reglab/statecodes huggingface dataset:
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1319 | Miscellaneous Credit Transactions › Section 1319.16 | Check Collection Charges.

Effective:
August 28, 2002
Latest Legislation:
House Bill 464 - 124th General Assembly
(A) If a collection agency has been designated to collect on a check, negotiable order of withdrawal, share draft, or other negotiable instrument that has been returned or dishonored for any reason, the collection agency may charge and receive check collection charges of not more than thirty dollars or ten per cent of the face amount of the instrument, whichever is greater, and may charge and receive any charge imposed by a financial institution upon the holder of the check, negotiable order of withdrawal, share draft, or other negotiable instrument that has been returned or dishonored for any reason.
(B) A collection agency that imposes a check collection charge pursuant to division (A) of this section shall send written notice by regular mail to the debtor at the debtor's last known address or at the address shown on the check or other instrument. The notice shall provide the amount of the check collection charge that has been imposed, and shall state that the debtor is responsible for paying the check collection charge as well as the value of the check or other instrument.
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.03 | Application for Small Loan License; Fee.

Effective:
September 26, 1996
Latest Legislation:
Senate Bill 293 - 121st General Assembly
Application for a license shall be in writing, under oath, and in the form prescribed by the division of financial institutions, and shall contain the name and address of the applicant, and, if the applicant is a partnership or association, of every member thereof, and, if a corporation, of each officer and director thereof; also the approximate location where the business is to be conducted and such further relevant information as the division requires. At the time of making such application, the applicant shall pay to the division a license fee as determined by the superintendent of financial institutions pursuant to section 1321.20 of the Revised Code and a nonrefundable investigation fee of two hundred dollars. No license fee or any portion thereof shall be refunded after a license has been issued.
Last updated November 3, 2021 at 5:35 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.04 | Small Loan License Application Approval.

Effective:
December 29, 2023
Latest Legislation:
Senate Bill 131 - 134th General Assembly
(A) Except as otherwise provided in division (B) of this section, upon the filing of an application under section 1321.03 of the Revised Code and payment of fees pursuant to section 1321.20 of the Revised Code, the division of financial institutions shall investigate the facts concerning the applicant and the requirements provided for in divisions (A)(1) and (2) of this section.
The division shall approve the application and issue and deliver a license to the applicant if the division finds both of the following:
(1) That the financial responsibility, experience, and general fitness of the applicant and of the members thereof, if the applicant is a partnership or an association, and of the officers and directors thereof, if the applicant is a corporation, are such as to warrant the belief that the business will be operated lawfully, honestly, and fairly under sections 1321.01 to 1321.19 of the Revised Code and within the purposes of those sections, that the applicant has fully complied with those sections, and that the applicant is qualified to act as a licensed lender;
(2) That the applicant has available for the operation of such business cash or moneys deposited in a readily accessible fund or account of not less than twenty-five thousand dollars.
If the division does not so find, it shall enter an order denying such application and forthwith notify the applicant of the denial, the grounds for the denial, and the applicant's reasonable opportunity to be heard on the action in accordance with Chapter 119. of the Revised Code. In the event of denial, the division shall return the license fee but shall retain the investigation fee.
(B) The division shall issue and deliver a license in accordance with Chapter 4796. of the Revised Code to an applicant if either of the following applies:
(1) The applicant holds a license in another state.
(2) The applicant has satisfactory work experience, a government certification, or a private certification as described in that chapter in the business of lending money, credit, or choses in action in amounts of five thousand dollars or less in a state that does not issue that license.
Last updated December 29, 2023 at 7:26 AM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.05 | Contents of Small Loan License; Annual Fee and Assessment; Assets.

Effective:
March 22, 2001
Latest Legislation:
Senate Bill 180 - 123rd General Assembly
Each license shall state the address at which the business is to be conducted and shall state fully the name of the licensee. Each license shall be kept conspicuously posted in the place of business of the licensee and is not transferable or assignable.
Each license shall remain in effect until surrendered, revoked, or suspended under section 1321.08 or 3123.47 of the Revised Code. Every licensee shall each year pay to the division of financial institutions a license fee and an assessment as determined by the superintendent pursuant to section 1321.20 of the Revised Code. Payment of such renewal fee shall be according to the provisions of this section and the standard renewal procedure of sections 4745.01 to 4745.03 of the Revised Code. No other or further license fee or assessment shall be required from any such licensee by the state or any political subdivision in the state.
Every licensee shall maintain for each license current assets of at least ten thousand dollars, either in use or readily available for use in the conduct of the business.
Last updated November 3, 2021 at 5:37 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.06 | Additional Small Loan Licenses; Change of Place of Business.

