1939 & Supp 1960, § 37.5109.
S.D. Codified Laws § 54-10-2 — SD Code / Title 54 / Chapter 10 / Section 54-10-2
Secured creditor's claim against general assets--Disclosure of nature of security
Status: in_force

In a liquidation proceeding every secured creditor's claim against the general assets shall disclose the nature of the security. When a decedent's estate already in the course of administration is judicially declared insolvent or when in an equity receivership it is determined that the subject under receivership is insolvent, secured creditors having claims on file which do not comply with this section shall make disclosure within a time to be fixed by the court.

Source: SL 1941, ch 162, § 2; SDC Supp 1960, § 37.26A02.
S.D. Codified Laws § 54-3A-22 — SD Code / Title 54 / Chapter 3A / Section 54-3A-22
Demand required before action for excessive charges
Status: in_force

No action shall be commenced to recover any amount under § 54-3A-20 unless and until written demand therefor has been made, signed by the buyer, and the creditor has failed to refund or credit such amount to the buyer within sixty days after receipt of the demand.

Source: SL 1974, ch 305, § 17.
S.D. Codified Laws § 54-9-3 — SD Code / Title 54 / Chapter 9 / Section 54-9-3
Subsisting absolute or contingent liability of assignor
Status: in_force

An assignment for the benefit of creditors may provide for any subsisting liability of the assignor which he might lawfully pay, whether absolute or contingent.

Source: CivC 1877, § 2029; CL 1887, § 4662; RCivC 1903, § 2374; RC 1919, § 2047; SDC 1939 & Supp 1960, § 37.5102.
S.D. Codified Laws § 54-4-72 — SD Code / Title 54 / Chapter 4 / Section 54-4-72
Default in repayment of title loan--Remedy--Exception--Sale of reposed vehicle--Refund of surplus less expenses
Status: in_force

If a debtor defaults in the repayment of a title loan, the title lender's sole remedy is to seek possession and sale of the motor vehicle securing the loan, and the title lender may not pursue the debtor personally in any action or proceeding for repayment of the loan or for any deficiency after the sale. The title lender shall return to the debtor any surplus obtained after the sale that is in excess of the amount owed on the loan after any reasonable expenses of repossession, storage, and sale, including court costs and attorney's fees have been deducted. The remedy limitation provided in this section does not apply in the following circumstances:

(1) If a debtor obtains a title loan from a title lender under false pretenses by not disclosing the existence of a valid prior lien or security interest affecting the motor vehicle; or

(2) If the debtor intentionally conceals, impairs, or destroys the collateral.

Source: SL 2006, ch 245, § 14.
S.D. Codified Laws § 54-3-8 — SD Code / Title 54 / Chapter 3 / Section 54-3-8
Interest on loan--Advance deduction
Status: in_force

The interest which would become due at the end of the term for which a loan is made, not exceeding one year's interest in all, may be deducted from the loan in advance if the parties thus agree.

Source: CivC 1877, § 1099; CL 1887, § 3722; RCivC 1903, § 1418; RC 1919, § 1043; SDC 1939, § 38.0105.
S.D. Codified Laws § 54-14-13.3 — SD Code / Title 54 / Chapter 14 / Section 54-14-13.3
Effective dates of §§54-14-13.1and54-14-13.2
Status: in_force

The effective dates of §§ 54-14-13.1 and 54-14-13.2 are as follows:

(1) July 31, 2010, for any individual other than an individual described in subdivision (2); and

(2) December 31, 2010, for any individual licensed as a mortgage loan originator as of July 1, 2009.

Source: SL 2009, ch 251, § 28.
S.D. Codified Laws § 54-13-16 — SD Code / Title 54 / Chapter 13 / Section 54-13-16
Statement of waiver or failure to reach agreement deemed release
Status: in_force

If the borrower waives mediation or if a mediation agreement is not reached, a statement to that effect shall be prepared by the mediator and such statement shall constitute a mediation release. Unless the borrower waives mediation, a creditor may not receive a mediation release pursuant to § 54-13-10 until that creditor has attended at least one scheduled mediation meeting.

Source: SL 1988, ch 384, § 16.
S.D. Codified Laws § 54-4-54 — SD Code / Title 54 / Chapter 4 / Section 54-4-54
Payment of annual tax--Exemption
Status: in_force

Each licensee, whether a corporation or otherwise, shall pay the annual tax provided in chapter 10-43 , upon the net income of the licensee, and measured by the net income assignable to such business in South Dakota. The annual tax provided by this section may not be less than twenty-four dollars. The State of South Dakota, any political subdivision of the state, and any quasi-governmental organization created by an executive order of the State of South Dakota and any subsidiary of such organization; any nonprofit United States Treasury Community Development Financial Institution, Small Business Administration Certified Development Company, or Regional Revolving Loan Fund; or any commercial club, chamber of commerce, or industrial development corporation formed pursuant to § 9-12-11 or 9-27-37 is exempt from the payment of this tax.

Source: SL 1998, ch 280, § 19; SL 2005, ch 257, § 3.
S.D. Codified Laws § 54-9-15.2 — SD Code / Title 54 / Chapter 9 / Section 54-9-15.2
Accountants and attorneys appointed by court--Compensation of attorneys
Status: in_force

In addition to those otherwise provided in this chapter, the court shall have power to appoint accountants and attorneys, including attorneys to represent creditors therein and to fix their compensation. Reasonable compensation may be allowed by the court for counsel fees in preparation of the instrument of assignment.

Source: SDC Supp 1960, ch 37.51 as added by SL 1969, ch 162, § 3.
S.D. Codified Laws § 54-4-73 — SD Code / Title 54 / Chapter 4 / Section 54-4-73
Debt cancellation contract defined
Status: in_force

For the purposes of this chapter, the term, debt cancellation contract, means a term of an extension of credit or contractual arrangement modifying terms of an extension of credit under which a licensee agrees to cancel all or part of a customer's obligation to repay an extension of credit from the licensee upon the occurrence of a specified event. The contract may be separate from or a part of other extension of credit documents. The term does not include installment payment deferral arrangements in which the triggering event is the customer's unilateral election to defer repayment, or the licensee's unilateral decision to allow a deferral of repayment.

Source: SL 2012, ch 235, § 2.
S.D. Codified Laws § 54-10-6 — SD Code / Title 54 / Chapter 10 / Section 54-10-6
Security other than obligation for the payment of money--Determination of value
Status: in_force

When the asset constituting the security is something other than an obligation for the payment of money, the secured creditor may determine its value by creditor's sale.

Source: SL 1941, ch 162, § 5; SDC Supp 1960, § 37.26A05 (2).
S.D. Codified Laws § 54-13-18 — SD Code / Title 54 / Chapter 13 / Section 54-13-18
Information regarding finances of borrowers and creditors not public records--Mediation meetings not open
Status: in_force

All data and information regarding the finances of borrowers and creditors which is created, collected, or maintained by the director of the agriculture mediation program pursuant to the terms of this chapter or disclosed to the mediator are not public records and are confidential and discussions with the mediators are privileged communications.

All mediation meetings, and all mediation activities provided by this chapter are exempt from the provisions of chapter 1-27 .

Source: SL 1988, ch 384, § 17; SL 1991, ch 394, § 12; SL 2001, ch 259, § 13.
S.D. Codified Laws § 54-9-13.6 — SD Code / Title 54 / Chapter 9 / Section 54-9-13.6
Time limitation on filing creditor's claim
Status: in_force

All claims whether the same be due, not due, or contingent, must be filed within the time limited in the notice as provided in § 54-9-13.4 , and any claim not so filed is barred from any further claim against the property assigned. When it is made to appear by the affidavit of the claimant to the satisfaction of the court that he had no notice by reason of being out of the state, it may be filed at any time, before a decree of distribution is entered.

Source: SDC Supp 1960, ch 37.51 as added by SL 1969, ch 162, § 5.
S.D. Codified Laws § 54-3-1.1 — SD Code / Title 54 / Chapter 3 / Section 54-3-1.1
Rate of interest set by written agreement--No maximum or usury restriction
Status: in_force

Unless a maximum interest rate or charge is specifically established elsewhere in the code, there is no maximum interest rate or charge, or usury rate restriction between or among persons, corporations, limited liability companies, estates, fiduciaries, associations, or any other entities if they establish the interest rate or charge by written agreement. A written agreement is a document in writing, whether in physical or electronic form, in which the parties have demonstrated their agreement to the terms and conditions of an extension of credit, including the rate of interest. A written agreement includes the contract created by § 54-11-9 .

Source: SL 1982, ch 341, § 1; SL 1987, ch 360, § 4; SL 1994, ch 351, § 147; SL 2016, ch 229, § 1.
S.D. Codified Laws § 54-14-19 — SD Code / Title 54 / Chapter 14 / Section 54-14-19
Fees for renewal of license
Status: in_force

Any application for renewal of a license under this chapter shall be postmarked to the director by December first and shall be accompanied by a fee to be established by the director by rules promulgated pursuant to chapter 1-26 . The fee to transact business as a mortgage loan originator may not exceed two hundred fifty dollars. The fee to transact business as a mortgage broker or mortgage brokerage may not exceed five hundred dollars. The fee to transact business as a mortgage lender may not exceed one thousand dollars. Any licensee or registrant that files for renewal after December first and before January first of the next calendar year shall pay a late fee in addition to the renewal fee. The late fee, not to exceed twenty-five percent of the renewal fee, shall be established by the director by rules promulgated pursuant to chapter 1-26 . After January first no license may be issued unless an application is filed pursuant to §§ 54-14-13 to 54-14-16 , inclusive.

Source: SL 2007, ch 279, § 8; SL 2009, ch 251, § 11.
S.D. Codified Laws § 54-8A-3 — SD Code / Title 54 / Chapter 8A / Section 54-8A-3
Value
Status: in_force

(a) Value is given for a transfer or an obligation if, in exchange for the transfer or obligation, property is transferred or an antecedent debt is secured or satisfied, but value does not include an unperformed promise made otherwise than in the ordinary course of the promisor's business to furnish support to the debtor or another person.

(b) For the purposes of subsection 54-8A-4(a)(2) and § 54-8A-5 , a person gives a reasonably equivalent value if the person acquires an interest of the debtor in an asset pursuant to a regularly conducted, noncollusive foreclosure sale or execution of a power of sale for the acquisition or disposition of the interest of the debtor upon default under a mortgage, deed of trust, or security agreement.

(c) A transfer is made for present value if the exchange between the debtor and the transferee is intended by them to be contemporaneous and is in fact substantially contemporaneous.

Source: SL 1987, ch 365, § 3.
S.D. Codified Laws § 54-8-4 — SD Code / Title 54 / Chapter 8 / Section 54-8-4
Fraudulent intent--Question of fact--Inadequacy of consideration
Status: in_force

In all cases under the provisions of this chapter, except as otherwise provided in § 54-8-2 , and except as provided in §§ 43-25-32 to 43-25-36 , inclusive, the question of fraudulent intent is one of fact and not of law; nor can any transfer or charge be adjudged fraudulent solely on the ground that it was not made for a valuable consideration.

Source: CivC 1877, § 2026; CL 1887, § 4659; RCivC 1903, § 2371; RC 1919, § 2044; SDC 1939, § 23.0108.
S.D. Codified Laws § 54-13-20 — SD Code / Title 54 / Chapter 13 / Section 54-13-20
Mediator or ag finance counselor immunity from civil liability--Qualifications
Status: in_force

Any person serving as a mediator or ag finance counselor pursuant to this chapter is immune from civil liability in any action brought in any court in this state on the basis of any act or omission resulting in damage or injury if the individual was acting in good faith, in a reasonable and prudent manner, and within the scope of such individual's official functions and duties as a mediator or ag finance counselor pursuant to this chapter.

Source: SL 1989, ch 418, § 1; SL 2001, ch 259, § 14.
S.D. Codified Laws § 54-14-18 — SD Code / Title 54 / Chapter 14 / Section 54-14-18
Expiration of license or registration
Status: in_force

Any license or registration granted under this chapter expires on the following December thirty-first after its issuance.

Source: SL 2007, ch 279, § 7.
S.D. Codified Laws § 54-14-25.1 — SD Code / Title 54 / Chapter 14 / Section 54-14-25.1
Civil penalty for acting without required license or registration
Status: in_force

The director may impose a civil penalty in an amount not to exceed one thousand dollars upon any person acting as a mortgage lender, mortgage brokerage, mortgage broker, or mortgage loan originator in this state without the required license or registration. Each instance of operating without a license, or holding oneself out as being authorized to conduct the business authorized by this chapter, constitutes a separate violation of this chapter and subjects any such person to a civil penalty for each violation. A civil penalty for a series of violations may not exceed twenty-five thousand dollars.

Source: SL 2009, ch 251, § 15.
S.D. Codified Laws § 54-1-6 — SD Code / Title 54 / Chapter 1 / Section 54-1-6
"Open account" defined
Status: in_force

The term "open account," as used in this title, means an account, usually retail in nature, under which the creditor permits the customer to make purchases or obtain loans, from time to time, directly from the creditor or indirectly by use of a check or other device as the conditions of the account may provide. The customer has the privilege of paying the balance in full or in installments and an interest charge may be computed by the creditor from time to time on the outstanding unpaid balance and added to that balance. "Open account" does not include those accounts covered in chapter 54-11 , or revolving loan accounts authorized by § 51A-12-12 .

Source: SL 1982, ch 340, § 1.
S.D. Codified Laws § 54-4-44.4 — SD Code / Title 54 / Chapter 4 / Section 54-4-44.4
Business-to-business lending exempt
Status: in_force

The provisions of § 54-4-44 that place limitations on licensees that are engaged in the business of making loans do not apply to a licensee engaged in business-to-business lending. For purposes of this section, the term, business-to-business lending, means any lending to or in furtherance of a business, commercial, or agricultural venture that is not for personal, family, or household use and is not secured by a nonpurchase money security interest in a motor vehicle. Any business-to-business lending subject to the provisions of this section shall be in an amount not less than five thousand dollars and only to a borrower with a federal employer identification number.