Effective:
September 26, 1996
Latest Legislation:
Senate Bill 293 - 121st General Assembly
Not more than one place of business shall be maintained under the same license issued under sections 1321.01 to 1321.05 of the Revised Code, but the division of financial institutions may issue additional licenses to the same licensee upon compliance with such sections.
No change in the place of business of a licensee to a location outside the original municipal corporation shall be permitted under the same license. When a licensee wishes to change the licensee's place of business within the same municipal corporation, the licensee shall give written notice thereof in advance to the division which shall provide a license for the new address, without cost.
Sections 1321.01 to 1321.19 of the Revised Code do not limit the loans of any licensee to residents of the community in which the licensed place of business is situated.
Last updated November 3, 2021 at 5:37 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.08 | Suspension or Revocation of Small Loan License.

Effective:
September 26, 1996
Latest Legislation:
Senate Bill 293 - 121st General Assembly
In accordance with Chapter 119. of the Revised Code:
(A) The division of financial institutions shall, upon written notice to the licensee stating the contemplated action and the grounds therefor, and upon reasonable opportunity to be heard, suspend or revoke any license issued by the division if it finds that:
(1) The licensee is in default in the payment of the annual license fee or assessment prescribed in section 1321.20 of the Revised Code or has failed to comply with any order of the division made and entered under division (A) of section 1321.10 of the Revised Code;
(2) The licensee has continued to violate any of the provisions of sections 1321.01 to 1321.19 of the Revised Code or any rule promulgated under division (A) of section 1321.10 of the Revised Code after receiving notice of such violation or violations from the division;
(3) Any fact or condition exists which if it had existed or had been known to exist at the time of the original application for such license, which fact or condition was not then known to the division, clearly would have warranted the division in refusing originally to issue such license.
(B) If the division finds that there exists probable cause for the suspension or revocation of any license under division (A) of this section and that enforcement of sections 1321.01 to 1321.19 of the Revised Code requires immediate suspension of the license pending complete investigation, it may, upon three days' written notice, and hearing, enter an order suspending the license for a period not exceeding thirty days, during which period of suspension no loans may be made under the license, but the licensee may receive payments on existing loans. Upon completion of such investigation the division shall either reinstate the license or further suspend the license for a further period or give the licensee notice of the contemplated revocation of the license, the grounds for the revocation, and the licensee's reasonable opportunity to be heard on the action in accordance with Chapter 119. of the Revised Code.
(C) Any licensee may surrender any license by delivering it to the division with written notice of its surrender. Such surrender shall not affect the licensee's civil or criminal liability for acts committed prior to the surrender.
(D) No revocation or suspension of any license shall impair or affect the obligation of any pre-existing lawful contract between the licensee and any borrower nor shall such action affect the right of the licensee to collect the amounts due under the contract, or to enforce the contract.
(E) The division may reinstate or issue a new license to a person whose license has been revoked if no fact or condition then exists which clearly would have warranted the division in refusing originally to issue the license.
Last updated November 3, 2021 at 5:38 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.09 | Small Loan Licensee Recordkeeping; Annual Report.

Effective:
June 18, 2002
Latest Legislation:
Senate Bill 138 - 124th General Assembly
(A) Every licensee shall keep and use in the licensee's business such books, accounts, and records as will enable the division of financial institutions to determine whether the licensee is complying with sections 1321.01 to 1321.19 of the Revised Code and with the orders and rules made by the division under those sections. Every licensee shall preserve such books, accounts, and records for at least two years after making the final entry on any loan recorded therein. Accounting systems maintained in whole or in part by mechanical or electronic data processing methods that provide information equivalent to that otherwise required are acceptable for this purpose.
As required by the superintendent of financial institutions, every licensee each year shall file a report with the division giving such relevant information concerning the business and operations, during the preceding calendar year, of each licensed place of business conducted by the licensee within the state. If a licensee has more than one place of business within this state it is optional with the licensee to furnish the report for each location, or a composite report for all locations. Such report shall be made under oath in the form prescribed by the division, which shall make and publish annually an analysis and recapitulation of such reports. Such licensee reports are not public records and shall only be used by the division for the purpose of enforcing sections 1321.01 to 1321.19 of the Revised Code or any rules or orders made in compliance with those sections. Such licensee reports may be introduced into evidence or disclosed when and in the manner authorized in section 1181.25 of the Revised Code, or in connection with criminal proceedings.
This section does not prevent the division from releasing to or exchanging with other financial institution regulatory authorities information relating to licensees.
(B) For purposes of this section, "financial institution regulatory authority" includes a regulator of a business activity in which a licensee is engaged, or has applied to engage in, to the extent that the regulator has jurisdiction over a licensee engaged in that business activity. A licensee is engaged in a business activity, and a regulator of that business activity has jurisdiction over the licensee, whether the licensee conducts the activity directly or a subsidiary or affiliate of the licensee conducts the activity.
Last updated November 5, 2021 at 4:18 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.10 | Small Loan Law Rules and Orders; Procedure in Case of Violation; Certified Statements.

Effective:
September 26, 1996
Latest Legislation:
Senate Bill 293 - 121st General Assembly
In accordance with Chapter 119. of the Revised Code:
(A) The division of financial institutions may adopt rules and the superintendent of financial institutions may issue specific orders for the enforcement of sections 1321.01 to 1321.19 of the Revised Code. Every ruling, demand, requirement, and similar administrative act may be in the form of a written order. Every rule and order shall be a public record. After promulgation, a copy of every rule shall be mailed to all licensees.
(B) The division may, whenever it has reasonable cause to believe that any person has violated, is violating, or is threatening to or intends to violate sections 1321.01 to 1321.19 of the Revised Code, enter an order requiring the person to desist or to refrain from such violation; and an action may be brought on the relation of the superintendent to enjoin the person from continuing or engaging in such violation or from doing any acts in furtherance thereof. Such action shall be conducted under the direction and supervision of the attorney general. In any such action, an order or judgment may be entered awarding such preliminary or final injunction as is deemed proper. In addition to all other means provided for the enforcement of a restraining order or injunction, the court in which such action is brought may impound and appoint a receiver for the property and business of the defendants including books, papers, documents, and records pertaining thereto or so much thereof as the court finds reasonably necessary to prevent further violations of sections 1321.01 to 1321.19 of the Revised Code, through or by means of the use of said property and business. Such receiver, when appointed and qualified, has such powers and duties as to custody, collection, administration, winding up, and liquidation of the property and business as may be conferred upon the receiver by the court.
(C) Upon application of any person, the division may certify, under the seal of the superintendent, a statement relative to any matter that is the subject of public examination and disclosure. The division may likewise furnish under the seal of the superintendent a certified copy of any order issued by the division, and in any court such certified statements and such certified copies are prima-facie evidence of the facts disclosed therein or of the making of such order.
Last updated November 3, 2021 at 5:40 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.11 | Prohibited Statements and Representations.

Effective:
September 26, 1996
Latest Legislation:
Senate Bill 293 - 121st General Assembly
No licensee or other person subject to sections 1321.01 to 1321.19 of the Revised Code shall advertise, display, distribute, or broadcast or cause or permit to be advertised, displayed, distributed, or broadcast, any false, misleading, or deceptive statement or representation with regard to the rates, terms, or conditions for loans made under those sections. The division of financial institutions shall require that charges or rates of charge, whenever stated by a licensee, be stated fully and clearly in such manner as may be deemed necessary to prevent misunderstanding thereof by prospective borrowers.
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.12 | Small Loan Licensee - Prohibited Acts.

Effective:
September 26, 1996
Latest Legislation:
Senate Bill 293 - 121st General Assembly
No licensee shall conduct the business of making loans under sections 1321.01 to 1321.19 of the Revised Code, within any office, room, or place of business in which any other business is solicited or engaged in, or in association or conjunction therewith, if the division of financial institutions finds, after hearing, that the other business is of such nature that such conduct tends to conceal evasion of those sections or of the rules made under those sections and orders the licensee in writing to desist from the conduct.
No licensee shall conduct the business of making loans under sections 1321.01 to 1321.19 of the Revised Code, under any other name, or at any other place of business within this state than that named in the license.
No licensee shall take a lien upon real estate as security for any loan made under those sections except such lien as is created upon the filing or recording of a certificate of judgment.
Last updated November 3, 2021 at 5:40 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.131 | Small Loan Alternative Interest Rate.

Effective:
February 11, 1982
Latest Legislation:
House Bill 526 - 114th General Assembly
As an alternative to the interest permitted in division (A) of section 1321.13 and in division (B) of section 1321.16 of the Revised Code, a licensee may contract for and receive interest at any rate or rates agreed upon or consented to by the parties to the loan contract or open-end loan agreement, but not exceeding an annual percentage rate of twenty-five per cent.
Last updated November 3, 2021 at 5:41 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.141 | Small Loan Requirements and Restrictions.