Source: SL 2017, ch 206, § 1; SL 2018, ch 272, § 1.
S.D. Codified Laws § 54-3-13 — SD Code / Title 54 / Chapter 3 / Section 54-3-13
Regulated lenders exempt from interest rate limitations and usury statutes
Status: in_force

Regulated lenders are exempt from all limitations on the rate of interest which they may charge and are further exempt from the operation and effect of all usury statutes, except as is otherwise provided in § 54-3-14 . Regulated lenders and their assignees are further exempt from the prohibition, operation, and effect of § 15-17-39 , and regulated lenders and their assignees may recover reasonable attorney's fees in the case of default of payment if provided for in the note, bond, mortgage, or other evidence of debt.

Source: SL 1980, ch 335, § 2; SL 1996, ch 283.
S.D. Codified Laws § 54-3A-10 — SD Code / Title 54 / Chapter 3A / Section 54-3A-10
Rebate on acceleration of maturity
Status: in_force

If the maturity of an obligation under an installment sales contract is accelerated for any reason and judgment is obtained, the consumer is entitled to a rebate computed as if payment in full had been made on the date that the action was brought.

Source: SL 1974, ch 305, § 4.
S.D. Codified Laws § 54-4-56 — SD Code / Title 54 / Chapter 4 / Section 54-4-56
Renewal of application--Tax information--Forms
Status: in_force

Each licensee shall annually file with its renewal application a report of income and financial condition for the preceding license year or any other relevant information requested in writing by the director. These reports shall be under oath and on forms prescribed by the division by rule or order.

Source: SL 1998, ch 280, § 21.
S.D. Codified Laws § 54-9-13.5 — SD Code / Title 54 / Chapter 9 / Section 54-9-13.5
Contents of creditor's claim--Claim founded upon instrument
Status: in_force

The verified claim of a creditor as provided in § 54-9-13.4 shall set forth whether any, and if so, what securities are held for such claim, and whether any, and, if so, what payments have been made thereon.

Whenever a claim is founded upon an instrument in writing, such instrument, unless lost or destroyed, shall be filed with the claim. After the claim is allowed or disallowed, such instrument may be withdrawn by permission of the court. If such instrument is lost or destroyed, a statement of such fact and of the circumstances of such loss or destruction shall be filed under oath with the claim.

Source: SDC Supp 1960, ch 37.51 as added by SL 1969, ch 162, § 5.
S.D. Codified Laws § 54-6A-2 — SD Code / Title 54 / Chapter 6A / Section 54-6A-2
Lease-purchase agreement defined
Status: in_force

A lease - purchase agreement is an agreement for the use of personal property by a natural person primarily for personal, family or household purposes, for an initial period of four months or less that is automatically renewable with each payment after the initial period, but does not obligate or require the consumer to continue leasing or using the property beyond the initial period, and that permits the consumer to become the owner of the property.

Source: SL 1991, ch 393, § 2.
S.D. Codified Laws § 54-14-36 — SD Code / Title 54 / Chapter 14 / Section 54-14-36
Reports of condition--Promulgation of rules
Status: in_force

Each mortgage lender, mortgage brokerage, mortgage broker, and mortgage loan originator shall submit to the nationwide mortgage licensing system and registry reports of condition, which shall be in such form and shall contain such information as the director establishes through rules promulgated pursuant to chapter 1-26 .

Source: SL 2009, ch 251, § 21.
S.D. Codified Laws § 54-4-79 — SD Code / Title 54 / Chapter 4 / Section 54-4-79
Contracts for collection and maintenance of records and processing of fees
Status: in_force

The director may establish relationships or contracts with the nationwide mortgage licensing system and registry or other entity designated by the nationwide mortgage licensing system and registry to collect and maintain records and process a transaction fee or other fee related to any licensee or other person subject to the provisions of this chapter.

Source: SL 2015, ch 242, § 8.
S.D. Codified Laws § 54-10-1 — SD Code / Title 54 / Chapter 10 / Section 54-10-1
Definition of terms
Status: in_force

Terms used in this chapter mean:

(1) "Creditor's sale," any sale effected by the secured creditor by judicial process or otherwise under the terms of his contract or the applicable law for the purpose of realizing upon his security;

(2) "Insolvent debtor," any insolvent person, decedent's estate, partnership, limited liability company, corporation or business association involved in a liquidation proceeding as defined in this chapter;

(3) "Liquidation proceedings," all assignments for the benefit of creditors, whether voluntary or by operation of law; administration of insolvent decedents' estate; liquidations of insolvent banks; equity receiverships where the subject under receivership is insolvent; and any other proceedings for distribution of assets of any insolvent debtor, whether a person, decedent's estate, partnership, limited liability company, corporation or business association;

(4) "Liquidator," any person administering assets in any liquidation proceeding as defined in this chapter; and

(5) "Secured creditor," a creditor who has either legal or equitable security for the creditor's debt upon any property of the insolvent debtor of a nature to be liquidated and distributed in a liquidation proceeding, or a creditor to whom is owed a debt for which such security is possessed by some endorser, surety, or other person secondarily liable.

Source: SL 1941, ch 162, § 1; SDC Supp 1960, § 37.26A01; SL 1994, ch 351, § 153.
S.D. Codified Laws § 54-9-16 — SD Code / Title 54 / Chapter 9 / Section 54-9-16
Accounting of assignee
Status: in_force

After the lapse of six months from the date of filing his bond, the assignee, on motion of any one of the creditors, with ten days' notice, accompanied by an affidavit of the creditor, his agent, or attorney, setting forth his claim and the amount thereof, and that no account has been filed within six months, may be ordered by the circuit court or by the judge thereof, at any place in his judicial circuit, to render an account of his proceedings, within a given time to be fixed by the court or the judge thereof, not to exceed fifteen days.

Source: CivC 1877, § 2042; SL 1887, ch 8, § 1; SL 1887, ch 9, § 1; CL 1887, § 4675; RCivC 1903, § 2387; RC 1919, § 2060; SDC 1939 & Supp 1960, § 37.5110.
S.D. Codified Laws § 54-4-75 — SD Code / Title 54 / Chapter 4 / Section 54-4-75
Debt cancellation contracts and debt suspension contracts permitted
Status: in_force

A licensee pursuant to this chapter may enter into debt cancellation contracts and debt suspension contracts and charge a fee for those contracts in connection with any extension of credit that it makes, purchases, or of which it accepts assignment.

Source: SL 2012, ch 235, § 4.
S.D. Codified Laws § 54-14-28 — SD Code / Title 54 / Chapter 14 / Section 54-14-28
Reinstatement of license or registration--Termination of suspension--New license or registration
Status: in_force

The director may, in the director's discretion, reinstate a license or registration, terminate a suspension, or grant a new license or registration to any person whose license or registration has been revoked or suspended if no fact or condition then exists which would justify the director in refusing to grant a license or registration.