Effective:
October 29, 2018
Latest Legislation:
House Bill 123 - 132nd General Assembly
(A) A licensee shall not make a loan under sections 1321.01 to 1321.19 of the Revised Code that meets either of the following conditions:
(1) The amount of the loan is one thousand dollars or less.
(2) The loan has a duration of one year or less.
(B) A licensee shall not engage in any act or practice to evade the requirement of division (A) of this section, including by assisting a borrower to obtain a loan on terms that would be prohibited by that division.
(C) No licensee shall fail to comply with this section.
Last updated November 3, 2021 at 5:43 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.15 | Loans Designed to Circumvent Limitations on Interest Rates, Charges, or Loan Amount.

Effective:
September 1, 2008
Latest Legislation:
House Bill 545 - 127th General Assembly
(A) No licensee shall knowingly induce or permit any person, jointly or severally, to be obligated, directly or contingently or both, under more than one contract of loan at the same time for the purpose or with the result of obtaining a higher rate of interest or greater charges than would otherwise be permitted upon a single loan made under sections 1321.01 to 1321.19 of the Revised Code.
(B) No licensee shall charge, contract for, or receive, directly or indirectly, interest and charges greater than such licensee would be permitted to charge, contract for, or receive without a license under sections 1321.01 to 1321.19 of the Revised Code on any part of an indebtedness for one or more than one loan of money if the amount of such indebtedness is in excess of five thousand dollars.
(C) For the purpose of the limitations set forth in this section, the amount of any such indebtedness shall be determined by including the entire obligation of any person to the licensee for principal, direct or contingent or both, as borrower, indorser, guarantor, surety for, or otherwise, whether incurred or subsisting under one or more than one contract of loan, except that any contract of indorsement, guaranty, or suretyship that does not obligate the indorser, guarantor, or surety for any charges in excess of eight per cent per annum, is not included in such entire obligation. If a licensee acquires, directly or indirectly, by purchase or discount, bona fide obligations for goods or services owed by the person who received such goods or services to the person who provided such goods or services, then the amount of such purchased or discounted indebtedness to the licensee shall not be included in computing the aggregate indebtedness of such borrower to the licensee for the purpose of the prohibitions set forth in this section.
Last updated November 3, 2021 at 5:43 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.17 | Out-of-State Small Loans.

Effective:
July 14, 1981
Latest Legislation:
House Bill 134 - 114th General Assembly
No loan made outside this state for which a greater rate of interest, consideration, or charges than is authorized by sections 1321.01 to 1321.19 of the Revised Code has been charged, contracted for, or received is enforceable in this state and every person participating therein in this state is subject to sections 1321.01 to 1321.19 of the Revised Code; provided that this section does not apply to loans legally made in any state under and in accordance with a regulatory loan law similar in principle to such sections. All loan contracts made with residents of this state are considered as made within this state and subject to the laws of this state, regardless of any statement in the contract or note to the contrary, except as to licensing if the lender is licensed under and in accordance with a regulatory loan law similar in principle to such sections. A loan in an amount of five thousand dollars or less made to a borrower residing in this state at the time the loan is made by a lender whose office is located outside this state and whose primary business consists of making loans by mail is not enforceable in this state for a greater rate of interest, consideration, or charges than is authorized by sections 1321.01 to 1321.19 of the Revised Code.
Last updated November 3, 2021 at 5:44 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.18 | Civil Action to Reverse, Rescind, or Modify Division Order.

Effective:
September 26, 1996
Latest Legislation:
Senate Bill 293 - 121st General Assembly
In addition to any other remedy that may be available, any licensee and any person alleging to be aggrieved by an order or action of the division of financial institutions, within thirty days from the entry of the order complained of, or within sixty days of the action complained of if there is no order, may file a complaint against the superintendent of financial institutions in the court of common pleas of Franklin county. Such complaint may pray for reversal, rescission, or modification of the order or action complained of, and for such other relief as may be appropriate, and it shall allege the facts relied upon to obtain any such relief. When the complaint has been filed, summons forthwith shall be issued and shall be served upon the superintendent, either by personal service or by certified mail addressed to the superintendent's office in the department of commerce. The summons is returnable within five days from its date and in all other respects it is made as in civil actions. All allegations of the complaint shall be deemed denied without further pleading, and the court, upon application by either party, shall advance the cause and hear it without delay. Mere technical irregularities in the procedure had before the division shall be disregarded, and the burden of proof is on the complainant to show that the division, in issuing the order or in taking the action complained of, exceeded or abused its discretion. Any party to the action may summon witnesses and compel their attendance as in any criminal action, and may introduce evidence in addition to that relied upon by the division.
An action under this section is a special proceeding and may be appealed by either party pursuant to the Rules of Appellate Procedure and, to the extent not in conflict with those rules, Chapter 2505. of the Revised Code.
Last updated November 3, 2021 at 5:46 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.19 | Cancellation or Alteration of Small Loan License Does Not Impact Existing Contracts.