Source: SL 2007, ch 279, § 17.
S.D. Codified Laws § 54-6A-5 — SD Code / Title 54 / Chapter 6A / Section 54-6A-5
Information required in disclosure
Status: in_force

For each lease - purchase agreement, the lessor shall disclose in the agreement the following items, as applicable:

(1) The total number, total amount, and timing of all payments necessary to acquire ownership of the property;

(2) A statement that the consumer will not own the property until the consumer has made the total payment necessary to acquire ownership;

(3) A statement that the consumer is responsible for the fair market value of the property if, and as of the time, it is lost, stolen, damaged, or destroyed;

(4) A brief description of the leased property, sufficient to identify the property to the consumer and the lessor, including an identification number, if applicable, and a statement indicating whether the property is new or used, but a statement that indicates new property is used is not a violation of this chapter;

(5) A brief description of any damages to the leased property;

(6) A statement of the cash price of the property. If the agreement involves a lease of five or more items as a set, in one agreement, a statement of the aggregate cash price of all items is sufficient;

(7) The total of initial payments paid or required at or before consummation of the agreement or delivery of the property, whichever is later;

(8) A statement that the total of payments does not include other charges, such as late payment, default, pickup, and reinstatement fees, which fees shall be separately disclosed in the contract;

(9) A statement clearly summarizing the terms of the consumer's option to purchase, including a statement that the consumer has the right to exercise an early purchase option and the price, formula, or method for determining the price at which the property may be so purchased;

(10) A statement identifying the party responsible for maintaining or servicing the property while it is being leased, together with a description of that responsibility, and a statement that if any part of a manufacturer's express warranty covers the leased property at the time the consumer acquires ownership of the property, the warranty shall be transferred to the consumer, if allowed by the terms of the warranty;

(11) The date of the transaction and the identities of the lessor and consumer;

(12) A statement that the consumer may terminate the agreement without penalty by voluntarily surrendering or returning the property in good repair, ordinary wear and tear excepted, upon expiration of any lease term along with any past due rental payments; and

(13) Notice of the right to reinstate an agreement as provided in this chapter.

With respect to matters specifically governed by the Federal Consumer Credit Protection Act, compliance with such act satisfies the requirements of this section.

Source: SL 1991, ch 393, § 5.
S.D. Codified Laws § 54-9-2 — SD Code / Title 54 / Chapter 9 / Section 54-9-2
Instrument of assignment--Execution--Acknowledgment or proof--Recording--Defective execution invalidates assignment
Status: in_force

An assignment for the benefit of creditors must be in writing, subscribed by the assignor, or by his agent thereto authorized by writing. It must be acknowledged or proved and certified, in the mode prescribed by this code for recording transfers of real property and recorded as required by § 54-9-8 . Unless such provisions are complied with, an assignment for the benefit of creditors is void against every creditor of the assignor not assenting thereto.

Source: CivC 1877, §§ 2031, 2032; CL 1887, §§ 4664, 4665; RCivC 1903, §§ 2376, 2377; RC 1919, §§ 2049, 2050; Supreme Court Rule 617, 1939; SDC 1939 & Supp 1960, § 37.5104.
S.D. Codified Laws § 54-11-9 — SD Code / Title 54 / Chapter 11 / Section 54-11-9
Creation of contract between card holder and issuer
Status: in_force

The use of an accepted credit card or the issuance of a credit card agreement and the expiration of thirty days from the date of issuance without written notice from a card holder to cancel the account creates a binding contract between the card holder and the card issuer with reference to any accepted credit card, and any charges made with the authorization of the primary card holder.

Source: SL 1983, ch 365, § 2.
S.D. Codified Laws § 54-3A-8 — SD Code / Title 54 / Chapter 3A / Section 54-3A-8
Rule for computing refund of charges on prepayment
Status: in_force

As used in this chapter, unless the context otherwise requires, "Rule of 78" means a refund of charges which shall be at least as great a proportion of the total charges, as the sum of the remaining monthly balances of principal and interest combined scheduled to follow the date of prepayment bears to the sum of all the monthly balances of principal and interest combined originally scheduled by the loan agreement.

Source: SL 1974, ch 305, § 1 (9).
S.D. Codified Laws § 54-14-14 — SD Code / Title 54 / Chapter 14 / Section 54-14-14
Application for licensure or registration
Status: in_force

Any applicant for licensure or registration shall submit to the director an application on forms prescribed by the division. The forms shall include, at a minimum, all addresses at which business is to be conducted, the names and titles of each director and principal officer of the business, and a description of the business activities and experience of the applicant.

Source: SL 2007, ch 279, § 3.
S.D. Codified Laws § 54-14-31 — SD Code / Title 54 / Chapter 14 / Section 54-14-31
Promulgation of rules regarding licensing, education, and fees
Status: in_force

The director may promulgate rules pursuant to chapter 1-26 for the pre-licensing education, written testing, continuing education, personal history, and experience checks of mortgage brokers, mortgage brokerages, mortgage lenders, and mortgage loan originators, and for the management and administration of licenses and registrations issued pursuant to this chapter.

The director may promulgate rules pursuant to chapter 1-26 to establish fees required for the licensure and renewal of licenses through the nationwide mortgage licensing system and registry in addition to those fees established in §§ 54-14-16 and 54-14-19 . Such fees may not exceed five hundred dollars.

Source: SL 2007, ch 279, § 20; SL 2009, ch 251, § 17.
S.D. Codified Laws § 54-4-77.1 — SD Code / Title 54 / Chapter 4 / Section 54-4-77.1
Exemptions not applicable to prohibited debt-collection tactics
Status: in_force

The exemptions under this chapter do not apply to any debt-collection tactic prohibited in § 54-4-77 .

Source: SL 2017, ch 207, § 4.
S.D. Codified Laws § 54-13-1 — SD Code / Title 54 / Chapter 13 / Section 54-13-1
Definition of terms
Status: in_force

Terms used in this chapter mean:

(1) "Agricultural land," a parcel of land larger than forty acres not located in any municipality and used in farming or ranching operations carried on by the owner or operator within the preceding three- year period for the production of farm products as defined in subdivision 57A-9-102 (a)(34) and includes wasteland lying within or contiguous to and in common ownership with land used in farming or ranching operations for the production of farming or ranching products;

(2) "Ag finance counselor," a person who is trained to assist in agricultural credit matters;

(3) "Agricultural property," agricultural land or personal property or a combination thereof used in the pursuit of, or arising out of, or related to, the occupation of farming or ranching;

(4) "Borrower," an individual, corporation, trust, cooperative, joint venture, or any other entity entitled to contract who is engaged in farming or ranching and who derives more than sixty percent of total gross income from farming or ranching and who has been extended agricultural credit;

(5) "Creditor," any individual, organization, cooperative, partnership, trust, or state or federally chartered corporation to whom is owed agricultural debt by a borrower;

(6) "Federal land mediation," a process by which individuals or organizations seek to resolve disputes with federal land management agencies;

(7) "Agricultural credit mediation," a process by which creditors and borrowers present, discuss, and explore practical and realistic alternatives to the resolution of a borrower's debts;

(8) "Mediator," anyone responsible for and engaged in the performance of mediation pursuant to this chapter, who is trained and certified by the Department of Agriculture and Natural Resources;

(9) "Oil and gas mediation," a process by which individuals or organizations seek to resolve disputes with oil and gas developers related to surface damages.

Source: SL 1988, ch 384, § 1; SL 2001, ch 259; § 1; SL 2013, ch 241, § 1; SL 2015, ch 203, § 26; SL 2021, ch 1 (Ex. Ord. 21-3 ), § 51, eff. Apr. 19, 2021.
S.D. Codified Laws § 54-6A-1 — SD Code / Title 54 / Chapter 6A / Section 54-6A-1
Definitions
Status: in_force

Terms used in this chapter mean:

(1) "Advertisement," a commercial message in any medium that aids, promotes, or assists, directly or indirectly, a lease - purchase agreement;

(2) "Cash price," the price at which the lessor would have sold the property to the consumer for cash on the date of the lease - purchase agreement;

(3) "Consumer," a natural person who rents personal property under a lease - purchase agreement to be used primarily for personal, family or household purposes;

(4) "Consummation," the time a consumer becomes contractually obligated on a lease - purchase agreement;

(5) "Lessor," a person who regularly provides the use of property through lease - purchase agreements and to whom lease payments are initially payable on the face of the lease - purchase agreement.