Effective:
October 1, 1953
Latest Legislation:
House Bill 1 - 100th General Assembly
Sections 1321.01 to 1321.19, inclusive, of the Revised Code may be modified, amended, or repealed so as to effect a cancellation or alteration of any license or right of a licensee, provided that such cancellation or alteration shall not impair or affect the obligation of any pre-existing contract between any licensee and any borrower, nor the right of the licensee to collect principal, interest, and charges as set forth in said obligation.
Last updated November 3, 2021 at 5:46 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.21 | Consumer Finance Fund.

Effective:
September 30, 2021
Latest Legislation:
House Bill 110 - 134th General Assembly
All fees, charges, penalties, and forfeitures collected under Chapters 1321., 1322., 4712., 4727., and 4728., sections 1315.21 to 1315.30, and sections 1349.25 to 1349.37 of the Revised Code shall be paid to the superintendent of financial institutions and shall be deposited by the superintendent into the state treasury to the credit of the consumer finance fund, which is hereby created. The fund may be expended or obligated by the superintendent for the defrayment of the costs of administration of Chapters 1321., 1322., 4712., 4727., and 4728., sections 1315.21 to 1315.30, and sections 1349.25 to 1349.37 of the Revised Code by the division of financial institutions. All actual and necessary expenses incurred by the superintendent, including any services rendered by the department of commerce for the division's administration of Chapters 1321., 1322., 4712., 4727., and 4728., sections 1315.21 to 1315.30, and sections 1349.25 to 1349.37 of the Revised Code, shall be paid from the fund. The fund shall be assessed a proportionate share of the administrative costs of the department and the division. The proportionate share of the administrative costs of the division of financial institutions shall be determined in accordance with procedures prescribed by the superintendent. Such assessment shall be paid from the consumer finance fund to the division of administration fund or the financial institutions fund.
Periodically, in accordance with a schedule the director establishes by rule, but at least once every three months, the director of budget and management shall transfer five per cent of all charges, penalties, and forfeitures received into the consumer finance fund to the financial literacy education fund created under section 121.085 of the Revised Code.
Last updated November 4, 2021 at 3:43 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.31 | Assignment of Personal Earnings - Requirements, Limitations, Priority.

Effective:
October 1, 1953
Latest Legislation:
House Bill 1 - 100th General Assembly
No assignment of, or order for, wages or salary is valid unless made in writing by the person by whom the said wages or salary are earned and no assignment of, or order for, wages or salary made by a married person is valid unless the written consent of the husband or wife of the person making such assignment or order is attached to such assignment or order. No assignment of, or order for, wages or salary of a minor is valid unless the written consent of a parent or the guardian of such minor is attached to such order or assignment. No assignment of, or order for, wages or salary is valid for more than twenty-five per cent of the earnings, wages, or salary of any married person. No such assignment is valid for more than fifty per cent of the earnings, wages, or salary of any unmarried person.
Assignments of wages have priority as to each other from the time they are filed with the employer of the assignor, and the balance due any married person after twenty-five per cent has been so assigned, or due any unmarried person after fifty per cent has been so assigned is not subject to further assignment.
Last updated November 4, 2021 at 3:45 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.32 | Assignment of Wages Invalid - Exception.

Effective:
October 16, 1959
Latest Legislation:
House Bill 978 - 103rd General Assembly
Notwithstanding section 1321.31 of the Revised Code, no assignment of, or order for wages or salary is valid unless the wages assigned or ordered are to be paid for the support of the employee's spouse or minor child in complying with an order of a court of record for the support of the employee's spouse or minor child. This section does not affect or invalidate any contract or agreement between employers and their employees, or as between employers, employees, and any labor union as to any checkoff on the wages of such employees as may be agreed upon. This section and section 4113.16 of the Revised Code shall not affect or invalidate any deduction from the wages or salary made in accordance with a payroll deduction plan agreed upon between the employer and employee provided that the same be revocable at any time by the employee upon notice to the employer up to the time of payment thereof.
Last updated February 15, 2022 at 2:05 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.33 | Wage Assignments for Support of Spouse or Children Not Subject to Small Loan Law or r.c. 1321.31.