Source: SL 1991, ch 393, § 1.
S.D. Codified Laws § 54-1-7 — SD Code / Title 54 / Chapter 1 / Section 54-1-7
Open account--Interest rates
Status: in_force

Interest rates on open accounts, as defined in § 54-1-6 , are subject to the provisions regarding interest rates in chapter 54-3 .

Source: SL 1982, ch 340, § 2.
S.D. Codified Laws § 54-15-5 — SD Code / Title 54 / Chapter 15 / Section 54-15-5
Written confirmation of security freeze
Status: in_force

The consumer reporting agency shall send a written confirmation of the security freeze to the consumer within ten business days and shall provide the consumer with a unique personal identification number or password to be used by the consumer when providing authorization for the release of the consumer's credit report for a specific period of time.

Source: SL 2006, ch 246, § 5.
S.D. Codified Laws § 54-13-14 — SD Code / Title 54 / Chapter 13 / Section 54-13-14
State or federal time periods deemed to run concurrently
Status: in_force

The time period provided in any state or federal statutes, rules, or regulations are not to be affected by this chapter but shall be deemed to have run concurrently with the time period for mediation.

Source: SL 1988, ch 384, § 14.
S.D. Codified Laws § 54-13-17 — SD Code / Title 54 / Chapter 13 / Section 54-13-17
Time limitation on waiver by borrower
Status: in_force

Any waiver by the borrower pursuant to this chapter may not be made more than sixty days prior to the commencement of any action or proceeding as described in § 54-13-10 .

Source: SL 1988, ch 384, § 16A.
S.D. Codified Laws § 54-2-4 — SD Code / Title 54 / Chapter 2 / Section 54-2-4
Obligation for payment extinguished by tender and deposit in state bank
Status: in_force

An obligation for the payment of money is extinguished by a due offer of payment, if the amount is immediately deposited in the name of the creditor with some bank of deposit within this state, of good repute, and notice thereof is given to the creditor.

Source: CivC 1877, § 849; CL 1887, § 3473; RCivC 1903, § 1166; RC 1919, § 773; SDC 1939, § 47.0209.
S.D. Codified Laws § 54-4-38 — SD Code / Title 54 / Chapter 4 / Section 54-4-38
Promulgation of rules
Status: in_force

The commission may promulgate rules pursuant to chapter 1-26 to provide for:

(1) Rules of practice;

(2) Internal management of finance companies;

(3) Retention of records;

(4) Additional examination fees; and

(5) Remote electronic lending.

Source: SL 1998, ch 280, § 3.
S.D. Codified Laws § 54-12-20 — SD Code / Title 54 / Chapter 12 / Section 54-12-20
Reverse mortgage defined
Status: in_force

For the purposes of this chapter, a reverse mortgage is any nonrecourse loan secured by real property that:

(1) Provides cash advances to a borrower based on the equity in a borrower's owner occupied principal residence;

(2) Requires no payment of principal or interest until the entire loan becomes due and payable; and

(3) Is made by any lender authorized to engage in business as a bank savings institution, mortgage company, or credit union under the laws of the United States or of South Dakota, or another lender authorized to make reverse mortgage loans by the Division of Banking.

Source: SL 1997, ch 276, § 1.
S.D. Codified Laws § 54-9-9 — SD Code / Title 54 / Chapter 9 / Section 54-9-9
Effect of omitting to record--Assignment of real property
Status: in_force

An assignment for the benefit of creditors is void against creditors of the assignor, and against purchasers and encumbrancers in good faith and for value, if the assignment is not recorded and the inventory filed within twenty days after the date of the assignment. Where it embraces real property it is subject to the provisions of law on recording transfers, as well as those of this chapter.

Source: CivC 1877, §§ 2038, 2039; CL 1887, §§ 4671, 4672; RCivC 1903, §§ 2383, 2384; RC 1919, §§ 2056, 2057; SDC 1939 & Supp 1960, § 37.5107.
S.D. Codified Laws § 54-4-36 — SD Code / Title 54 / Chapter 4 / Section 54-4-36
Definition of terms
Status: in_force

Terms used in this chapter mean:

(1) "Advertisement," a commercial message in any medium that aids, promotes, or assists, directly or indirectly, the sale of products or services;

(2) "Business of lending money," includes the originating, selling, servicing, acquiring, or purchasing of any loan involving a borrower who is a person other than a family member, or the servicing, acquiring, or purchasing of a retail installment contract a party to which is a person other than a family member. The term does not include any seller-financed transaction for the sale of assets to a purchaser or any seller-financed transaction for the sale of real estate through a contract for deed so long as the interest rate for the transaction does not exceed the rate permitted under § 54-4-44 ;

(3) "Commission," the State Banking Commission;

(4) "Director," the director of the Division of Banking of the Department of Labor and Regulation;

(5) "Division," the Division of Banking;

(6) "Duration," the time a loan exists before it is paid off, renewed, rolled over, or flipped;

(7) "Family member," includes an immediate family member as the term is defined in § 54-14-12 that includes any descendant of a person's grandparents and any descendant of a person's spouse's grandparents;

(8) "Finance charge," the amount, however denominated, that is the direct or indirect cost payable by a borrower for a loan;

(9) "Installment loan," a loan made to be repaid in specified amounts over a certain number of months;

(10) "License," a license provided by this chapter;

(11) "Installment loan contract" or "contract," an agreement evidencing an installment loan transaction;

(12) "Licensee," any person holding a license;

(13) "Loan," any installment loan, single pay loan, or open-end loan which may be unsecured or secured by real or personal property. The term does not include an installment sales contract as defined under subdivision 54-3A-1(6);

(14) "Nationwide mortgage licensing system and registry," a licensing system developed and maintained by the Conference of State Bank Supervisors and the American Association of Residential Mortgage Regulators for the licensing and registration of licensed mortgage loan originators and other regulated entities;

(15) "Payday loan," any short-maturity loan on the security of a check, any assignment of an interest in the account of a person at a depository institution, any authorization to debit the person's deposit account, any assignment of salary or wages payable to a person. A short-maturity loan made in anticipation of an income tax refund is not a payday loan for purposes of this chapter;

(16) "Regional revolving loan fund," a regional revolving loan fund with a service area of at least five South Dakota counties, a designated staff for loan processing and servicing, a loan portfolio of at least one million dollars, and that is governed by a board of directors that meets at least quarterly;

(17) "Short-term consumer loan," any loan to any individual borrower with a duration of six months or less, including a payday loan. A title loan is not a short-term consumer loan for purposes of this chapter;

(18) "Title lender," a regulated lender authorized pursuant to this chapter to make title loans;

(19) "Title loan," a loan for a debtor that is secured by a nonpurchase money security interest in a motor vehicle and that is scheduled to be repaid in a single installment.

Source: SL 1998, ch 280, § 1; SL 2004, ch 17, § 305; SL 2004, ch 291, § 1; SL 2005, ch 257, § 5; SL 2006, ch 245, § 1; SL 2011, ch 1 (Ex. Ord. 11-1 ), § 162, eff. Apr. 12, 2011; SL 2015, ch 242, § 1; SL 2017, ch 205, § 1; SL 2018, ch 271, § 1.
S.D. Codified Laws § 54-15-2 — SD Code / Title 54 / Chapter 15 / Section 54-15-2
Security freeze defined
Status: in_force

For the purposes of this chapter, a security freeze is a notice placed in a consumer's credit report, at the request of the consumer and subject to certain exceptions, that prohibits the consumer reporting agency from releasing the consumer's credit report, relating to the extension of credit involving that consumer's report, without the express authorization of the consumer. If a security freeze is in place, information from a consumer's credit report may not be released to a third party without prior express authorization from the consumer.

Source: SL 2006, ch 246, § 2.
S.D. Codified Laws § 54-9-13.2 — SD Code / Title 54 / Chapter 9 / Section 54-9-13.2
Action by assignee against creditor receiving voluntary transfer from insolvent assignor
Status: in_force

In addition to those otherwise provided in this chapter, the court may authorize an assignee to bring an action, which he is hereby empowered to maintain, against any person, who with reasonable cause to believe the assignor was insolvent as defined in § 54-8A-2 , has within four months of the assignment received a voluntary transfer from the assignor of money or property for or on account of an antecedent debt, the effect of which transfer is to enable the creditor to obtain a greater percentage of his debt than some other creditor of the same class, and the assignee may recover the property so transferred or its value. For the purpose of this section a transfer shall be deemed to have been made when it is so far perfected that no creditor having a judgment on a simple contract without special priority (whether or not such a creditor exists) could have obtained an interest superior to that of the transferee therein. A transfer not so perfected prior to the assignment shall be deemed to have been made immediately before the assignment.

Source: SDC Supp 1960, ch 37.51 as added by SL 1969, ch 162, § 3; SL 1990, ch 30, § 16.
S.D. Codified Laws § 54-9-22 — SD Code / Title 54 / Chapter 9 / Section 54-9-22
Federal bankruptcy proceedings, possession of estate taken from assignee--Discharge of assignee on full accounting to trustee in bankruptcy
Status: in_force

Whenever the trust estate shall have been taken out of the hands of the assignee by proceedings in bankruptcy in the federal court, the assignee may in like manner be discharged, upon showing that he has fully accounted to the trustee in bankruptcy, and turned over to him the whole of the trust estate.

Source: SL 1887, ch 8, § 1; SL 1887, ch 9, § 1; CL 1887, § 4675; RCivC 1903, § 2387; RC 1919, § 2060; SDC 1939 & Supp 1960, § 37.5110.
S.D. Codified Laws § 54-10-12 — SD Code / Title 54 / Chapter 10 / Section 54-10-12
Application of chapter to existing transactions
Status: in_force

This chapter shall not apply to contracts and transactions already existing on July 1, 1941.

Source: SL 1941, ch 162, § 12; SDC Supp 1960, § 37.26A10.
S.D. Codified Laws § 54-11-6.4 — SD Code / Title 54 / Chapter 11 / Section 54-11-6.4
Minimum charge on monthly bills when service charge less than minimum charge
Status: in_force

If there is an unpaid balance on the date of which the credit service charge is applied and the credit service charge pursuant to this section is less than the minimum charge, a minimum charge not exceeding fifty cents may be made if the billing cycle is monthly. If the billing cycle is not monthly, a minimum charge may be made which bears the same relation to fifty cents as the number of days in the billing cycle bears to thirty.

Source: SL 1979, ch 335, § 6.
S.D. Codified Laws § 54-9-15 — SD Code / Title 54 / Chapter 9 / Section 54-9-15
Proceeding subject to order and supervision of circuit court--Rendition of accounts and filing of reports by assignee--Distribution of trust estate
Status: in_force

All proceedings under this chapter shall be subject to the order and supervision of the judge of the circuit court for the county in which such assignment was made. The judge may from time to time, in his discretion, upon his own motion or on the petition of one or more of the creditors, by order, citation, attachment, or otherwise, require any assignee or assignees to render accounts and file reports of his or their proceedings and of the conditions of such trust estate, and may order or decree distribution thereof.

Source: SL 1887, ch 8, § 1; SL 1887, ch 9, § 1; CL 1887, § 4675; RCivC 1903, § 2387; RC 1919, § 2060; SDC 1939 & Supp 1960, § 37.5110; SL 1969, ch 162, § 2.
S.D. Codified Laws § 54-3A-2 — SD Code / Title 54 / Chapter 3A / Section 54-3A-2
Items included in amount financed
Status: in_force

As used in this chapter, unless the context otherwise requires, "amount financed" means the total of the following items from which any prepaid finance charge or required deposit has been excluded:

(1) The cash price of the goods or services less the total amount of any down payment whether made in cash or in property traded in;

(2) The amount actually paid or to be paid by the creditor pursuant to an agreement to discharge a security interest in, a lien on, or an unpaid obligation with respect to any property traded in; and

(3) Amounts actually paid or to be paid by the creditor which are for additional charges authorized by § 54-3A-5 and are agreed to by the consumer.

Source: SL 1974, ch 305, § 1 (1).
S.D. Codified Laws § 54-4-69 — SD Code / Title 54 / Chapter 4 / Section 54-4-69
Consent to be sued--Form
Status: in_force

A person licensed pursuant to chapter 54-4 shall consent to be sued in the circuit courts of the state for purposes of the director enforcing any provision of chapter 54-4 and any rules promulgated pursuant to chapter 54-4 . The consent to suit shall be demonstrated by the execution and submission of a consent to suit form prepared by the director, with proof of authority to consent and execute the form.

Source: SL 2005, ch 258, § 11.
S.D. Codified Laws § 54-8A-1 — SD Code / Title 54 / Chapter 8A / Section 54-8A-1
Definitions
Status: in_force

Terms used in this chapter mean:

(1) "Affiliate,"

(i) Any person who directly or indirectly owns, controls, or holds with power to vote, twenty percent or more of the outstanding voting securities of the debtor, other than a person who holds the securities:

(A) As a fiduciary or agent without sole discretionary power to vote the securities; or

(B) Solely to secure a debt, if the person has not exercised the power to vote;

(ii) Any corporation twenty percent or more of whose outstanding voting securities are directly or indirectly owned, controlled, or held with power to vote, by the debtor or a person who directly or indirectly owns, controls, or holds, with power to vote, twenty percent or more of the outstanding voting securities of the debtor, other than a person who holds the securities:

(A) As a fiduciary or agent without sole power to vote the securities; or

(B) Solely to secure a debt, if the person has not in fact exercised the power to vote;

(iii) Any person whose business is operated by the debtor under a lease or other agreement, or any person substantially all of whose assets are controlled by the debtor; or

(iv) Any person who operates the debtor's business under a lease or other agreement or controls substantially all of the debtor's assets;

(2) "Asset," any property of a debtor, but the term does not include:

(i) Property to the extent it is encumbered by a valid lien;