Effective:
January 1, 1979
Latest Legislation:
Senate Bill 87 - 112th General Assembly
The limitations and regulations of sections 1321.01 to 1321.19 and 1321.31 of the Revised Code do not apply to assignments of, or orders for, wages for the support of a spouse or children when such assignments or orders are made to comply with an order of a court of record. The employee may assign whatever portion of his earnings that may be required to comply with the court order for support.
Last updated November 4, 2021 at 3:51 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.35 | Short-Term Loan Law Definitions.

Effective:
October 29, 2018
Latest Legislation:
House Bill 123 - 132nd General Assembly
As used in sections 1321.35 to 1321.48 of the Revised Code:
(A) "Short-term loan" means a loan made pursuant to sections 1321.35 to 1321.48 of the Revised Code.
(B) "Superintendent of financial institutions" includes the deputy superintendent for consumer finance as provided in section 1181.21 of the Revised Code.
(C) "Interest" means all charges payable directly or indirectly by a borrower to a licensee as a condition to a loan, including fees, service charges, renewal charges, and any ancillary product sold in connection with a short-term loan, but does not include the monthly maintenance fees, the loan origination charge, the check collection charge, or the check cashing fee authorized under section 1321.40 of the Revised Code.
(D) "Annual percentage rate" has the same meaning as in the "Truth in Lending Act," 82 Stat. 149 (1980), 15 U.S.C. 1606, as implemented by regulations of the consumer financial protection bureau. All fees and charges, including interest and the loan origination charge and monthly maintenance fees authorized under section 1321.40 of the Revised Code, shall be included in the computation of the annual percentage rate.
(E) "Licensee" means a person licensed to make short-term loans under sections 1321.35 to 1321.48 of the Revised Code.
Last updated November 4, 2021 at 3:56 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.36 | Short-Term Loan License Required; Telephone and Mail Loans; Exceptions; Applicability of Short-Term Loan Law.

Effective:
October 29, 2018
Latest Legislation:
House Bill 123 - 132nd General Assembly
(A) No person shall engage in the business of making short-term loans to a borrower in Ohio, or, in whole or in part, make, offer, or broker a loan, or assist a borrower in Ohio to obtain such a loan, without first having obtained a license from the superintendent of financial institutions under sections 1321.35 to 1321.48 of the Revised Code.
(B) No person shall make, offer, or broker a loan, or assist a borrower to obtain a loan, via the telephone or mail.
(C) Any loan made in violation of this section is void, and the lender has no right to collect, receive, or retain any principal, interest, fees, or other charges in connection with the loan.
(D) Sections 1321.35 to 1321.48 of the Revised Code do not apply to any entity chartered and lawfully doing business under the authority of any law of this state, another state, or the United States as a bank, savings bank, trust company, savings and loan association, or credit union, or a subsidiary of any such entity, which subsidiary is regulated by a federal banking agency and is owned and controlled by a depository institution.
Last updated November 4, 2021 at 3:58 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.38 | Contents of Short-Term Loan License; Additional Licenses; Change of Place of Business.

Effective:
September 1, 2008
Latest Legislation:
House Bill 545 - 127th General Assembly
(A) A license issued by the superintendent of financial institutions pursuant to sections 1321.35 to 1321.48 of the Revised Code shall state the address at which the business of making loans is to be conducted and shall state the full name of the business. Each license issued shall be conspicuously posted in the place of business and is not transferable or assignable.
(B)(1) Not more than one place of business shall be maintained under the same license issued under sections 1321.35 to 1321.48 of the Revised Code, but the superintendent may issue additional licenses to the same applicant upon compliance with those sections.
(2) No change in the place of business of a licensee to a location outside the original municipal corporation shall be permitted under the same license. When a licensee wishes to change its place of business within the same municipal corporation, written notice thereof shall be given in advance to the superintendent who shall provide without cost a license pursuant to sections 1321.35 to 1321.48 of the Revised Code for the new address.
Last updated November 4, 2021 at 4:05 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.391 | Short-Term Loans of Longer Than 90 Days.

Effective:
October 29, 2018
Latest Legislation:
House Bill 123 - 132nd General Assembly
If the duration of a short-term loan is ninety-one days or greater, the licensee shall determine the recommended length of a loan based on the borrower's verified monthly income as described in division (B)(2) of section 1321.39 of the Revised Code. The licensee shall provide the borrower with a written copy of its recommendation, which is not binding on the borrower.
Last updated November 4, 2021 at 4:06 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.40 | Maximum Interest Rate; Permissible Short-Term Loan Fees.