(ii) Property to the extent it is generally exempt under nonbankruptcy law; or

(iii) Any interest in property held in tenancy by the entireties to the extent it is not subject to process by a creditor holding a claim against only one tenant;

(3) "Claim," any right to payment, whether or not the right is reduced to judgment, liquidated, unliquidated, fixed, contingent, matured, unmatured, disputed, undisputed, legal, equitable, secured, or unsecured;

(4) "Creditor," any person who has a claim;

(5) "Debt," liability on a claim;

(6) "Debtor," any person who is liable on a claim;

(7) "Insider,"

(i) If the debtor is an individual:

(A) Any relative of the debtor or of a general partner of the debtor;

(B) Any partnership in which the debtor is a general partner;

(C) Any general partner in a partnership described in clause (B); or

(D) Any corporation of which the debtor is a director, officer, or person in control;

(ii) If the debtor is a corporation:

(A) Any director of the debtor;

(B) Any officer of the debtor;

(C) Any person in control of the debtor;

(D) Any partnership in which the debtor is a general partner;

(E) Any general partner in a partnership described in clause (D); or

(F) Any relative of a general partner, director, officer, or person in control of the debtor;

(iii) If the debtor is a partnership:

(A) Any general partner in the debtor;

(B) Any relative of a general partner in, a general partner of, or a person in control of the debtor;

(C) Another partnership in which the debtor is a general partner;

(D) Any general partner in a partnership described in clause (C); or

(E) Any person in control of the debtor;

(iv) Any affiliate, or any insider of an affiliate as if the affiliate were the debtor; and

(v) Any managing agent of the debtor;

(8) "Lien," any charge against or an interest in property to secure payment of a debt or performance of an obligation, and includes any security interest created by agreement, any judicial lien obtained by legal or equitable process or proceedings, any common - law lien, or any statutory lien;

(9) "Person," an individual, partnership, limited liability company, corporation, association, organization, government or governmental subdivision or agency, business trust, estate, trust, or any other legal or commercial entity;

(10) "Property," anything that may be the subject of ownership;

(11) "Relative," any individual related by consanguinity within the third degree as determined by the common law, a spouse, or an individual related to a spouse within the third degree as so determined, including an individual in an adoptive relationship within the third degree;

(12) "Transfer," any mode, direct or indirect, absolute or conditional, voluntary or involuntary, of disposing of or parting with an asset or an interest in an asset, including payment of money, release, lease, and creation of a lien or other encumbrance;

(13) "Valid lien," any lien that is effective against the holder of a judicial lien subsequently obtained by legal or equitable process or proceedings.

Source: SL 1987, ch 365, § 1; SL 1994, ch 351, § 152.
S.D. Codified Laws § 54-1-8 — SD Code / Title 54 / Chapter 1 / Section 54-1-8
Open account--Notice of interest rate increase
Status: in_force

Prior to increasing interest rates on open accounts, a creditor shall notify all customers having open accounts thirty days in advance of the increase. The notification shall clearly state the new interest rate, the effective date of the new interest rate and that the customer either may continue to pay the account in installments at the existing rate without further use of the account after the effective date of the new rate, or the customer may continue to use the account after the effective date of the rate increase with the unpaid outstanding balance on that date and all subsequent purchases or use of the account subject to the increased rate. Use of the account after the effective date of the interest rate increase is deemed to be an acceptance of the increased rate by the customer.

Source: SL 1982, ch 340, § 3.
S.D. Codified Laws § 54-9-15.1 — SD Code / Title 54 / Chapter 9 / Section 54-9-15.1
Power of court to take and state accounts
Status: in_force

In addition to those otherwise provided in this chapter, the court shall have power to take and state accounts hereunder or to appoint referees to take and state accounts.

Source: SDC Supp 1960, ch 37.51 as added by SL 1969, ch 162, § 3.
S.D. Codified Laws § 54-14-40 — SD Code / Title 54 / Chapter 14 / Section 54-14-40
Remote work--Requirements
Status: in_force

An employee of a licensee may work in a remote location other than the business location identified pursuant to § 54-14-14 , if the licensee:

(1) Ensures in-person interactions with consumers are not conducted at the remote location and the remote location is not represented to consumers as a business location;

(2) Maintains secure virtual private networks and other appropriate safeguards for licensee and consumer data, information, and records;

(3) Employs appropriate risk-based monitoring and oversight processes of work performed from a remote location and maintains records of the processes;

(4) Ensures consumer information and records are not maintained at the remote location;

(5) Ensures consumer and licensee information and records remain accessible and available for regulatory oversight and examination; and

(6) Provides appropriate employee training to keep all conversations about and with consumers conducted from the remote location confidential, as if conducted from the business location, and to ensure remote employees work in an environment that maintains confidentiality.

Source: SL 2022, ch 179, § 2.
S.D. Codified Laws § 54-14-24 — SD Code / Title 54 / Chapter 14 / Section 54-14-24
Surety bond requirements
Status: in_force

Each mortgage lender, mortgage brokerage, mortgage broker, or mortgage loan originator shall submit with any application, and maintain at all times, a surety bond in an amount that reflects the total dollar amount of loans originated by the licensee and the licensee's employees and agents, but not less than twenty-five thousand dollars. The surety bond shall be in a form and amount as prescribed by the director.

Each mortgage loan originator and mortgage broker shall be covered by a surety bond in accordance with this section. If the mortgage loan originator or mortgage broker is an employee or exclusive agent of a person subject to this chapter, the surety bond of such person can be used in lieu of the mortgage loan originator or mortgage broker's surety bond requirement. The surety bond shall provide coverage for each mortgage loan originator and mortgage broker in an amount prescribed by this section.

The bond shall be issued by a surety company qualified to do business as a surety in this state. The bond shall be in favor of this state for the use of this state and any person who has a cause of action under this chapter against the licensee. The bond shall be conditioned on:

(1) The licensee's faithful performance under this chapter and any rules adopted pursuant to this chapter; and

(2) The payment of any amounts that are due to the state or another person during the time the bond is in force.

The bond may be continuous, and regardless of how long the bond remains in force, the aggregate liability of a surety to all persons damaged by a licensee's violation of the provisions of this chapter may not exceed the amount of the bond. The bond may be cancelled by the surety upon thirty days notice to the licensee and the director, and the surety's liability on the bond shall also terminate upon the effective date of any suspension or revocation of the license.

If an action is commenced on a licensee's bond, the director may require the filing of a new bond. Immediately upon recovery in any action on the bond the licensee shall file a new bond.

The director may promulgate rules pursuant to chapter 1-26 with respect to the requirements for such surety bonds as are necessary to accomplish the purposes of this chapter.

Source: SL 2007, ch 279, § 13; SL 2008, ch 255, § 2; SL 2009, ch 251, § 14.
S.D. Codified Laws § 54-1-4 — SD Code / Title 54 / Chapter 1 / Section 54-1-4
Preference of creditors by debtor
Status: in_force

A debtor may pay one creditor in preference to another, or may give to one creditor security for the payment of his demand in preference to another.

Source: CivC 1877, § 2021; CL 1887, § 4654; RCivC 1903, § 2366; RC 1919, § 2039; SDC 1939, § 23.0103.
S.D. Codified Laws § 54-4-41 — SD Code / Title 54 / Chapter 4 / Section 54-4-41
Rejection or acceptance of application by director
Status: in_force

The director shall approve or deny an application for a license within thirty days of receipt of any application.