Effective:
October 29, 2018
Latest Legislation:
House Bill 123 - 132nd General Assembly
A licensee may charge, collect, and receive only the following fees and charges in connection with a short-term loan:
(A) Interest not exceeding a rate of twenty-eight per cent per annum;
(B)(1) Except as otherwise provided in division (B)(2) of this section, a monthly maintenance fee that does not exceed the lesser of ten per cent of the originally contracted loan amount or thirty dollars, provided the fee is not added to the loan balance on which interest is charged;
(2) A licensee shall not charge, collect, or receive a monthly maintenance fee if the borrower is a person on active duty in the armed forces of the United States or a dependent of that person.
(C) If the originally contracted loan amount is five hundred dollars or more, a loan origination charge in the amount of two per cent of the originally contracted loan amount, provided the loan origination charge is not added to the loan balance on which interest is charged;
(D) One check collection charge per loan not exceeding an amount equal to twenty dollars plus any amount passed on from other financial institutions for each check, negotiable order of withdrawal, share draft, or other negotiable instrument returned or dishonored for any reason, provided that the terms and conditions upon which check collection charges will be charged to the borrower are set forth in the written loan contract described in division (C) of section 1321.39 of the Revised Code;
(E) If a licensee provides the proceeds of a loan in the form of a check, a fee to cash that check in an amount not exceeding ten dollars;
(F) Damages, costs, and disbursements to which the licensee may become entitled to by law in connection with any civil action to collect a loan after default, except that the total amount of damages and costs shall not exceed the originally contracted loan amount.
Last updated November 4, 2021 at 4:06 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.401 | Refinancing Short-Term Loans.

Effective:
October 29, 2018
Latest Legislation:
House Bill 123 - 132nd General Assembly
A licensee may refinance a short-term loan provided that all of the following apply to the refinanced loan:
(A) The loan is a short-term loan.
(B) Interest on the loan does not exceed a rate of twenty-eight per cent per annum.
(C) The licensee does not charge, collect, or receive the monthly maintenance fee described in division (B) of section 1321.40 of the Revised Code.
Last updated November 4, 2021 at 4:08 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.402 | Prepayment or Refinancing Prior to Short-Term Loan Maturity Date.

Effective:
October 29, 2018
Latest Legislation:
House Bill 123 - 132nd General Assembly
If a short-term loan is prepaid in full or refinanced prior to the loan's maturity date, the licensee shall refund to the borrower a prorated portion of the interest, monthly maintenance fees, and all other charges based on a ratio of the number of days the loan was outstanding and the number of days for which the loan was originally contracted. For purposes of this section, the monthly maintenance fee is not considered to be fully earned at the beginning of a month.
Last updated November 4, 2021 at 4:08 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.403 | Short-Term Loan Fee Cap; Exceptions.

Effective:
October 29, 2018
Latest Legislation:
House Bill 123 - 132nd General Assembly
Notwithstanding any provision of sections 1321.35 to 1321.48 of the Revised Code to the contrary, a licensee shall not charge, collect, or receive in connection with a short-term loan a total amount of fees and charges that exceeds sixty per cent of the originally contracted loan amount. For purposes of this section, all charges made in connection with the loan shall be included when calculating the total loan charges except for all of the following:
(A) The check collection charge authorized under section 1321.40 of the Revised Code;
(B) The check cashing fee authorized under section 1321.40 of the Revised Code;
(C) The interest charges on a loan that is refinanced in accordance with section 1321.401 of the Revised Code.
Last updated November 4, 2021 at 4:09 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.411 | Short-Term Loan Collection Limitations.

Effective:
October 29, 2018
Latest Legislation:
House Bill 123 - 132nd General Assembly
A licensee shall not attempt to collect from a borrower's account after two consecutive attempts have failed, unless the licensee obtains new written authorization from the borrower to electronically transfer or withdraw funds from the borrower's account.
Last updated November 5, 2021 at 5:31 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.42 | Enforcement Actions Relating to Short-Term Loan License.

Effective:
July 1, 2009
Latest Legislation:
House Bill 525 - 127th General Assembly
(A) The superintendent of financial institutions shall, in accordance with Chapter 119. of the Revised Code, suspend or revoke a license issued pursuant to sections 1321.35 to 1321.48 of the Revised Code, if the superintendent determines that either of the following applies:
(1) The licensee has failed to comply with any order issued by the superintendent pursuant to section 1321.43 of the Revised Code.
(2) Any fact or condition exists that if it had existed or had been known to exist at the time of original or renewal licensure pursuant to sections 1321.35 to 1321.48 of the Revised Code, the fact or condition clearly would have warranted the superintendent to refuse to issue a license pursuant to those sections.
(B) The superintendent may make any investigation and conduct any hearing the superintendent considers necessary to determine whether any person has violated sections 1321.35 to 1321.48 of the Revised Code, or any rule or order adopted or issued under section 1321.43 of the Revised Code, or has otherwise engaged in conduct that would justify the suspension, revocation, or refusal of an original or renewal license or the imposition of a fine.
The superintendent may impose a monetary fine of not more than one thousand dollars for each such violation.
(C) In making any investigation or conducting any hearing pursuant to this section, the superintendent, or any person designated by the superintendent, at any time may compel by subpoena witnesses, may take depositions of witnesses residing without the state in the manner provided for in civil actions, pay any witnesses the fees and mileage for their attendance provided under section 119.094 of the Revised Code, and administer oaths. The superintendent also may compel by order or subpoena duces tecum the production of, and examine, all relevant books, records, accounts, and other documents. If a person does not comply with a subpoena or subpoena duces tecum, the superintendent may apply to the court of common pleas of Franklin county for an order compelling the person to comply with the subpoena or subpoena duces tecum or, for failure to do so, an order to be held in contempt of court.
(D) In connection with any investigation under this section, the superintendent may file an action in the court of common pleas of Franklin county or the court of common pleas of the county in which the person who is the subject of the investigation resides, or is engaging in or proposing to engage in actions in violation of sections 1321.35 to 1321.48 of the Revised Code, to obtain an injunction, temporary restraining order, or other appropriate relief.
Last updated November 5, 2021 at 5:32 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.421 | Examination of Short-Term Loan Licensee's Records.

Effective:
September 1, 2008
Latest Legislation:
House Bill 545 - 127th General Assembly
As often as the superintendent considers it necessary, the superintendent may examine the records of a licensee, but in any case, the superintendent shall examine the records of a licensee at least annually.
Last updated November 4, 2021 at 4:36 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.422 | Short-Term Loan Licensee Recordkeeping; Annual Reports.

Effective:
October 29, 2018
Latest Legislation:
House Bill 123 - 132nd General Assembly
(A) Every licensee shall keep and use in the licensee's business such books, accounts, records, and loan documents as will enable the division of financial institutions to determine whether the licensee is complying with sections 1321.35 to 1321.48 of the Revised Code and with the orders and rules made by the division under those sections. Such books, accounts, records, and loan documents shall be segregated from those pertaining to transactions that are not subject to sections 1321.35 to 1321.48 of the Revised Code. Every licensee shall preserve the books, accounts, records, and loan documents pertaining to loans made under sections 1321.35 to 1321.48 of the Revised Code for at least two years after making the final entry on, or final revision of any loan document relative to, any loan recorded therein. Accounting systems maintained in whole or in part by mechanical or electronic data processing methods that provide information equivalent to that otherwise required are acceptable for this purpose.
(B)(1) As required by the superintendent of financial institutions, each licensee shall file with the division each year a report under oath or affirmation, on forms supplied by the division, concerning the business and operation for the preceding calendar year. If a licensee has more than one place of business in this state, the licensee shall furnish a report for each location.
(2) The division shall publish annually and make available to the public an analysis of the information required under division (B)(1) of this section, but the individual reports shall not be public records and shall not be open to public inspection. The published analysis shall include all of the following:
(a) The total number of borrowers, loans, defaulted loans, and charged-off loans and the total dollar value of the charged-off loans;
(b) The average loan size, average contracted and average experienced annual percentage rate, average charges per loan, total contracted loan charges, and total loan charges actually paid;
(c) The total number of check collection charges and the total dollar value of those charges;
(d) The total number of licensee business locations and the average number of borrowers per location;
(e) Any other nonprivate information determined by the superintendent.
Last updated November 5, 2021 at 4:19 PM
2023 Ohio Revised Code › Title 13 | Commercial Transactions › Chapter 1321 | Various Loans › Section 1321.43 | Short-Term Loan Law Rules and Orders.

Effective:
September 1, 2008
Latest Legislation:
House Bill 545 - 127th General Assembly
The superintendent of financial institutions, in accordance with Chapter 119. of the Revised Code, may adopt rules and issue specific orders to enforce and carry out the purposes of sections 1321.35 to 1321.48 of the Revised Code. The superintendent shall issue a rule defining "senior officer" for the purpose of section 1321.37 of the Revised Code. The superintendent may adopt, amend, and repeal substantive rules defining with reasonable specificity acts or practices that violate section 1321.45 of the Revised Code.
Last updated November 4, 2021 at 4:38 PM