Source: SL 1998, ch 280, § 6.
S.D. Codified Laws § 54-11-4 — SD Code / Title 54 / Chapter 11 / Section 54-11-4
Unsolicited issuance of credit card prohibited--No liability for misuse by others
Status: in_force

No credit card shall be issued unless its issuance was requested nor shall any person who has not so solicited or has not accepted or utilized an unsolicited credit card be liable to the person who issued it or honored it for its misuse by others.

Source: SL 1968, ch 199, § 4.
S.D. Codified Laws § 54-4-59 — SD Code / Title 54 / Chapter 4 / Section 54-4-59
Property insurance required
Status: in_force

A creditor may require property insurance on any loan secured by tangible property. The amount of insurance required shall be reasonable and appropriate considering the nature of the property, the amount of the loan, the maturity of the loan, and any other circumstances. The insurance policy shall show the creditor as the loss payee, unless waived by the creditor.

Source: SL 1998, ch 280, § 24.
S.D. Codified Laws § 54-3-17 — SD Code / Title 54 / Chapter 3 / Section 54-3-17
Recommendations for amendment of official rates
Status: in_force

The Division of Banking shall annually review current interest rates, which review shall take into account the national rate of inflation and the prime lending rate as well as other indices division personnel deem proper, and, if necessary, shall recommend amendments to § 54-3-16 to the Legislature during regular session.

Source: SL 1984, ch 319, § 2.
S.D. Codified Laws § 54-9-8 — SD Code / Title 54 / Chapter 9 / Section 54-9-8
Recording assignment and filing inventory
Status: in_force

The assignment must be recorded and the inventory filed with the register of deeds of the county in which the assignor resided at the date of the assignment or of the county to which such county is attached for judicial purposes; or, if he did not then reside in this state, with the like officer of the county in which his principal place of business was then situated; or, if he had not then a residence or place of business in this state, with the like officer of the county in which the principal part of the assigned property was then situated. If the assignment is executed by more than one assignor, it must be recorded and a copy of the inventory must be filed with the register of deeds of every county in which any of the assignors resided at its date, or in which any of them, not then residing in this state, had then a place of business.

Source: CivC 1877, §§ 2036, 2037; CL 1887, §§ 4669, 4670; RCivC 1903, §§ 2381, 2382; RC 1919, §§ 2054, 2055; SDC 1939 & Supp 1960, § 37.5107.
S.D. Codified Laws § 54-9-14 — SD Code / Title 54 / Chapter 9 / Section 54-9-14
Compensation of assignee
Status: in_force

In the absence of any provision in the assignment to the contrary, an assignee for the benefit of creditors is entitled to the same commissions as are allowed by law to personal representatives; but the assignment cannot grant more, and may restrict the commissions to a less amount, or deny them altogether.

Source: CivC 1877, § 2044; CL 1887, § 4678; RCivC 1903, § 2390; RC 1919, § 2063; SDC 1939 & Supp 1960, § 37.5112.
S.D. Codified Laws § 54-4-44.2 — SD Code / Title 54 / Chapter 4 / Section 54-4-44.2
Motor vehicle purchase loan--Fees incident to extension of credit
Status: in_force

For purposes of § 54-4-44 , fees contracted for or received that are "incident to the extension of credit" in connection with a loan for the purchase of a motor vehicle do not include fees for optional maintenance agreements and extended service contracts, official fees and taxes, sales tax, title fees, lien registration fees, and dealer documentary fees.

Source: SL 2017, ch 205, § 3.
S.D. Codified Laws § 54-3-14 — SD Code / Title 54 / Chapter 3 / Section 54-3-14
Regulated lenders defined
Status: in_force

The term, regulated lenders, as used in § 54-3-13 means:

(1) A bank organized pursuant to chapter 51A-1 , et seq.;

(2) A bank organized pursuant to 12 U.S.C. § 21;

(3) A trust company organized pursuant to chapter 51A-6A ;

(4) A savings and loan association organized pursuant to chapter 52-1 , et seq.;

(5) A savings and loan association organized pursuant to 12 U.S.C. § 1464;

(6) Any wholly owned subsidiary of a state or federal bank or savings and loan association which subsidiary is subject to examination by the comptroller of the currency, or the federal reserve system, or the South Dakota Division of Banking, or the federal home loan bank board and which subsidiary has been approved by the United States secretary of housing and urban development for participation in any mortgage insurance program under the National Housing Act;

(7) A federal land bank organized pursuant to 12 U.S.C. § 2011;

(8) A federal land bank association organized pursuant to 12 U.S.C. § 2031;

(9) A production credit association organized pursuant to 12 U.S.C. § 2091;

(10) A federal intermediate credit bank organized pursuant to 12 U.S.C. § 2071;

(11) An agricultural credit corporation or livestock loan company or its affiliate, the principal business of which corporation is the extension of short and intermediate term credit to farmers and ranchers;

(12) A federal credit union organized pursuant to 12 U.S.C. § 1753;

(13) A federal financing bank organized pursuant to 12 U.S.C. § 2283;

(14) A federal home loan bank organized pursuant to 12 U.S.C. § 1423, et seq.;

(15) A national consumer cooperative bank organized pursuant to 12 U.S.C. § 3011;

(16) A bank for cooperatives organized pursuant to 12 U.S.C. § 2121;

(17) Bank holding companies organized pursuant to 12 U.S.C. § 1841, et seq.;

(18) National Homeownership Foundation organized pursuant to 12 U.S.C. § 1701y;

(19) Farmers Home Administration as provided by 7 U.S.C. § 1981;

(20) Small Business Administration as provided by 15 U.S.C. § 633;

(21) Government National Mortgage Association and Federal National Mortgage Association as provided by 12 U.S.C. § 1717;

(22) South Dakota Housing Development Authority as provided by chapter 11-11 ;

(23) Insurance companies, whether domestic or foreign, authorized to do business in this state, and which as a part of their business engage in mortgage lending in this state. However, § 54-3-13 does not exempt insurance companies from the provisions of § 58-15-15.8 ; or

(24) Any wholly owned service corporation subsidiary of a domestic or foreign insurance company, authorized to do business in this state, and which subsidiary is subject to examination by the same insurance examiners as the parent company.

Source: SL 1980, ch 335, § 1; SL 1982, ch 342; SL 2017, ch 221 (Initiated Measure 21), § 1, eff. Nov. 16, 2016; SL 2021, ch 203, § 28.
S.D. Codified Laws § 54-4-57 — SD Code / Title 54 / Chapter 4 / Section 54-4-57
Examination of records--Costs--Information--Forms--Application of other provisions
Status: in_force

The division may annually, or as often as the director considers necessary, conduct an examination of business records and accounts of any licensee licensed under this chapter. The director may charge back to the licensee any cost associated with an on-site examination. The director may waive an on-site examination and only require an annual self-examination. If a licensee conducts a self-examination, the licensee shall provide any information requested under oath and on forms provided by the division by order or rule. The provisions of § 51A-2-35 apply to records and examination reports required under this chapter.

Source: SL 1998, ch 280, § 22; SL 2005, ch 258, § 8; SL 2006, ch 245, § 10.